As prediction markets attract growing interest from financial institutions, investors and regulators, questions around market structure, oversight and institutional participation are becoming increasingly important. The NEXTPredict Summit, taking place in New York City on October 22–23, will bring together industry participants to examine these developments, with discussions focused on institutional adoption, regulation, market infrastructure and emerging use cases.

In an interview with Traders Magazine, Pierre Lindh, Co-founder and Managing Director of NEXTPredict, discusses the industry’s transition from niche markets toward broader financial applications, the challenges facing operators and investors, and what attendees can expect from the summit.

What inspired the launch of NEXTPredict, and what makes this year’s summit particularly timely?

We launched NEXTPredict when it became clear that prediction markets were no longer a niche conversation within sports betting or cryptocurrency. The industry was attracting attention from financial institutions, regulators, media organizations and investors, but there was no central forum bringing those conversations together.

The timing is significant because the industry is entering a new phase. Questions around institutional participation, regulation, market structure and real-world applications are becoming immediate priorities for the people building the category. What we’re seeing is an industry moving from the margins toward the mainstream.

What are the main themes shaping the agenda, and which discussions do you expect to generate the most debate?

The agenda is built around four themes: institutional adoption, regulation, market infrastructure and real-world use cases.

Regulation will likely generate the most debate. The industry is still working through fundamental questions about how different types of prediction market contracts should be classified and supervised. The answers have significant implications for operators, investors, institutions and users.

There is also a broader conversation about whether prediction markets become a distinct asset class, a risk-management tool, an information product or some combination of all three. That debate may be just as important because it speaks to what this industry ultimately becomes.

Which speakers or sessions are you particularly interested in, and why?

I’m particularly interested in the discussions that bring institutions, operators, investors, policymakers and market infrastructure providers into the same room.

Prediction markets have reached a point where the industry’s biggest opportunities and challenges need to be considered from several perspectives. The future of the category will depend on how those groups work together, which makes these discussions especially important.

The industry has spent the past several years proving there is demand for prediction markets. The next stage is determining how they scale, attract institutional participation and fit into the broader financial system. Those are the conversations that matter most right now.

How do you see prediction markets evolving beyond their traditional focus on politics and sports?

Politics and sports helped introduce prediction markets to a broader audience, but the larger opportunity lies in helping organizations make better decisions under uncertainty.

Across finance, media, research, forecasting and risk management, there is growing interest in how market-based probabilities can inform decisions. We’re already seeing early examples of that evolution.

Over time, their most significant impact may come from helping individuals and institutions understand and price uncertainty more effectively.

What role could institutional investors and established financial firms play in the growth of prediction markets?

Institutional participation could be one of the industry’s defining growth drivers.

Large financial firms bring liquidity, credibility, research capabilities and new applications for prediction market products. Many are already studying the category closely, both for research and as a potential tool for clients.

Retail participation has helped establish demand. Institutions can build on that foundation by expanding the ways these markets are used and connecting them to a wider range of financial and business decisions.

What are the biggest regulatory challenges facing the industry, and how will these be addressed at the summit?

The central challenge is establishing a clear and durable framework for regulating prediction market contracts.

Regulators, policymakers and industry participants still have differing views on where certain products fit and which rules should apply. That uncertainty affects investment decisions, product development and institutional participation.

The summit will bring these groups together to discuss those questions directly. Having regulators, operators, investors and market participants in the same forum creates an opportunity to understand different perspectives and identify where greater clarity is needed.

What do you hope attendees will take away from NEXTPredict, and where do you see the industry heading in 2027?

The objective is for attendees to leave with a clearer understanding of where the industry is heading and who will help shape its future.

The prediction markets industry is being formed. We’re building its home. 

Prediction markets have already demonstrated an ability to attract attention and generate growth. The more important question now is how the industry evolves into a durable ecosystem that includes operators, institutions, regulators, media organizations, investors and infrastructure providers. 

By 2027, the conversation will likely be less about whether prediction markets matter and more about how they fit into the broader financial and information ecosystem. The organizations helping answer that question will play an important role in defining the industry’s next decade.