Wall Street seems convinced that prediction markets are here to stay, cementing the status of platforms like the crypto-based prediction market Polymarket as a dominant fintech player.
In October, Bloomberg Markets surveyed 406 Wall Street pros and asked their views on popular prediction markets like Polymarket and Kalshi.
Related: Google Finance to integrate Polymarket and Kalshi prediction data
Launched in 2020, the New York City-headquartered Polymarket is the world’s largest prediction market. It lets traders predict events like future Bitcoin (BTC) price, election results, Federal Reserve policy, etc., by paying with cryptocurrency.
The owner of the New York Stock Exchange (NYSE), Intercontinental Exchange Inc., last month announced an investment of up to $2 billion into Polymarket.
When asked if the respondents anticipate gaming and finance to intersect more in the future, approximately 90% of them voted in the affirmative.
While most of the respondents anticipate gaming and finance to eventually intersect, they also expect regulatory bodies to address the eroding distinction between trading and gambling.
Nonetheless, the respondents optimistic about the future of prediction markets are rather cautious while themselves dealing with these platforms and do not trust them to inform their investment decisions.
While Wall Street bros are optimistic of the future of prediction markets like Polymarket, they don’t expect tokenization to seriously disrupt the entire financial system as Robinhood (Nasdaq: HOOD) CEO Vlad Tenev would have everyone believe.
Tokenization is the process of deploying blockchain technology to turn real-world assets (RWAs) like stocks, funds, real estate, etc. into digital tokens. This way, assets like stocks get traded 24/7, unlike on Wall Street, and investors even have access to fractional offerings.
While the tokenized assets market is growing and the industry expects to upstage the dominant players, the traditional financial system still remains the favorite of retail traders due to its long-standing operations and regulated status.
This story was originally published by TheStreet on Dec 2, 2025, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
