Crypto Analyze

Research Suggests Mispricings on Polymarket May Allow Traders to Lock in Risk‑Free Arbitrage Profits

2025-09-18 03:05

Research Suggests Mispricings on Polymarket May Allow Traders to Lock in Risk‑Free Arbitrage Profits

Polymarket arbitrage occurs when market prices violate probabilistic consistency—e.g., “Yes” and “No” shares don’t sum to $1—allowing risk-free trades; researchers found 7,000+ mispriced markets from April 2024–April 2025 and estimate