Prediction Market Guides: Available Markets, How to Buy Contracts, & More

Updated: Jan 27, 2026, 10:32 AM ET

Written by Damien Souness, Chief Innovation Officer

Prediction markets are built around forecasting outcomes, not placing wagers. These platforms let users express a view on future events by trading simple outcome-based contracts across topics like sports, politics, economics, technology, and pop culture. Contract prices move as new information enters the market, offering a real-time snapshot of collective expectations.

Our prediction market guides serve as a starting point for navigating the prediction market landscape. You’ll find practical explanations of how contracts work, what pricing signals mean, and how different market categories are organized. Each guide below dives into a specific area so you can explore prediction trading as an informed user.

Hidden Costs of Event Trading

Read Market Prices as Probabilities

Prediction Markets vs Sportsbooks

What is Event Betting?

Are Prediction Markets Legal

❓ How Do Prediction Markets Work?

A prediction market is a platform where people trade shares tied to future events. The price of each share reflects the market’s collective belief about how likely the event is to occur.

👮 Are Prediction Markets Legal in the US?

Yes, prediction markets are legal in all 50 states as long as our recommended platforms are licensed and regulated by the CFTC.

💸 Can You Lose Money on Prediction Markets?

Yes. If an event doesn’t happen, your shares settle at $0, meaning you lose the amount you invested.

🔎 What Can You Predict on Prediction Markets?

Common categories include politics, sports, finance, business, weather, and cultural events. However, every prediction market site picks its own events, so you will need to check that the site has what you’re looking for before joining.

💰 How Does Pricing Work in a Prediction Market?

Prices range from $0.01 to $0.99 and represent the implied probability of an outcome. For example, a price of $0.70 suggests a 70% chance of the event happening.

Trade Responsibly

Prediction markets involve financial risk, and outcomes are never guaranteed. In light of this, trading should always be controlled and enjoyable. Keep your activity in check by following responsible trading practices such as:

Set a Budget:

Only trade money you can afford to lose and stop when your budget is reached.

Don't Chase Losses:

Avoid increasing trade size or frequency to recover losses.

Trade with a Clear Head:

Don't trade when stressed, tired, emotional, or under the influence.

Set Time Limits:

Take breaks and avoid letting trading interfere with daily life.

Know Your Stuff:

Learn how contracts, pricing, fees, and settlement work before trading.

Use Platform Controls:

Use spending limits, account history, or self-exclusion tools where available.

For guidance on responsible trading and risk awareness, the following free official resources are available:

SEC OIEA

FINRA

To make sure you get accurate and helpful information, this guide has been edited by Jason Bevilacqua as part of our fact-checking process.

Advertiser disclosure

Prediction Market Sites

Tech Prediction Sites

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Culture Prediction Sites

Economy Prediction Sites

Political Prediction Sites

Sports Prediction Sites

Hidden Costs of Event Trading

Read Market Prices as Probabilities

Prediction Markets vs Sportsbooks

What is Event Betting?

Are Prediction Markets Legal

Crypto Prediction Sites

Damien Souness

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Chief Innovation Officer

Dave Garofolo

Content Producer

Pat Sharyon

Special Correspondent

Mac Douglass

Senior Editor

Ryan Leaver

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Senior Sports and Sports Betting Editor

Jason Bevilacqua

Head of Content and Communities

Anthony George

Affiliate Manager

Nick Slade

LinkedInTwitter

Chief Content Officer

DEL Anthony DEL George

Affiliate Manager

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