There are a lot of rare items to get from the Chocobo races. Some of the items and Materia can only be gotten in the races. There are two ways to try and get these prizes. There is betting on the Chocobo races, or breeding and racing your very own champion Chocobo. See Chocobo Breeding, for more information on breeding Chocobo's.

Chocobo Betting

To place bets on the races, talk to the receptionist in the center of the room. She will then ask you to choose the class you wish to bet on. Keep in mind that the S Class is not available, until you become a member by racing your chocobo's. This is also where all the great prizes are to be found.
Choosing the winner is no where near easy. There are several things you will want to factor into your choice. The Chocobo's speed, stamina, and attitude are all important things to consider when deciding. Then you will also have to factor in the skill of the jockey riding them. Even the best of the best Chocobo can be done in by a poor Jock. Once you have made a choice, all you have to do is sit back and watch the race.
When the race is complete and you win, you will then get a prize. The prize you get is determined by who was first and second in the race. You might not get the best prize that was up for the taking. And with the cost of betting, it might be wiser to breed and race your own Chocobo.

*NOTE* When you are betting, if you see the Black Chocobo Teoh, place the bets on him. He never loses....that is until you arrive.

Chocobo Racing

You cannot participate in the Chocobo races until you find Cloud on Disk 2, and have captured a few of your own Chocobo's.
When you are ready for the races, enter the forum, and speak with Ester. She is standing off to the left side of the room. She will ask which of your Chocobo's you want to race, and the class they are racing in. There are four different classes to race in, and they are: C, B, A, and S Class. Each class being more difficult than the last class. The Chocobo's will also become faster and harder to beat. Also from B Class on, Joe and his Black Chocobo Teoh might appear. It is next to impossible to beat him without a well-bred Chocobo. It is definitely suggested that you go and breed Chocobo's to get your own Gold Chocobo first. Then use the Gold Chocobo for the major racing and prizes.
After choosing the Chocobo you want to race, you are given the option of the long or short track. The choice of tracks is always yours, but it takes at least two trips on the long track, and one on the short track to get to the next racing level. When you have chosen the track, you will be taken to a page like the one on the right. This will give you all the jockey's stats, as well as the prizes you are racing for. (To see the other stats, just hit , or ) If you are racing against Joe, he will always be the first jockey you see after pressing . These will always be the hardest races to win. Even after you get the Gold Chocobo, you can still easily lose.

From time to time, if they are in your party, Cid and or Tifa will ask if they can ride once in a while. Thus far, I have observed that if the race is tough, they dumb it down in the jockey speeds a bit. On the flip side, they can bring out Teoh more frequently as well. This is, however, just an observation and has not been proven. Either way, Cloud should let his friends have fun too. What? I am just saying Cloud is not the only one out there trying to save the planet. The others need some fun time too!

Controlling the Chocobo

When the race begins, you have two options for racing: Automatic, or Manual Control.
In the Automatic sequence, basically everything is done by the games AI. This is a huge problem for the under-developed Chocobo's. If they get roughed up, or frightened, they will try to run the other way. Seriously, I have seen this happen, and though it is funny...it will definitely cost you the race. You also have no control over their stamina, or when they use it. Your Chocobo can easily use up its stamina 1/2 way through the race, causing you to lose. This is why it is always better to go with manual operation.
To switch between the two, you need to hit the Select button before the race begins. In manual operation, you have complete control over your Chocobo. This makes for a much smoother, and easier to win race. Here are the button configurations:

 - Slow down your Chocobo
 - Speed up your Chocobo
 - Sprint
 +  - Slowly refill the stamina gauge
 - Move the Chocobo left or right
In manual operation, it is a lot easier to win the races. There is a simple strategy for winning the race.
Hold down the  +  at same time. This will continuously fill the stamina gauge.
When the race begins, while holding  +  down, press the  button until you see a slight fluctuation in the stamina gauge. This will increase your speed to sprinting mode, without losing stamina. This should get you ahead of any crowd up through the A Classes. Once you get your Gold Chocobo, this will really only be a must in the S Class races. The only trouble you will have is Teoh. But if you are on the long track, stay ahead of him in the slow area, or have an intelligent enough Chocobo, you should do just fine.
A way to keep track of how the other Chocobo's are fairing, is to watch their image on the top of the screen. whenever a Chocobo is doing something, there is a different icon for them. Whether it is standard running, sprinting, or being worn out. Here is the run down on what you are looking at.

	Chocobo's running at their normal speeds.
	Chocobo's are using thier Stamina for extra speed
	Chocobo has run out of Stamina completely
	The unfortunate losers of the race. (This is Teoh's Chocobo from being beaten in the B Class :D)
	The 2nd place winner
	The 1st place winner

When you win, you will receive a prize. The prize is determined by who came in second with you. You then have the option of keeping the prize, or turning it into GP. If it is not something rare, I would suggest turning it into GP. This is the best way to get GP for items in the Wonder Square, or battling in the Battle Arena. (Remember the Battle Arena is 10 GP/battle) It is random, to my knowledge, on what prize you get. You might get the top prize, or you might not. Below is the list of available prizes in each class:

S Class prize

Once you win 10 straight S Class races, Ester will give you several gifts. They are:
Sprint Shoes
Precious Watch
Cat's Bell
Chocobracelet
Counter Attack Materia

Definitely worth racing those ten races huh?. This also makes it easier to get some needed GP. If you win one of these things as a racing prize, you can get the GP rather than the prize.

That is about all there is to Chocobo racing and betting in a nut shell. It can be very time consuming, but the rewards make it all worth while.
Get in there, and begin racing your Chocobo's. Or if you feel lucky place your bets!