The house edge is the share of all money wagered that a game is designed to keep over the long run, expressed as a percentage.
It is the mirror image of RTP: a game with a 96% RTP has a 4% house edge. The edge is a long-run average across a very large number of bets, not a fee taken from each bet, so individual sessions can end well above or below it.
Different formats build the edge in differently. Vault has a flat 5% edge built into its multiplier formula. In pari-mutuel games such as Plunder, the house instead takes a fee from the pool, and in PvP games such as Three Chances it takes a rake from the pot.
Knowing the house edge helps players compare games and helps operators understand expected revenue. A lower edge generally means a higher return for players over time.
With a 5% house edge, total bets of 10,000 are expected to return about 9,500 to players over time.
See it in practice: Vault · Plunder · Three Chances
Related terms: RTP (return to player) · Volatility · Pari-mutuel · All terms
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