Charles Schwab CEO Rick Wurster highlighted the potential of prediction markets linked to macro and financial outcomes as valuable tools for investors, despite the firm's stance against sports betting. Wurster noted that these markets could provide useful probability signals for investment decisions.
Despite regulatory challenges, platforms like Kalshi and Polymarket have experienced a significant increase in trading volumes. Combined monthly trading on these platforms soared from approximately $2 billion last summer to nearly $17.5 billion in January, with sports-related contracts driving the majority of this activity.
Prediction Markets See Surge in Trading Volumes, Says Schwab CEO
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