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Chance of losing


CalmZoOr2

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The house edge applies on every single bet you placed. The concept is that you would only get an expected value of 99% on the reciprocal of winning chance.

Take 50% winning chance as an example, a fair game should return 2x of your bets when winning, which gives an expected value of x*2*0.5 + x*0*0.5 = x, where x is your bet amount.

Given a 1% house edge, the game would return only 0.99 of x, with an expected value of 0.99*x = x*r*0.5 + x*0*0.5, giving r (winning return) only 1.98 of betting amount instead of 2.

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