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Good morning!
Here are the major headlines for today:
- Major cryptocurrencies are stable; BTC at $62.7k
- Ethereum Foundation plans to reduce its budget by 40% and cut 20% of its workforce
- BlackRock suggests allocating 1-2% of portfolios to BTC
- Hayes’ Maelstrom presents a bullish outlook for CARDS token (up 15%)
- Meta is launching a prediction market named “Arena”
🎰 Meta Is Entering the Prediction Market Arena
Mark Zuckerberg is eager to tap into the burgeoning field of cryptocurrency-related finance.
According to a report by the New York Times, Meta is testing a prediction market platform called “Arena.” Currently, this platform operates on a points-based system instead of real money, allowing it to circumvent the gambling and derivatives regulations that apply to cash-based platforms like Kalshi and Polymarket.
This isn't Meta's first foray into the world of cryptocurrency or Web3. The company has been involved in the crypto space for years, from its unsuccessful attempt with the Diem stablecoin to substantial investments in the metaverse, along with renewed interest in stablecoins. A prediction market seems like a logical next step, as Meta already possesses two crucial assets for such platforms: billions of users and the social networks where this type of betting can thrive. Integrating event markets into Instagram or Facebook could provide Meta with immediate distribution, a feat that independent apps often struggle to achieve over years and with significant investment.