Pari-mutuel is a betting model in which all stakes go into a shared pool and the winners split it, after the operator takes a fixed fee.
Payouts depend on how the pool is divided rather than on fixed odds: the fewer players on the winning side, the larger each winner's share. Players win from each other, not from the house, and the operator's revenue is the fee.
The model is best known from horse racing. Vinco's Plunder applies it to a fast two-ship race: the ship with fewer players wins, and its players share the losing pool after a 5% fee, giving a 97.5% RTP.
Because the house earns only the fee, a pari-mutuel game has no reason to favour either side. The result depends entirely on how the crowd bets.
If the losing side holds 1,000 and the fee is 5%, 950 is shared among the winners in proportion to their stakes.
See it in practice: Plunder · Pari-mutuel crash game
Related terms: House edge · RTP (return to player) · PvP casino game · All terms
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