If a betting exchange is just a mediator between bettors that collects a small percentage of each play, then I guess it would stand to reason that you would be totally safe depositing your money there and receiving payouts since the exchange doesn't care whether you win or lose since its not you against them. Also, no matter how much you win they would never cut you off because, again, they wouldn't care. Is my understanding correct and if so, why would anyone use any other outlet? Obviously traditional books don't want you to win and will place limits, stall on payments, etc... So how do they stay in business?