Paradox on Nostr: [SUYA] ひみつ :blabcatverified: Suppose One bets $5 on each of two horses, and Two ...
[SUYA] ひみつ :blabcatverified: (nprofile…s6hk)
Suppose One bets $5 on each of two horses, and Two bets $10 each. They give the $30 to Three, who takes their commission of 25%, $7.50, making the cashout $22.50. Now since both of them will win, but Two's bet was double One's, they'll take 2/3 the cashout. Two will receive about $15 and One will receive $7.50.
However, if only One bets on all, Three gets $20, takes $5, cashout is $15. If Two's horse wins, they get their $10 back and One gets only $5. If Two's horse doesn't win, One gets everything.
So my supposition is that you stand to lose less if you spread your bets, assuming you are in the minority in doing so, though perhaps stand to gain less as well. Feel free to correct my math if I have the wrong idea about something.
Suppose One bets $5 on each of two horses, and Two bets $10 each. They give the $30 to Three, who takes their commission of 25%, $7.50, making the cashout $22.50. Now since both of them will win, but Two's bet was double One's, they'll take 2/3 the cashout. Two will receive about $15 and One will receive $7.50.
However, if only One bets on all, Three gets $20, takes $5, cashout is $15. If Two's horse wins, they get their $10 back and One gets only $5. If Two's horse doesn't win, One gets everything.
So my supposition is that you stand to lose less if you spread your bets, assuming you are in the minority in doing so, though perhaps stand to gain less as well. Feel free to correct my math if I have the wrong idea about something.