Binance founder Changpeng “CZ” Zhao has unveiled Predict.fun, a new prediction market built natively on BNB Chain. Announced in a post on X, the platform was created by a former Binance employee and allows users to earn yield on funds while keeping positions open, effectively generating passive income as events resolve.
The platform tackles a common inefficiency in the prediction market sector, where traders often have to lock up capital without earning any return during the waiting period.
Prediction markets remain highly concentrated. Polymarket has recorded over $3 billion in total trading volume, compared with Kalshi’s roughly $587 million and smaller platforms like Limitless, which has processed about $10.9 million, according to Polymarket Analytics. New entrants frequently see activity spikes from reward campaigns but often struggle to maintain user engagement once incentives end.
Predict.fun benefits from BNB Chain’s strong ecosystem, which leads all blockchains in active wallets and has nearly doubled its number of active addresses over the past year. Token Terminal estimates BNB Chain commands a 25% market share in the sector.
Still, the chain faces a liquidity constraint due to limited stablecoin issuance, posing challenges for Predict.fun. The platform’s immediate test will be generating steady trading volume and competing with smaller rivals like Limitless. While BNB Chain’s large user base provides an edge, success is not guaranteed in a market where liquidity advantages quickly accumulate.
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