AI Search Engine Partners with Polymarket

AI search engine Perplexity has entered a partnership with Polymarket, a prominent blockchain-based betting market, to display Polymarket results. This collaboration highlights the increasing relevance of prediction marketplaces in news consumption.

Features of the Partnership

Polymarket will integrate search results from Perplexity, which includes summaries of news stories and a search box for follow-up questions. Additionally, Polymarket is utilizing Perplexity Pages, allowing users to share chatbot queries as webpages.

The Rise of Prediction Markets

This partnership is one of the few existing crypto-AI collaborations, illustrating the growing significance of prediction markets and AI in media. Platforms like Polymarket help crowdsourced predictions about real-world events, potentially providing less biased perspectives as users invest their opinions.

Geographic Limitations and Regulatory Scrutiny

Currently, U.S. users are geo-blocked from Polymarket due to a fine from the Commodity Futures Trading Commission for offering unlicensed binary options contracts. Additionally, some Democratic lawmakers are urging the CFTC to ban political event contracts.

Trading Volume and Recognition

In July, Polymarket experienced a significant trading volume of over $387 million, marking its highest month to date. The platform has been increasingly cited by major news outlets like the Wall Street Journal and even former presidents, particularly concerning U.S. election markets.

Collaboration with Substack

Recently, Polymarket announced a partnership with Substack, allowing authors to embed prediction data in their articles. Notably, political analyst Nate Silver has also joined Polymarket as an advisor.