I read your statement and my reaction is what you describe is less regulated than sports betting. For example, in sports betting there are laws by major leagues that players can not bet on games they are in. On prediction markets, if someone has insider knowledge, or can control whatever verification source is set for a bet, they can win (I believe there was an article posted earlier about some journalist reporting on a bomb that fell on an area and was pressured to change the wording to say it fell or was bombed). Additionally, as some of the prediction market wagers have weird grey areas, there are predictions that have additional sub text added after a market has been open/wages have been made which completely change the bet - that is just fast and loose and less regulation IMO