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Why Sportsbooks Limit Sharp Bettors and What to Do About It

Sportsbooks limiting sharp bettors is a practice as old as time. Bookies place restrictions on the best bettors to maintain the house edge and ensure they make money. On the bright side, there are steps players can take to avoid these limitations.

In this guide, I discuss the basics of how sportsbooks find and limit sharp bettors, which bookies are the most notorious for it, and the best places to bet without these restrictions.

What “Limiting” Means at a US Sportsbook

Bet limits at online sportsbooks, as the name implies, occur when the bookmaker restricts the amount a person can wager.

This is different from an outright ban, as the restricted player can still wager. However, because of their sharp skills, the bettor has significantly lower wagering limits than other people.

For instance, a restricted player’s maximum wager may be capped at $20, while other bettors wagering on the same odds can bet $500. To make matters even worse, the operator does not need to explain why they restricted a player or even notify them.

Sportsbooks call this practice “risk management,” but it is really about limiting winning bettors from cashing in on their skills.

How Sportsbooks Identify Sharp Bettors

Sportsbooks use a player’s betting history, including the timing of their wagers and how often they win, to identify sharp bettors.

Skilled wagerers are a major concern for sportsbooks, so it would make sense that sharp bettors would be banned or restricted.

Some common factors bookies look for when searching for a sharp player are:

• Consistent line shopping to maximize value
• Wagering early before the public influences the line
• Flat betting
• High win rate despite a large betting history

All of the above methods are tactics used by skilled bettors to improve their odds of winning. Unfortunately, they also raise red flags to operators that you are a sharp bettor who will likely cost them money in the long run.

After a sportsbook has identified a sharp bettor, they use your IP address, device ID, and payment methods to apply sportsbook account restrictions.

Which US Sportsbooks Limit Players Most Aggressively?

Restricting sharp bettors is, unfortunately, a common practice at US-regulated sportsbooks. Some of the most common offenders include:

• DraftKings
• FanDuel
• BetMGM

DraftKings and FanDuel have the most documented complaints about limiting sharp players. They have a low tolerance for winners, and restricting their betting limits reduces the risk posed by sharp bettors.

BetMGM similarly limits winners, but it has a history of targeting high-frequency players. So, even if you are not winning large amounts, betting and winning too often could result in your account being restricted.

Betting restrictions are frustrating for players, but many in the industry defend them. When discussing the practice during a 2024 meeting with the Massachusetts Gaming Commission (MGC), Senior Director of Compliance for BetMGM, Sarah Brennan, said:

“It is our ability to limit that small minority of advantage players that allows us to continue to offer competitive lines, competitive odds in a wide variety of markets for 99% of non-advantage players that play with us.”

Not every sportsbook regularly limits winners. Secure offshore sportsbooks typically avoid restricting accounts. Smaller regulated operators like Circa Sports also have a positive reputation for not engaging in stake factoring.

What Happens After You Get Limited

Sportsbooks are not required to notify players when they are being limited, so many bettors do not realize they have been restricted at first.

However, you will know restrictions have been placed on your account when you go to bet. Your maximum betting limits will be drastically reduced. In extreme cases, sharp bettors are limited to single-digit stake amounts.

If you are skilled enough to still pose a threat to the bookie’s profits, the restrictions will only get worse. The operator will tighten your limits further, then place a soft ban on you, and eventually fully close your account.

It is important to note that the sportsbooks are not trying to steal your money when this happens. So, the silver lining is that your withdrawals will be processed, and your bankroll should be returned to you.

To ensure you do not simply make a new account and continue beating the house, sportsbooks will often ban your IP address and prevent you from using your ID information to sign up.

Why Offshore Sportsbooks Handle Sharp Action Differently

Offshore sportsbooks, such as those licensed in Curaçao, often have no limits or restrictions on sharp bettors. This is due in part to their business model.

Unlike land-based operators, which rely on racking in wins from losing bettors, offshore bookies focus on earning money from their vig. Their built-in house edge incentivizes the house to maximize the volume of bets placed to increase profits.

Some offshore sites also use the pinnacle model. They use sharp bettors to set better lines, making it tougher to beat the house.

Sites like BetOnline and MyBookie offer higher limits than their regulated counterparts. They are also slower to curb winning accounts, lowering your odds of being limited. The absence of state legislators also gives the house more flexibility in how they govern player accounts. 

Offshore sites offer a wider range of betting markets, too, so they are less at risk of losing to sharp bettors. Skill players have fewer markets to focus on at regulated sportsbooks, making it harder for the latter to earn a profit.

How to Extend Your Lifespan at Regulated Books

Learning how to avoid being limited is vital to your sustained success as a sharp bettor. Some basic tips for avoiding stake factoring at regulated sportsbooks include:

• Vary your stake amounts
• Avoiding betting round numbers
• Use different bet types, including parlays and player props
• Change the timing of your bets

Varying your stake amounts and betting types can increase your risk, but it will also help you avoid suspicion. Not betting round numbers is also a good way to stay under the radar. While you can still bet on some opening lines, waiting for the market to move can also help you stay on the sportsbook’s good side.

Even if you follow the tips above, you are still at risk of being banned. If a regulated operator identifies you as a sharp bettor who can win consistently, you will be limited.

Summary: Where to Bet If You Actually Win

Sportsbooks limit sharp bettors to protect the house’s profits. They use a variety of tools to identify sharp bettors, and once your account is flagged, it is only a matter of time before your account is restricted or banned.

Offshore bookmakers like BetOnline are the best option for players who are betting to win rather than for entertainment. They have higher limits and are less likely to penalize sharp bettors than their regulated counterparts. Opening an account at a top offshore sports betting site today is the best way to get ahead as a sharp bettor.