Prediction markets are breaking the news and becoming their own beat

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Summary

Prediction markets are increasingly influencing news coverage and becoming a subject of journalism in their own right, as platforms like Polymarket gain mainstream attention for forecasting real-world events.

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Looking at the data behind prediction markets

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An analysis of prediction markets like Polymarket and Kalshi, examining whether their massive trading volume actually produces valuable forecasting information or merely serves as gambling, referencing historical academic support and current data.

Models can predict future events and make money on Polymarket now?

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Researchers at the Max Planck Institute introduced FutureSim, an environment where AI agents predict real-world future events by replaying historical web data. GPT 5.5 running in Codex achieved near-perfect Brier skill scores on some Polymarket markets like Super Bowl LX, outperforming human aggregate markets, though it struggled on others like UK elections and the Grammys.