Prediction Markets: The Potential Multi‑Trillion Dollar Asset Class Hiding In Plain Sight
ARK Investment Management·2026-04-25·via All Articles on Seeking Alpha
Summary
In a world where trust in information is breaking down, prediction markets offer a model for truth discovery backed by capital, not opinion.
In this article, we argue that prediction markets will not disrupt sports betting and that they could become a foundational layer of financial services, impacting markets well beyond sports.
Two distinctive types of prediction markets are emerging today, one global and one US-based, with regulation as the key differentiator.
Prediction markets in the US are highly regulated, requiring infrastructure to enable operational control and strict compliance.
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By Nicholas Grous, Director of Research, Consumer Internet and Fintech | Varshika Prasanna, Research Analyst, Fintech | Raye Hadi, Research Associate, Digital Assets
In a world where trust in information is breaking down, prediction markets offer a model
