Sky price

Original author: Dylan Bane, Messari analyst Original compilation: TechFlow   The application of prediction markets has extended beyond the electoral realm, demonstrating market fit (PMF). Betting volume is surging, investors are flocking to it, and new methods from information perpetual contracts (information perps) to Telegram bots are entering the market. So, what exactly works and maximizes trading volume growth? The 2024 election saw Polymarket's trading volume soar from $62 million in May to $2.1 billion in October, a 3268% increase. Mainstream media outlets such as CNN and Bloomberg cited Polymarket's odds in their live broadcasts, which were presented alongside traditional poll data. In fact, prediction markets ultimately beat polls in predicting election outcomes. After the election, trading volume in the forecast market declined but remained stable at over $1 billion per month. Combined with Kalshi's recent surge in trading volume, investors believe the prediction market has validated demand and is poised for further growth. About 90% of the funds are concentrated in two platforms, Polymarket and Kalshi, and the valuation is close to ten figures (i.e., billions of dollars). These industry leaders have built liquidity and are now focusing on expanding trading volumes and strengthening market defenses, as large exchanges like Hyperliquid and Coinbase are eyeing this space. However, with over 100 prediction market projects and counting, there are plenty of opportunities in them. The question is, how should investors find the best opportunities in this increasingly complex and noisy space? We believe the best way to address liquidity issues and increase trading volume is to attract retail speculators. Prediction markets can attract this segment by focusing on accessibility, fun, user experience, and high potential financial gains. Due to the constant volatility of perpetual contracts, they overcome the problem of slow settlement speeds in binary outcome markets that hinder speculators. Such perpetual contracts can also track interesting and easy-to-understand topics that do not currently have an existing market. Front-end platform Instead of building native liquidity, startups can source supply from existing industry leaders and provide users with a higher quality trading experience. For example, Flipr offers a trading terminal, trading bots on the X platform, and leverage up to 10x leverage with existing liquidity. Social apps Gamified apps or social experiences can make predictions more interesting. Just as sports betting is inherently a social experience, prediction markets can foster a similar interactive experience. In the early stages of prediction market adoption, the design space is vast. Basket trading, managed indices, celebrity copy trading, parlays, and many more innovative forms are worth exploring.   Click to learn more about ChainCatcher's job openings   Recommended reading: With the official conclusion of DeFi iconic symbols MKR and DAI, how can SKY re-host market expectations? NAKA stock price plummeted 54% in one day, and the market is starting to get tired of DAT? Base Chain Coin Launch Coming Soon? 6 items to watch Return to the throne, Pump.fun Resurrection