As reported by Cointribune, prediction markets are becoming increasingly competitive as informed traders outperform retail participants. 10x Research found that most users approach these markets like sports bettors, seeking quick wins, while a small group of knowledgeable traders systematically profit by exploiting mispriced optimism and order-flow imbalances. Rising liquidity and retail participation have also led to increased activity from professional trading desks, further widening the gap. Meanwhile, a bug in Polymarket's data caused trading volumes to be double-counted, according to Paradigm researcher Storm Slivkoff. Dune's data shows that only 17% of Polymarket wallets are in profit, highlighting the challenges for less-experienced traders.
Informed Traders Dominate Prediction Markets as Retail Users Struggle
CointribuneShare
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.