The growth of prediction market platforms is remarkable, but there are numerous significant challenges surrounding the operation of major services like Polymarket, Space, and Kalsi that cannot be overlooked.

First, the regulatory hurdles are high. Depending on the legal systems of different countries, many platforms are considered equivalent to gambling, making compliance difficult. Japan is also one of the countries with strict regulations, and user access continues to be restricted.

Furthermore, liquidity issues cannot be ignored. In the early stages when the market is not fully mature, trading volume and the number of participants are limited, and spreads tend to widen. This creates barriers to entry for users and hampers the overall growth of the ecosystem.