Library/No, You Can't Bet on Everything and That's Okay
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No, You Can't Bet on Everything and That's Okay

Nikhil R·December 18, 2024·Blog
prediction markets can't scale because speculators want fast payouts, not long-term bets

Why It's Worth Reading

Argues prediction markets face fundamental barriers to scaling beyond sports and elections due to misaligned incentives: speculators demand rapid resolutions (42% of election volume in final week), investors prefer wealth-building assets over locked capital, and market makers need consistent retail flow that doesn't exist for niche topics.

Some technical background helpful

Concepts

Platforms mentioned: Polymarket, Kalshi, Betfair

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