How Prediction Markets Work · 5 min read

How Prediction Markets Work

What you're trading, who lists it, what the price tells you, and what can change before settlement. The mechanics, in plain English.

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What kinds of markets are available?Who creates or lists the markets?Can I create my own market?What information is provided for each market?Can markets be cancelled, changed, suspended, or restricted?How often are new markets added?What is a contract?What does the price of a contract mean?

How Prediction Markets Work

What kinds of markets are available?

Predictor may provide access to event contracts across categories such as sports, politics, entertainment, finance, technology, weather, world events, and other topics, subject to exchange listing, regulatory approval, partner availability, and market rules. Each market will clearly state the question, the available outcomes, the deadline, and the settlement criteria.

Who creates or lists the markets?

Predictor does not list contracts. Eligible contracts are listed by the relevant CFTC-regulated exchange. Predictor may provide the user-facing experience and educational information, but contract listing, market rules, and settlement are governed by the applicable exchange rules and contract terms.

Can I create my own market?

No. Users cannot create their own markets on Predictor. Available markets are based on contracts listed by the relevant regulated exchange and made available subject to eligibility, jurisdiction, partner requirements, and risk controls.

What information is provided for each market?

Each market should provide the information needed to understand what you are trading and how the contract may settle.

  • The exact market question and available outcomes.
  • Current pricing and other market information, where available.
  • Market rules, settlement criteria, official sources, and relevant deadlines.
  • Fees, order details, and risk disclosures where required.
  • Any additional conditions, limitations, or special rules that may affect settlement.

Can markets be cancelled, changed, suspended, or restricted?

Yes. The applicable exchange rules and contract terms govern what happens if a market is cancelled, changed, suspended, restricted, or cannot be resolved as expected. Predictor also reserves the right, at its sole discretion, to amend, suspend, restrict, or withdraw access to any market, product, or feature, in whole or in part, including on a jurisdictional or user-specific basis, in response to legal, regulatory, operational, or risk considerations.

How often are new markets added?

Market availability may change over time based on exchange listings, market type, news cycles, event calendars, regulatory considerations, liquidity, and partner requirements. New markets may be added, removed, suspended, or restricted without being available to all users.

What is a contract?

A contract represents a position on the outcome of a specific event.

Depending on the market, this could mean taking a position on Yes or No, choosing between multiple possible outcomes, or selecting an outcome based on a range or threshold.

Each contract has specific rules explaining how the outcome will be determined.

What does the price of a contract mean?

Contract prices are set by the market based on what buyers are willing to pay and sellers are willing to accept. Prices can move as participants trade and new information becomes available.

The price can be viewed as an indication of the market’s collective assessment of the likelihood of an outcome, but it is not a guarantee or prediction that the outcome will occur.

Disclaimer

Event contracts are derivatives and may be treated as swaps, futures, options, or other regulated commodity interests depending on their structure. Trading involves risk and may not be appropriate for everyone. You may lose the amount you put at risk.

The regulatory treatment of prediction markets in the United States is evolving and subject to ongoing legal and regulatory developments. Predictor reserves the right, at its sole discretion, to amend, suspend, restrict, or withdraw access to any market, product, or feature, in whole or in part, including on a jurisdictional or user-specific basis, in response to changes in applicable law, regulation, regulatory guidance, or internal risk assessments.

Predictor does not provide investment, legal, tax, or financial advice. All trading decisions are made independently by users.

Access to Predictor is restricted to individuals who are at least 18 years old (or the age of majority in their jurisdiction, if higher). Account approval is subject to eligibility checks, including identity verification and compliance screening.

Predictor acts as an Introducing Broker and does not hold customer funds. Customer accounts are carried by a regulated Futures Commission Merchant. Contracts are listed on a regulated exchange and may be cleared through a designated clearinghouse.

Products, services, and markets may not be available in all jurisdictions and may be subject to change.

Markets

  • Trending
  • Sports
  • Politics
  • Finance
  • Entertainment
  • Crypto
  • Weather
  • Tech
  • World

Learn Hub

  • Getting Started
  • How Prediction Markets Work
  • Predicting, Settlements and Outcomes
  • Trading Responsibly
  • Security and Privacy
  • Glossary

Company

  • About Predictor
  • Contact

Community

  • Instagram
  • TikTok
  • X

Markets

  • Trending
  • Sports
  • Politics
  • Finance
  • Entertainment
  • Crypto
  • Weather
  • Tech
  • World

Learn Hub

  • Getting Started
  • How Prediction Markets Work
  • Predicting, Settlements and Outcomes
  • Trading Responsibly
  • Security and Privacy
  • Glossary

Company

  • About Predictor
  • Contact

Community

  • Instagram
  • TikTok
  • X

Markets

  • Trending
  • Sports
  • Politics
  • Finance
  • Entertainment
  • Crypto
  • Weather
  • Tech
  • World

Company

  • About Predictor
  • Contact

Learn Hub

  • Getting Started
  • How Prediction Markets Work
  • Predicting, Settlements and Outcomes
  • Trading Responsibly
  • Security and Privacy
  • Glossary

Community

  • Instagram
  • TikTok
  • X

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Predictor © 2026. All rights reserved

Terms of ServicePrivacy PolicyCookiesFee ScheduleDisclosures

Event contracts are derivatives and may be treated as swaps, futures, options, or other regulated commodity interests depending on their structure. Trading involves risk and may not be appropriate for everyone. You may lose the amount you put at risk. The regulatory treatment of prediction markets in the United States is evolving and subject to ongoing legal and regulatory developments. Predictor reserves the right, at its sole discretion, to amend, suspend, restrict, or withdraw access to any market, product, or feature, in whole or in part, including on a jurisdictional or user-specific basis, in response to changes in applicable law, regulation, regulatory guidance, or internal risk assessments. Predictor does not provide investment, legal, tax, or financial advice. All trading decisions are made independently by users. Access to Predictor is restricted to individuals who are at least 18 years old (or the age of majority in their jurisdiction, if higher). Account approval is subject to eligibility checks, including identity verification and compliance screening. Predictor acts as an Introducing Broker and does not hold customer funds. Customer accounts are carried by a regulated Futures Commission Merchant. Contracts are listed on a regulated exchange and may be cleared through a designated clearinghouse. Products, services, and markets may not be available in all jurisdictions and may be subject to change.