For one, it creates insanely imbalanced systems where two sides of a 50/50 market have completely opposite world views that when the market resolves may have access to sources, whether completely fake or misinfo'd, that lead them to believe the market should be settled in their favor. This then puts the prediction market in a place where it is the "arbiter" of reality - in a world where media has become so corrupt and full of noise, finding out what actually happened can be really hard.
So then, a market such as this seems inevitable to me because you can then point to markets and say "see, it resolved this way." It does not perfectly align with truth but with market forces would probably lead to more truth than a reality where you just cherrypick whatever biased source that makes you feel good does. And of course, the market itself can become corrupt.