Meta is reportedly building a prediction-market app codenamed 'Arena' to compete with Polymarket and Kalshi, confirmed by multiple outlets. The app is designed to use a video-game-like points system at launch, with the possibility of real-money betting added later. It's targeting a large user base of 18- to 34-year-olds. The headline's 'hook young people on gambling' framing is editorial spin — there's no reporting to back up claims about Meta's intent to create addiction. What we know is the product design and target demographic; the motivation behind that targeting is speculation. Prediction markets do sit in a legally murky zone. They operate close to gambling territory, and federal regulators are still fighting over whether these markets count as gambling or legitimate financial instruments. Polymarket and Kalshi have exploded in usage since the 2024 election, which may be driving Meta's interest in the space.