Polymarket’s crypto prediction markets didn’t anticipate Kamala Harris’s collection of Minnesota Governor Tim Walz as her vice-presidential working mate, favoring Pennsylvania Governor Josh Shapiro. Regardless of Walz being a longshot, with odds fluctuating between 15% and 25% on Polymarket, Shapiro maintained a dominant place with a 65% probability of being chosen because the finish of July.
In whole, Walz had $12.9 million price of bets positioned on him securing the place, along with his possibilities at simply 25% on the day of his choice. In distinction, $16.5 million was wagered on Shapiro attaining the VP nomination.
Governor Walz’s choice was confirmed when Harris prolonged the provide on Aug. 6, marking a pivotal second within the Democratic marketing campaign. This choice spotlights the dynamic nature of political forecasting, the place even well-regarded prediction markets can misjudge outcomes. Walz, identified for his progressive insurance policies however agency stance on regulatory points, contrasts sharply with Shapiro’s pro-Bitcoin mining stance, which had garnered important consideration from the crypto group.
Walz’s odds on conventional betting websites had been additionally low. Nevertheless, his odds had been slashed dramatically within the lead-up, one thing not seen as clearly on Polymarket.
On PredictIt, a non-crypto prediction market that, not like Polymarket, is open to US residents with out utilizing a VPN, had Walz forward on Aug. 5. Shaprio’s odds dropped dramatically, whereas Walz soared the day earlier than the announcement.
When Walz jumped to $0.62 on PredicitIt on Aug. 5, he remained at $0.27 on Polymarket. Equally, Shapiro sat at $0.64 on the identical day on Polymarket whereas he was at $0.39 on PredictIt. Questions come up about whether or not Polymarket’s crypto focus and lack of broad US citizen participation skews its affect within the 2024 US Elections.
The development towards pro-crypto nominees extends to the Presidential odds, with Harris at $0.54 on PredictIt in comparison with Trump at $0.47. On Polymarket, Trump leads priced at $0.52 in comparison with Harris at $0.47. Nevertheless, the deep liquidity of Polymarket affords a contrasting level as $533 million has been wagered in crypto in comparison with simply 32.7 million shares on PredictIt.