Ethereum founder and developer Vitalik Buterin has discussed the enhanced potential for blockchain prediction markets, following the 2020 US Presidential election.
Buterin argues the election has been a catalyst for prediction markets, allowing ordinary people to pitch in, he explained in a lengthy analysis.
Yet, he cautioned about the subtle and more sophisticated sides of political betting. He cited an example with a prominent political wonk who argued that Kanye West's candidacy would split pro-Trump voices, but it fell short with West bungling his bid amid a personal breakdown and a botched overall campaign.
Buterin has argued that you could use blockchain tokens to cash in on the elections regardless of the result, so long as you ride the crest of public opinion and know when to get off.
Not just that, but Buterin argued a strong case for blockchain prediction markets, saying that unlike traditional future markets, there were no high fees associated with blockchain crypto markets and no limits.
With tokens such as Augur or Omen, there is no cap on how much you can sell or buy. He also took the argument to a friend, a Twitter handle known as ne0liberal, who argued that crypto markets were mistaken to endorse one candidate over another, even though Buterin argued that crypto markets were actually pinpointing the same numbers more or less.
Ne0liberal argued, though, that crypto traders were much less experienced at future predictions as well as politics. But Buterin's own punch line had to do with human behavior.
At the beginning of the election he bought NTRUMP, the former POTUS-branded crypto asset, which decreased a few times during the ensuing announcements of Trump's loss but during one of those chaotic weeks after the election, the NTRUMP token went from $0.82 to $0.88 despite the POTUS' official loss, pointing to how societal and political opinions can move a token's price.
If there is an undercurrent to the story here, it's how Ethereum has an important role to play in future markets, and not just the US Presidential election.
Buterin remains committed to Ethereum, and so are millions of people around the world, many of whom visit the best Ethereum sportsbooks, such as Cloudbet and Sportsbet.io to place a future bet when the right moment comes.