A lot of those exchanges have the rule whoever advances
Which is at it should be - only thing is - how long until regulators grab hold of these and start cracking down.
With sportsbooks (and RH for the moment) - the risk is single sided - your betting against the book/market maker. If they get slammed on fast developing situations, inside info or just outright match rigging - no one’s going to feel sorry for them.
Now in a pure exchange - it’s completely bettor vs bettor - and losing bettors will always cry foul. Of course they will claim match fixing every time and allege big bettors were in on the fix and “cheated” them out of their hard earned money. Worse, local regulators will seize on this publicity opportunity to both create more bureaucratic positions “monitoring” the markets and to tell us how they are doing us all a favor by placing a “small” tax on every bet with their app partners to keep everyone safe.
It’s simple - just like offshore years ago - a lot of politicians don’t want this exchange. It’s taking money out of big donors pockets and putting into non donors. Likewise, think of the stock market - there are trading circuit breakers and overlords who will freeze stocks when potentially impactful news is expected. A tanker releases a few million gallons of oil into the ocean or some 3rd world dictator seizes an energy compound somewhere - the company stock will be frozen pending news.
Lines move rapidly - but on exchanges with limited volume it’s more pronounced. Worse - casino operators already are looking to get them banned and will begin to use this as their rallying cry - reminding everyone they “did the right thing” and protected uninformed bettors by canceling bets.
