[00:00] Hi, I'm Mike Aponte and I'm at DEF CON 20. I was one of the leaders of the MIT blackjack team and we used card counting to hack Las Vegas and beat the casinos [00:12] for millions. Our story became the basis for the best-selling book, Bringing Down the House and the major motion pinnature, 21. Now a lot of people think that you have to be a math whiz or rain man to count cards but actually it's quite the [00:27] opposite. So right now I'm going to give you card counting 101. Now with card counters they're concerned with three different groups of cards. First we have the neutral cards 7, 8, and 9 and overall the neutral cards don't favor the dealer [00:42] or the player. So ultimately card counters actually ignore these cards. So that leaves us with the high cards 10 through ace and the low cards 2 through [00:54] Now the high cards are really good for the player because these are the cards that give you blackjack which plays 3-2. They also make it more likely that the dealer will bust when hitting on totals of 12-16 [01:06] and they also make better draw cards when doubling down and splitting. On the flip side, the low cards 2-6 favor the dealer because these are the cards that turn the dealer's bad totals of 12-16 into winning totals of 19, 20, and 21. [01:22] So the more low cards remaining, the fewer blackjacks that will be dealt, which are good for players and bad for the dealers. So as you can see, there are an equal number of high cards and low cards. [01:35] So this is a balanced count system called the high-low, which is what the MIT team used. So at the start of a brand new shuffle, the count is zero because you haven't seen any cards. [01:47] And then as the cards are being dealt the count just constantly fluctuates Every time a hard card comes out 10 through ace the count goes down by one Now the reason the high cards have a count value of minus one even though they good for the player [02:02] is that every time one of them is depleted, that's one less high card that can benefit players in the future. Conversely, every time a low card is dealt, two through six, the count increases by plus one, [02:17] because that's one less low card that can hurt the players moving forward. Now as the count increases on the positive side, that means there has to be more of the [02:29] favorable high cards remaining. So what a card counter does is keep track of the count in order to identify the rounds, the situations when they're more likely to get black jacks, the deer is more likely to [02:42] bust. So you want to bet little or nothing when you don't have the advantage as a card counter, and then proportionally more as your advantage increases. So as you can see, card counting isn't as complex as people think, but of course like [02:57] anything it takes practice to become really good at it. So let's steal one round of cards and see if you can keep track of the count. [03:14] Now scanning these cards over, what we can do is group up the high cards versus low cards in pairs so that they cancel out. So for example, this ace cancels out the three, this queen cancels out the four, and then [03:29] we can ignore the seven, eights, and nines because they don't affect the count at all. So that leaves us with two low cards, which each have a count value of plus one, so the of these cards is plus two, which means there has to be two more favorable cards remaining [03:45] in the shoe.