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Why Prediction Markets Aren't Popular

Nick Whitaker, J. Zachary Mazlish·May 17, 2024·Blog
Prediction markets fail because they attract no savers, gamblers, or professional traders

Why It's Worth Reading

Argues that prediction markets' unpopularity isn't due to regulation but fundamental demand-side issues. Markets need savers, gamblers, or sharps to function, but prediction markets attract none: they're zero-sum (no savers), have long resolution times (no gamblers), and are too small for professional traders (no sharps).

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