Rakeback

Rakeback is an option provided to loyal and active players that allows them to refund a part of the commission which is charged by the poker room.

Rake – the main source of income for poker rooms

In a nutshell, the rake is a fraction of the money which the host of the poker room takes for facilitating a game. Rake is one of the most important indicators for the financial success of the poker room. This is due to the fact that the income of poker rooms directly depends on the value of a rake. The rule is quite simple: the higher the percentage of the commission, the greater the profit of the room.

Commonly, the cash game rake is usually 5% of the size of the pot. The specific percentage depends on the policy of the poker room and the blind level of the game. In the tournaments, the rake is a one-time commission, which is included in the amount of the mandatory contribution to participate in the game.

Rakeback – what is it? 

Rakeback is a portion of a rake that is refunded back to the player. This option exists because of two functions:

1. Reward tool. Rakeback is an outstanding solution for encouraging players to active and regular play. In fact, it stands as an additional source of income.
2. Marketing tool. Rakeback is an effective marketing solution for poker rooms because it allows poker rooms to attract new players to the room. 

The percentage of rakeback varies from 2 to 65%. The final figure depends on many factors: the policy of the room, the status of the player, the number of hands played, etc. The more a player contributes, the higher the rate of the reward is.

Types of rakeback

There are two types of rakeback:

• Direct. This type of cashback implies that the poker room returns to the player n -% of the rake in the form of fiat or cryptocurrency at certain time intervals.
• Indirect. The poker room encourages the player by providing him with the internal currency of the room (points), which, as a rule, can be exchanged for participation in poker tournaments, official merch, and other bonuses.

The rakeback mechanism can be compared to well-known cashback: the more time and money players spend during the game, the more money they will get back.