"How do we arbitrage?"
Yang Jian was interested in this technique.
Bai Zheng was patient. "Didn't I just say it? Many betting companies use the same live broadcast feed, and each company offers rebates.
Some people exploit the loophole of two websites using the same feed by depositing money on both. For example, if one website offers a fifty yuan rebate for a hundred yuan deposit, then two websites would offer a hundred yuan rebate. By depositing two hundred yuan, they get three hundred yuan in betting credit.
According to the website regulations, after depositing, the betting turnover must reach ten times the deposit amount before withdrawal. Therefore, this person would bet on both websites simultaneously, one betting on the banker and the other on the player. This way, they wouldn't lose their principal, and the goal was to earn that hundred yuan rebate.
By betting ten times, they would reach the ten times turnover requirement and could then withdraw. This process would result in a small loss of the rebate money because the banker winning side charges a 5% commission. Thus, for each operation, they could stably earn twenty to fifty yuan, depending on how many times the banker won.
Yang Fan had never heard of such a thing before. "This is truly a risk-free technique. How do you prevent it?"
Bai Zheng smiled. "Of course, we have ways. Any websites that show the same live broadcast feed are all transmitted by the same betting company. It's also possible that these websites are just different URLs used by a single betting company. Naturally, the company has a risk control department for supervision.
Once the risk control department discovers the arbitrage behavior of a gambler, they immediately freeze their two or more accounts, and the gambler's principal cannot be recovered.
This is actually a trap set by the betting companies. They let agents spread and propagate this arbitrage technique. The agents not only earn training fees but also encourage more people to engage in arbitrage. When the websites freeze their funds, it becomes legitimate.
The profit from this area is one of the important revenue sources for the websites. In short, online casinos generate much higher revenue than offline casinos because the gamblers come from all over the world, although the main target is domestic gamblers."
Through Bai Zheng's explanation, Yang Jian felt that the risks of online gambling were greater than those of offline casinos. At least in offline casinos, winnings, no matter how much, could be taken away. At the Xin Tai Casino, he had personally seen someone win twenty million yuan and leave.
However, with online gambling, the funds were not guaranteed. If a gambler won too much, the website could arbitrarily freeze his account. Not only could the winnings not be withdrawn, but even the principal could not be recovered.
Of course, for online casinos, this model was very profitable. As a shareholder of a gambling company, Yang Jian was unwilling to lose money.
It's just that the harm of this kind of online gambling is even greater. The internet spreads too quickly. The ubiquitous and pervasive advertisements from these agents draw many people who had never gambled before into the bottomless pit of gambling. This is especially true for students and intellectuals, as they are the largest user groups on the internet.
"Brother Zheng, is there really no way for domestic police to crack down on online gambling?"
After understanding the operating model of online casinos, Yang Jian felt even more that his cooperation with Bai Zheng and Yang Fan could not last. Online gambling was too harmful, and domestic police would surely intervene.
Bai Zheng shook his head. "Don't worry. Due to technical reasons, for the next three to five years, domestic cyber police will not be able to effectively curb the development and expansion of online gambling. The websites' servers are located overseas, and we are protected by the local government here. Moreover, the three of us are the behind-the-scenes bosses, and our agents are the ones registered. Therefore, we are absolutely safe."
"Then I'm relieved. Thank you, Brother Zheng and Brother Fan, for bringing me into this industry."
Yang Jian knew very well that at this moment, he could not show any rejection of online casinos or his cooperation with Bai Zheng and Yang Fan. Otherwise, it would lead to a falling out between brothers, and he might even lose his life here.
After staying in the Philippines with Yang Fan for more than twenty days, besides familiarizing themselves with the operations of online casinos, they also visited the scenic spots of the archipelago country.
He had originally planned to return to northern Myanmar with Yang Fan, but he received a call from Lu Hao saying that he was getting married. Yang Jian had to bid farewell to Bai Zheng and Yang Fan and fly directly from Manila to Seoul to attend the wedding of Lu Hao and Tang Huiling.
The day after the wedding, Yang Jian met Lu Hao alone for tea and explained the entire process of his joint investment in online casinos with Bai Zheng and Yang Fan. Because of Lu Hao's special identity, he could provide more stable and pertinent advice.
"Xiao Yang, I also understand online gambling. With the current computer technology and police investigation methods in China, there is indeed no way to curb the rapid spread of online gambling, nor can you catch the behind-the-scenes casino bosses.
However, this is only temporary. The police will not allow online gambling, this cancer, to run rampant in China. Therefore, my suggestion is to do as Zhang Hui said and proactively register with the municipal bureau. Once you have recovered your principal, withdraw from northern Myanmar." Lu Hao gave his advice after listening.
Yang Jian nodded. "I only plan to operate the paper mill in northern Myanmar for three years. Using the paper mill as a platform, I will find all the people from Xinqiao who were deceived and brought out, and also help other deceived individuals return to China as much as possible. The money earned from the casinos will also be used for these charitable activities."
"Then let's set the time for three years. After three years, sever contact with Bai Zheng and Yang Fan. If you don't report them, you will have honored your brotherhood."
"Then that's all we can do for now."
Yang Fan had photos of Zhang Hui and Qin Feiyang engaging in prostitution and gambling. Once they were leaked, the police would not punish them internally, but public opinion would ruin them and also tarnish the police's reputation. Therefore, Yang Jian could not sever cooperation with Yang Fan and Bai Zheng in the short term.
After parting ways with Lu Hao, Yang Jian returned to Chengguan and told Lu Yao everything he saw and heard in Manila, providing her with material for her writing.
"Yaoyao, both offline casinos and online gambling are extremely harmful. To let more people understand the dark side of casinos and thus stay away from gambling, your book can begin now."
"Okay, Brother Jian. I'll write a novel based on your personal experiences to warn and admonish people that gambling is a path of no return. Even without the cheating methods that ordinary people cannot discern, as long as one becomes addicted to gambling, the ultimate outcome is to lose all one's capital. Even running a casino will result in severe legal punishment."
"That's fine. I'll stay at home during this time to help you organize the outline. The subsequent work will be yours."
"That's great! Can you give it a title?"
"Let's call it 'Casino Stories'."
(The End)