Leverage is not the steamroller here.
It’s the 90% chance of making 1$ vs 10% chance of losing 100$.
The exact numbers vary, the expectations even out with high volume stocks but prediction markets do not because of rounding that favors the house.
It’s the 90% chance of making 1$ vs 10% chance of losing 100$.
The exact numbers vary, the expectations even out with high volume stocks but prediction markets do not because of rounding that favors the house.