Who Wins and Who Loses in Prediction Markets? Evidence from Polymarket

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Summary

This paper analyzes prediction market data from Polymarket to determine which traders win and lose, providing evidence on market efficiency and participant behavior.

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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.