It is something, that you probably knew already. Or it will even make you angry. It is kind of bad subject, you may say. I may be mistaken, because i don't know much of US politics.I am Russian leftist. But when i see some parallels to Russia - I write it here. But nevertheless, I take this risk and write about it – because ignorance is one of the things that bring us all into today mess.
A little post about some cases of recent use of predictions market to influence politics.
It was quite a long time ago – around 2013 – when crypto-anarchists created first assassination-prediction market. The idea was simple – they put a several persons to hit with price on bitcoins on them, and anyone could guess a date, when a person will die. If you guess correctly – then you can claim a price. There were such targets as Obama and as you may guess no one successfully predicted anything, site was just closed and all money and bets stolen by its creators. It stayed online for several years and one may say that it was a complete failure, but in fact it proved a very important thing. Uncertainty and predictions is a good way to avoid legal issues. Our group also learnt that lesson, by the way - but anyway – let’s move to another important case.
In Russia 2018 there was president election. As you may know – Putin is always the winner, main intrigue is who dares to run against him. And Russian betting site 1xbet were making bets on whether there will be a woman among Putin’s opponents. There was a problem – one need to gather 100 000 signatures to become a candidate, it is not an easy task. At some point, coefficients were completely overrun for “yes” and one of Putin’s relatives Kseniya Sobchak becomes his fake opponent. Most important fact for us – is that a lot of the people who make these bets for “woman in Putin’s opponents” put their signature for Sobchak as a president candidate. It was a little part of her PR campaign so to say. There is no much uncertainty in Russian politics in terms of elections, as you know. But this case is a good opportunity to understand some behavior patterns, that can work in other countries.
This tiny fact holds an important lesson – for a middle apolitical person – making bet for some political event is a guarantee that he participate in this event and try to do everything to get money from his bet.
And now combine this two cases and we get Peter (monopoly is a great thing) Tiel Polymarket and his influence to 2024 US election. So, what has happened? – our billionaire right-wing “friend” Tiel, make his site to create bets on political events. Then create a big event – stakes on "who would win president election in 2024 USA?". Sounds legit, right? Then pump a couple 10 of millions into Trumps victory, overrunning coefficients dramatically and creating a trend towards Trump victory on his site. And then – a lot of people, who made bets for Harris and watched trends there start hedging their risks or withdrawing their bets for Harris and making bets on Trump because of this. And, as you may know from our previous case – if an apolitical “middle” person make a bet on some political event, where he can participate – it is a guarantee that he will participate and make everything to get the money. It is a dumb, rude bribe to all “middle” voters, that is just hidden a little bit with uncertainty of predictions.
The fact, that USA government and society just swallow this thing and no one even rise an alarm is really strange for me. Maybe i just don't understand something - if so i am sorry. But from my perspective - You have a working machine to bribe voters and no one is doing anything about it. It is not that smart or even difficult – it is on a plain sight. You should just understand, that people are greedy and in order to form a strong left-leaning believe one has to put a lot of effort into studying revolutionary theory. Most people won’t do that.
Markets are ruled by trends, and trends follow money. One who can just bought out all the assets can create a trend and a bubble from nothing. All other participants in the market will have to follow the trend if they want to win the money. As Tiel said it – make bets on your political believes… I will add an ending to his quote – “if only you have one, because otherwise you will follow the trend, that billionaires like Peter Tiel create, if you want your money. This money is a bait that you get now, but pay for with your freedom in the future.”
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