Did you often come across the term loss cut in cricket betting, wondering what it exactly means? It is exactly what the term suggests – a bet that is placed to ensure that you don’t lose any money or as little money as possible on a placed bet.
A loss cut bet is also referred to as hedging bet in many circles. In cricket betting, loss cut bet means the predetermined amount after which a bettor has decided to stop betting after losing.
It is an extremely effective risk management tool that has been used by bettors for many years.
How Does Loss Cut in Cricket Betting Work?
Understanding how loss cutting in cricket or any form betting works is relatively easy. In simple terms, imagine if you have placed a bet on an IPL match between Mumbai Indians and Chennai Super Kings.
You placed the bet on Mumbai Indians winning. But as the match progresses, it becomes increasingly clear that Chennai Super Kings are in the driver's seat to walk away with the victory.
To counteract the chances of you losing money on your bet of Mumbai Indians winning the match, you place a bigger bet now on Chennai Super Kings to win or Mumbai Indians to lose on a betting exchange. The odds offered to you might not be great, so you will have to bet a larger amount on the Chennai Super Kings to win in order to walk away with minimal losses.
To better understand how this works, you also need to effectively understand the Indian terms ‘khana’ and ‘lagana’ and how you should set up a book accordingly. We will use the match above as an example of setting up the book below.
How to Set Book for Loss Cut?
Firstly, ‘khana’ is the term used when you bet against a team to win. ‘Lagana’ is the term you bet on a team to win. These are also called ‘lay’ and ‘back’ bets respectively.
Referring to the match above, you have placed a ‘back’ or ‘lagana’ bet on Mumbai Indians to win. But Chennai Super Kings are playing extremely well in the high-profile IPL encounter and are now looking increasingly favourites to walk away with the win.
At this point, you can opt to place a ‘khana’ or lay bet on Mumbai Indians to now lose the contest. How much you decide to spend on this ‘lay’ bet will completely depend on the odds the market is offering on the different scenarios and the amount of your initial bet.
If you make a significant bet on this ‘lay’ bet, the monetary gains should be big enough to ensure that you either make minimal profits, break even or at the worst walk away with minimal losses.
As a result, whether Mumbai Indians win or lose, you aren’t facing a significant dent in your wallet and even potentially earning a small chunk of money.
Basic Rules to Follow to Minimze Losses
While loss cut betting is an effective tool to minimize your losses, it is still important to not always rely on this technique so that you don’t end up losing significant sums of money.
You need to follow some basic rules and techniques that are very simple and highly effective in terms of ensuring that you do not endure big losses.
Here we have listed down the most important factors to manage your bankroll:
Set a budget: You should determine how much money you are willing to spend for online betting on cricket and try to strictly follow that budget. Do not cross the limit or overspend. You should try to treat it as an entertainment activity for fun and leisure purposes.
Determine limits: You must strictly set both winning and losing limits in online betting sites. You should stop betting for the day if you lose a certain percentage of your budget and follow the same rule if you reach a certain amount of profit percentage. Strictly stick to these limits to play in a safe and stable manner.
Do detailed research: Before you decide to place any bets on a particular team or outcome, take the time to do thorough research and gather proper information about the teams involved, the players playing in the contest, the conditions on the ground, and various other factors that could influence the result of the event. If you are well-informed about the teams and players, your chances of winning big significantly increase.
Bet carefully: You should avoid placing bets on every ongoing match, event, or tournament. You should instead focus on games around teams and players that you know well and have good knowledge about. This will massively increase your chances of winnings and reduce the risks of losing.
Diversify your bets: Try to spread out your bets on as many different outcomes as possible instead of betting it all on one team or outcome. The technique of loss cut in cricket is born out of this principle. The more outcomes you wager on by spreading your money, the more the chances there are of you making a profit.
Take planned breaks: You should take regular breaks from online betting to maintain a healthy habit. Continuous betting on cricket matches can cloud your judgement as you seek bigger and bigger winnings, which can eventually lead to you making big losses due to rash or hurried decisions.
Don't borrow money for betting: You should only bet on cricket matches with the money that you have at your disposal. Strictly avoid borrowing or loaning money from people to bet or to cover losses on previous bets. This is why it is extremely important to always determine in advance a set of limits and your budget.
If you are wise on how to use the loss cutting in cricket betting strategy mentioned above, you will significantly reduce your chances of losing money. Simply place a bet on the opposite result in order to reduce your loss or even walk away with a small profit.
Combined with the various basic rules and principles of cricket betting mentioned above, betting on cricket matches can often turn out to be a fun and entertaining experience while also beefing up your wallet.