How Are Kalshi and Polymarket Worth Billions Without a Gambling License? | WSJ The Economics Of (Level 1)

New websites let people guess the future. These websites are called prediction markets. Two famous ones are Kalshi and Polymarket. Users can bet money on many things. They can guess if a sports team will win or if the price of Bitcoin will go up. The rules are simple. You answer a yes or no question. If you are right, you win one dollar. If you are wrong, you get zero dollars. The price changes when more people guess yes or no. Professional bettors like these websites. Normal casinos often stop people who win too much money. But prediction markets want more people to play. However, there is a problem. The US government is watching these websites closely. Some states do not allow sports betting. Lawmakers are arguing about the rules. In the future, these websites might face stricter laws to stop cheating and unfair bets.