Meta started internal testing of a prediction market app with employees that lets users compete on guessing event outcomes without putting real money on the line. The Wall Street Journal reported Friday that the app, which currently uses the name Takes, allows users to bet "cred" points. Correct predictions on Takes earn cred while wrong ones lose points. This testing follows June reports that CEO Mark Zuckerberg directed employees to build a standalone prediction market app called Arena, though Meta had not ruled out eventually allowing real-money betting.
Points vs cash
The app avoids real money, which distinguishes it from mainstream platforms like Kalshi and Polymarket. These existing platforms face lawsuits from states that accuse them of offering illegal gambling, although those companies maintain their event contracts fall under federal government jurisdiction. Meta declined to comment or provide a timetable for a public release. I find the pivot to points a transparent way to sidestep the legal heat currently hitting money-based competitors.
| Feature | Takes App Details |
|---|---|
| Current Name | Takes |
| Previous Name | Arena |
| Currency Type | "cred" points |
| User Base | Meta employees |
Legal disputes over derivatives
Commodity and Futures Trading Commission Chair Michael Selig criticized states for pursuing criminal charges against prediction market executives during the Cantor Convergence conference on Friday. He added that these disputes should go to the Supreme Court. "Somebody says it’s gambling, somebody says it’s a derivative," Selig said. He stated, "That’s not something that should be at the risk of going to jail."
