Crypto
AI agents reshape prediction market arbitrage as human traders \'disappear\'
AI agents are fundamentally reshaping arbitrage in prediction markets, Cointelegraph reported. Arbitrage windows can vanish in seconds when probabilities do not sum to 100 percent or prices react slowly to new information, requiring constant monitoring and instant execution that is nearly impossible for humans. Edge & Node CEO Rodrigo Coelho called it latency arbitrage dominated by automation. Research also cited frequent mispricings on Polymarket and estimated $40 million in outflows.
