The U.S. Commodity Futures Trading Commission (CFTC) has granted cryptocurrency exchange Gemini permission to launch prediction markets in the American market. Under this license, Gemini will offer contracts based on various events to U.S. users, entering a rapidly growing sector alongside platforms like Kalshi and Polymarket. Prediction markets are financial instruments that allow users to bet on future events such as political elections, economic indicators, or other social and financial developments. These markets assist investors and analysts in assessing potential future scenarios and can generate financial returns based on expectations. Gemini, a reputable cryptocurrency exchange that has facilitated digital asset trading for several years, received this approval as part of the U.S. government’s efforts to regulate and secure emerging financial technologies within a formal framework. This move is expected to enhance user confidence, market transparency, and stability. The popularity of prediction markets is anticipated to grow as both investors and the general public increasingly incorporate this innovative tool into their financial decisions. However, risks remain, including market volatility and potential stringent regulatory measures, requiring investors to exercise caution. Gemini’s launch of this new service marks the beginning of a new chapter in the U.S. financial market, fostering further advancement in the cryptocurrency and digital asset space.
Source: decrypt
