Prediction markets are rapidly expanding beyond sports and politics into traditional financial markets, offering traders new ways to speculate on US stocks, indexes and company events while raising questions over investor protection and regulatory oversight, according to independent data and regulatory experts cited by Reuters.
The industry, led by platforms such as Polymarket and Kalshi, has gained prominence by allowing users to trade contracts tied to a wide range of outcomes. Over the past year, the platforms have increasingly moved into markets linked to corporate performance and stock prices, according to independent research and a Reuters review.
