Prediction markets move behind the scenes as infrastructure

The real signal is commoditization: prediction markets are losing their standalone identity and becoming a settlement layer for larger trading venues, much like how DeFi protocols got absorbed into aggregators. This matters because it shifts competitive dynamics from winning retail users to owning liquidity and execution rails, where AI agents and API integrations decide flow. The open question is whether aggregation compresses margins or expands the market by making these assets as accessible as spot or derivatives, and whether the underlying oracles and resolution mechanisms hold up under cross-platform arbitrage pressure.