What is House edge?
House edge is the average percentage of each stake that a casino game is mathematically expected to keep over time, built into the rules or payouts of the game.
The house edge exists because games pay out slightly less than the true odds of winning. In single-zero European roulette, a straight-up bet pays 35 to 1, but the true odds are 36 to 1 because there are 37 pockets. That gap gives the casino an edge of 1 in 37, or about 2.70%, on every bet on the table.
Edges vary widely. A banker bet in baccarat carries around 1.06%, blackjack played with correct basic strategy can sit around 0.5% depending on the rules, and many side bets and slot games run far higher. The edge is an average across a vast number of bets: in the short term a player can win, but the longer play continues, the closer results tend to drift towards the expected loss.
House edge and return to player describe the same thing from opposite sides. A game with a 3% edge has a 97% RTP.
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