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In trading, there are penalties for insider trading. In sports betting, teams get disqualified for match fixing. So there is protection against adverse selectio
by ReaLNero 5y ago
In trading, there are penalties for insider trading. In sports betting, teams get disqualified for match fixing. So there is protection against adverse selection. What about here? If the bet is "Will Apple air an ad at the Super Bowl," am I violating the rules by working at Apple? You really need users to trust that everyone's on an even playing field.
- lariati 5y agoThe whole point of a prediction market is to try to uncover hidden information like this. I remember this idea was floated after the 9/11 attacks. A spike in a terror attack odds would be an early warning system as someone with inside information on a terror attack tried to profit from it. This idea was shot down somewhat quickly though. It is really a different animal than the stock market in a sense although the stock market still operates on information vs noise trades.