The difference between Wall Street and Vegas might be getting pretty small. According to a new industry report, prediction markets could turn into a huge $1 trillion business, thereby reshaping the betting and trading culture of Americans.
A projection is coming from a gaming consultancy, Eilers & Krejcik, whose new report outlines the possible flow of money. The largest chunk of the pie would come from sports predictions at $435 billion, with financial and crypto forecasts coming second at $310 billion. News events would attract $160 billion, cultural happenings $40 billion and the rest of the topics $55 billion.
Apparently, conventional sportsbook operators have their eyes set on this space quite tightly. According to the report, they could be switching over to prediction markets to avoid heavy state gaming taxes and get away with neat gambling regulations. Moreover, with Trump in the White House again, the Commodity Futures Trading Commission may actually take a step back.
Prediction markets have the potential to change the landscape of betting on elections, crypto prices, etc. However, the realization of this trillion-dollar dream will be a matter of whether the industry can successfully cope with regulatory challenges and managing to convince people that there is more to bet on than just sports.
Editor-in-chief and creator Cole Smith of casinocurrencies.com, has extensive experience with casino payment systems, The site was created to provide an honest and trustworthy resource for online gambling players.