Big Names Team Up to Shape the Future of Prediction Markets

A new group called the Coalition for Prediction Markets (CPM) has just been formed. It includes big names like Crypto.com, Kalshi, Coinbase, Robinhood, and Underdog. Their main goal? To make sure prediction markets are safe, clear, and follow federal rules.

Why is this important?

Well, prediction markets are growing fast. Almost half of Americans under 45 are already using online platforms for this. But there's a catch. People often mix up prediction markets with casinos or sports betting. They are not the same.

Key Insights from Industry Leaders

• Sara Slane (Kalshi) said they wanted to be regulated from the start. She believes consistent rules are better than different interpretations.
• Tarek Mansour (CEO of Kalshi) explained that prediction markets are different. There's no "house" taking a cut, and no penalty for winning. It's more like the stock market, where people trade with each other in a fair and open way.

What’s Next?

The CPM plans to work with policymakers. They want to educate the public and clear up any confusion. Prediction markets are not about luck. They are about making informed guesses on future events. This could be anything from election results to sports outcomes.

Why Should You Care?

Well, if you're under 45, there's a good chance you've already used a prediction market. As these platforms become more popular, it's important to understand how they work. And that's exactly what the CPM is trying to do.