“continuous payout curves eliminate the need for binary contracts and options workarounds”
MO compares three market architectures for expressing shaped beliefs: binary prediction markets, options structures, and continuous prediction markets. The article traces the distribution gap from the Black-Scholes era through modern crypto markets and argues that continuous payout curves replace the workarounds traders currently use.
Some technical background helpful
Platforms mentioned: Polymarket, Deribit, Dekant