The prediction market has grown to a scale of $14 billion in monthly trading volume, becoming a mainstream industry, but Asia is surrendering capital and leadership to the West while delaying regulatory discussions, analyzed Tiger Research, an Asian Web3 research and consulting firm. Tiger Research explained, "The prediction market has a simple structure where a contract settles at $1 if a specific event occurs, and $0 if it does not. The trading price functions as a real-time probability, and an oracle confirms the result after expiry. Participants incur losses if their predictions are wrong, thus building trust in the information they provide." It continued, "Meta's own 'Arena' project shows that even giant tech companies are paying attention to the prediction market," and diagnosed, "While the West is incorporating the prediction market into the institutional system, Asia is passively responding by enduring capital outflow, loss of information sovereignty, and a void in user protection. Asia's challenge is not to ban the prediction market, but to find ways to responsibly utilize data within the institutional framework, and avoiding discussion itself is already handing over leadership."
