We haven't seen the worst of what gambling and prediction markets will do

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> Two-thirds of Americans now believe that professional athletes sometimes change their performance to influence gambling outcomes.

I'm not sure this is a bad thing. It's just bringing to public visibility exactly what happens across the stock market. Public companies do this all the time -- engineer their performance end earnings to influence <strike>shareholder</strike> gambler expectations on earnings day.

> I don’t think people have thought hard enough about how bad this could get.

given that the crypto anarchist papers from the 90s that these markets are built on are very well thought out instruction manuals about how bad it could get, this title implies users are gullible idiots as opposed to the creators and power users

An individual's susceptibility to a vice is an individual problem. So I take issue with all the flippant comments about this being a "gambling loophole", like, who cares? I don't think any financial game should be seen as a different category than the other.

Even the "positive expected value" framework masquaraded as a distinction between trading and a casino game is completely false and entirely a cultural distinction. There are many equities and bond trades that have lower expected value than a casino game, even this forum is populated by people that receive shares and derivatives as compensation, who will earn nothing - even lose money - under positive outcomes. Exhibit A. Not everyone needs to care how a particular financial game is perceived. Not all cultures need any social segregation of gambling versus another way of making money from money. I'd rather be part of those cultures. And in the US/Western gambling regulatory frameworks and prohibitions, prediction markets don't fit, that isn't a loophole to me. They are structurally different and I'm not entirely sure what people want to happen and how it is supposed to be enforced. I don't get the impression they've looked at all, and are just operating on a feeling that I find irrelevant.

And on the insiders, yes, that's the point of prediction markets. They are intended to be distributed bounties with plausible deniability. That's literally what Jim Bell's 1995 crypto-anarchist paper was about.

In the natural course of finance, every asset, including information, should be tradable, as long as improvements in liquidity continue to come.

I'm sorry, but all this handwringing just smacks of moral Puritanism. If you want to do it, do it. If you don't, then don't.

Any sort of gambling should be limited to, say 20% of your average yearly tax (last 5 years). Prediction market should be banned.

Why is this such a big deal?

I don't get why people make such a big deal betting on sports; if you want to waste your money go for it.

More doomer takes. The world survived two world wars and a cold war. This stuff is nothing. Engagement bait as usual.