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An interesting forecast from Citizens Bank: prediction markets could reach a run rate of $10 billion annually by 2030. It sounds ambitious, but when you look at the current growth rates of this segment, the figure doesn't seem entirely fantastical.
Forecast markets as an instrument are experiencing a second renaissance. They are no longer just a niche exotic for thrill-seekers but potentially a serious asset class. People want to bet on events, politics, sports, crypto — everything under the sun. And every time a new instrument for this appears, it finds its audience.
If the run rate truly reaches such volumes, it will mean not just increased interest but the institutionalization of the entire market. Regulators will take it more seriously, larger players will emerge, and the infrastructure will become more robust.
What year could that be? If we count from today, there's still time until 2030, but the trend is already visible. It's worth paying closer attention to this segment, especially if you're interested in alternative ways of interacting with markets.