Prediction markets let you take a position on the outcome of real-world events. Each market asks a question about something that may happen in the future, and you choose the outcome you believe is most likely.
Common market categories include Politics, Crypto, World Cup, NBA, and Economy.
What Are YES and NO Shares?
Most prediction markets use two possible outcomes:
Outcome | Meaning |
YES | You believe the event will happen. |
NO | You believe the event will not happen. |
Example
Market Question:
"Will Bitcoin reach $150,000 by December 31?"
Buy YES: You think Bitcoin will reach $150,000 by the deadline.
Buy NO: You think Bitcoin will not reach $150,000 by the deadline.
If the official result matches your choice, your prediction is correct. If it does not match, your prediction is incorrect.
Multiple-Outcome Markets
Some markets offer more than two outcomes. For example, a football match may have:
Team A Wins
Draw
Team B Wins
Each outcome can be selected independently, but the principle is the same: you are predicting which result will officially occur.