Polymarket’s New Play: Betting Against Its Own Users. Wait, What?

Imagine you stroll into a casino and find out the house is now betting against you directly.

Welcome to the bizarre new chapter in Polymarket’s story, where this popular crypto prediction market is assembling its own internal team to trade against its users.

That’s right, no more just letting traders bet among themselves. Instead, Polymarket’s gearing up to act like the casino, matching your bets with their own wallet.

Careful odds-setting much like a traditional sportsbook

This fresh twist comes hot on the heels of Polymarket’s rise to fame during the 2024 election frenzy, when their markets became a go-to gauge for public mood.

Now, the latest buzz in the social media is that the company’s mission is to boost market liquidity by hiring market makers who will set prices and take the opposite side of every wager.

The official line is smooth trading and more vibrant markets.

But critics see this as a crafty move to patch a money problem, Polymarket doesn’t charge trading fees, so this internal desk could be their new cash cow.

There’s a hint Polymarket plans to roll out parlays, or combined bets, which require careful odds-setting much like a traditional sportsbook.

This would prompt a transformation, morphing Polymarket from a prediction market into a betting house with a glossy crypto veneer.

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Transparent markets?

Experts have slammed the door on this gamble. Statistician Harry Crane calls out the plan as a recipe for trouble.

The income these traders might generate barely scratches the surface compared to Polymarket’s massive valuation.

Worse, if the in-house desk starts raking profits, expect public outrage, and maybe a legal showdown a la Kalshi, another platform that danced too close to the regulatory fire.

More troubling is the blow to Polymarket’s soul. Once celebrated for transparent markets driven by real traders’ wagers, the new setup risks skewing odds toward whatever the house desires.

The critics say the platform’s signature trust factor could crumble, and with it, its value as a reliable barometer for real-world outcomes. And honestly, that sounds bad.

The house always wins?

For many users drawn to Polymarket’s upfront vibe, this switch feels like a betrayal.

Turning into “the house” might chase away loyal bettors who want clear, crowd-sourced insights, not a rigged game that echoes Las Vegas.

So, heads up, crypto prediction fans, tread cautiously.

Polymarket hasn’t nailed down the launch date for this internal team yet, but the plot thickens, and your bets might soon be met by the house’s own cards.