A brief overview of how to foresee the public falling out between Musk and Trump from some research on prediction markets:
- Kalshi is the only compliant prediction market regulated by the CFTC, where political and sports contracts can be traded legally.
- The relationship between Kalshi, the Trump family, and the Musk group was relatively close. Kalshi hired young Trump as a strategic advisor, and then Musk invited Kalshi's former chief advisor to join DOGE.
- However, on May 20, Kalshi announced a partnership with xAI, and shortly after major media outlets shared this news, they quickly retracted the announcement; currently, only the content from Binance Square remains.
- Subsequently, it was observed that Paradigm frequently co-hosted events with Kalshi, and according to roadside gossip, Founder's Fund added another round to Polymarket, while Peter Thiel's relationship with Elon Musk seemed to be closer, indicating some changes in the Cabal.
Recommended actions:
1. Anticipate that Musk will publicly clash with Trump and position a short on $Doge.
2. If the collaboration with Kalshi ends, it is clear that Polymarket will take over this market, so one should prepare to invest in targets like $UMA, $EIGEN, and Polyclue in advance.
In short, this is hindsight; it is shared here solely for informational purposes, and I keep reminding myself, "North Sea, think more."