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Bernstein: The prediction market is evolving into a broader information trading venue.
On November 6, The Block reported that Bernstein analysts stated that as the regulatory environment becomes clearer, institutional investment increases, asset tokenization develops, and the deep integration with retail brokers and the crypto market continues to advance, prediction platforms are accelerating their transformation into broadly information-driven trading venues. This trend will promote the rise of global liquidity and mainstream adoption. In a report on Thursday, a team of analysts led by Gautam Chhugani pointed out that prediction markets are “evolving into a broader information market” and emphasized that market demand has far exceeded that in politics and sports, expanding into areas such as economics, culture, corporate activities, and financial indicators. Prediction markets allow users to trade “yes/no” type contracts: if an event occurs, it pays $1, and if it does not occur, it pays $0, while the contract price reflects the market's implied probability of the event's outcome.