UK guide

Prediction Markets vs Betting Exchanges

Where prediction markets and betting exchanges overlap, and where their product design differs.

Published 1 September 2026Reviewed 18 September 2026

The shared idea

Both models allow participants to take opposing sides and let market activity influence the price. UK betting exchanges are therefore the country's closest established equivalent to prediction markets.

Different interfaces

A betting exchange often presents decimal odds and back or lay positions. Event-contract markets commonly present YES and NO shares priced from zero to one.

Fees and liquidity

Exchanges commonly charge commission on net winnings. Other venues may use trading fees or spreads. In either case, liquidity can matter more than the headline fee.