Prediction markets function as financial redistribution machines.A small cohort of traders capture most of the gains, while everyone else supplies the cash and the notion that this is collective intelligence. “The top 1 per cent of users capture about 84 per cent of all gains, while the top 0.1 per cent capture nearly 60 per cent. In effect, most participants lose money to a small group of sophisticated traders…”https://www.theglobeandmail.com/investing/personal-finance/article-the-investors-profiting-from-prediction-markets-the-top-1-of-course/#finance #markets #futures #predictionMarkets
