AI-Driven Market Manipulation and Political Forecasting: A Looming Challenge

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A 2028 MarsBit report explores how AI could distort prediction markets like Kalshi during a Vance vs. Cuban U.S. election. Unexplained price predictions favoring Vance raise red flags. Fear and greed index swings may signal coordinated manipulation by foreign-backed actors. While no direct voter impact is proven, the risk of public panic and distrust grows. Historical manipulation in 1916 and 2012 elections shows the pattern. Market resilience and transparency reforms are under debate.
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