How Prediction Market Profits Work
On prediction markets, you buy contracts between $0.01 and $0.99. If you're right, each contract pays $1.00. Your profit is $1.00 minus what you paid, multiplied by the number of contracts.
Example
Buy 100 Yes contracts at $0.35 each = $35 cost. If the event happens, you get $100 payout = $65 profit (186% ROI). If it doesn't happen, you lose your $35.