Vitalik: If the prediction market can solve the interest problem, a large number of hedging application scenarios will emerge and further increase the trading volume

Ethereum founder Vitalik Buterin wrote on Warpcast that an important point I would like to add to the debate on the pros and cons of prediction markets is that most mainstream prediction markets currently do not pay interest, which makes them very unattractive in terms of hedging. Because just participating means giving up the guaranteed 4% annualized return on the dollar. I expect that once this issue is resolved, there will be a large number of hedging application scenarios and transaction volume will increase further.