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Prediction Markets101

Probability (implied)

If YES is at $0.65, the market thinks the event has a 65% probability.

Prediction Markets 101 editorial team Updated April 16, 2026 1 min read

Definition

The implied probability of a prediction market is simply the current price of the YES contract, expressed as a percentage.

Plain-English explanation

Prediction market prices are uniquely clean probability estimates — no need to decode American or decimal odds, no vig to strip out. A $0.42 YES contract means the market thinks 42% chance of YES.