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The last type of odds we’ll look at are Decimal odds, which are also called European, digital, and continental odds. These kinds of odds are probably the most common of the three and the simplest to read, being found most commonly in continental Europe. Interestingly, while the British Isles generally use Fractional odds, the rest of the British Commonwealth (Canada, New Zealand, Australia) are more likely to use Decimal odds.

Unlike American and Fractional odds, where you need to add the original betting stake back on after doing the calculation for the returns, Decimal odds include both the stake and the returns, which makes it much simpler to figure out how much you’re actually winning. Decimal odds are displayed as a decimaled number, such as 2.1 or 10.6.

For every $1 you wager, the Decimal number in the odds is how much you win in total—stake, and returns included. The equation is very simple: stake x decimal odd number. The smaller the number, the lower the odds, and the lower the returns. Decimal odds below 2.0 usually indicate a favorite, while numbers above 10.0 usually point you to a long shot.

For example, if you wager $100 on a fighter to win a UFC fight with 5.5 decimal odds, you stand to win 100 x 5.5 = $550 total ($450 profit, plus the $100 initial stake). If you bet $50 on a big-time favorite to win with 1.5 odds, you’re winning $50 x 1.5 = $75 ($25 profit, plus the initial $50 stake).

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