Betting Systems - Paroli

The betting system Paroli is a reverse of Martingale. In a Martingale, you bet more as you lose until you win. In Paroli, you bet more when you win, until you reach your defined target and then you start all over again.

Consider a Paroli betting systems of 1-2-3-6.
- where you bet 1 on the first hand. If you lose, you start again by betting 1.
- if you win the first hand, then you bet the second hand with 2. If you lose, you start again.
- if you win the second hand, then you bet the third hand with 3. If you lose, you start again.
- if you win the third hand, then you bet the fourth hand with 6. If you lose, you start again.

Here's the results of your win or losses.
- if you lose the first hand, you lose 1.
- if you lose the second hand, you lose 1.
- if you lose the third hand, you breakeven.
- if you lose the fourth hand, you breakeven.
- if you win the fourth hand, you win 12.

With the Paroli betting system you will have to endure many small losses before you eventually hit the winning streak. And even when the winning streak comes, some gamblers will find it difficult to bet a large amount on the final hand, and thus chose to bet small on the last hand.

The expected return from a Paroli betting strategy is zero (if there is no house edge). In reality all casino games have a house edge and so the expected returns become negative.