What Is YZi Labs Backed Predict.fun?

Predict.fun is a prediction market platform backed by YZi Labs and highlighted by Binance founder Changpeng Zhao. It lets users make forecasts on real events while their deposited funds continue to earn yield. 

Predict.fun runs on the BNB Chain and uses familiar prediction market mechanics, similar to Polymarket and Kalshi, but adds interest-bearing deposits to reduce the cost of keeping positions open.

This model has attracted attention because prediction markets usually require traders to lock capital until an event settles. That structure creates an opportunity cost. Predict.fun attempts to solve this issue by allowing deposits to earn yield while positions remain open.

The platform has been discussed across BNB Chain communities, in part due to its ties to YZi Labs and CZ’s public mention of the project. 

A Project With Binance Roots

Predict.fun carries a link to Binance through its founder. According to Zhao, the project was built by a former Binance employee who later joined YZi Labs’ EASY Residency Season 2 program. This program supports teams working on Web3 infrastructure, AI tools, robotics experiments, biotech systems, and consumer digital products.

Predict.fun is one of seventeen supported projects in the cohort. YZi Labs describes its goals as supporting tools that drive everyday usage on the BNB Chain. Prediction markets fit neatly into that theme because they encourage frequent onchain activity.

The team also adopted a mobile-first strategy. Before the wider release, Predict.fun ran a “Skip the Queue” program to attract early users. Much of the early appeal came from a streamlined interface built around smartphones, which aligns with usage patterns on BNB Chain where many traders operate on mobile devices.

How Predict.fun Works

Predict.fun allows users to create and participate in markets tied to real-world events. These include sports, elections, cryptocurrency movements, entertainment events, and general forecasting topics.

Users do not place classic bets. Instead, they trade shares that represent possible outcomes. The price of each share reflects the crowd’s expectation of the event result. If the event settles in favor of the outcome purchased, the share can be redeemed for a fixed payout. If the user is wrong, the share becomes worthless.

The core trading engine uses an order-book model. This setup gives users control over their entries and exits. They can execute instant trades or place limit orders at specific prices. The order-book approach is familiar to cryptocurrency traders and reduces dependence on automated market maker structures.

Why Yield Matters in Prediction Markets

Prediction markets have a simple but persistent issue. Traders must lock up funds until an event is resolved. Long-duration markets may remain active for weeks or months. During this period, locked capital earns nothing.

This is where Predict.fun attempts to differentiate itself.

Deposited funds can continue earning yield while positions remain open. This reduces the opportunity cost that usually discourages long-term participation. The idea aligns with broader industry efforts. Polymarket has used treasury incentives and reward systems. Kalshi introduced points programs and other incentives to maintain user engagement. Predict.fun follows the same trend but ties it directly to open positions.

According to early platform data, Predict.fun had around 12,000 users and roughly 300,000 total bets by December 2025. The numbers show that the project is small compared to leading platforms but is gaining traction.

The BNB Chain Advantage

BNB Chain has built a strong foundation that supports high-frequency applications like prediction markets. In November 2025, the Binance Smart Chain and opBNB together recorded more than 147 million transactions in a single week. They also reported a combined average of over 4.7 million daily active users.

Several features support Predict.fun’s growth on the chain:

• Low transaction fees
• Fast block times around 450 milliseconds
• Planned gas fee reductions
• A large stablecoin base of more than 14 billion dollars
• A network with around 25 percent of all active crypto wallets

These characteristics make BNB Chain attractive to both retail and institutional participants. Prediction markets need stable volumes and low-cost transactions because users often enter and exit positions frequently.

How Predict.fun Compares to Other Platforms

Opinion.Trade: A Strong Competitor on BNB Chain

Opinion.Trade offers an example of prediction markets scaling on BNB Chain. Between November 11 and 17, 2025, it captured 40.4% of weekly market share. It processed $1.5 billion in notional trading volume in its first three weeks and attracted more than 62,000 users.

Much of this growth was driven by OPN Points incentives and the backing of YZi Labs.

Polymarket and Kalshi: The Wider Landscape

Predict.fun enters a sector already led by large players.

• Polymarket has generated more than $2.9 billion in total volume.
• Kalshi has handled roughly $584 million.
• Smaller entrants such as Limitless have processed nearly 11 million dollars.

Predict.fun’s current scale remains small compared with these platforms. Liquidity limits on the BNB Chain also restrict rapid expansion, especially when competing against platforms with large stablecoin pools and early-mover advantages.

Predict.fun’s Competitive Positioning

Predict.fun positions itself around three main ideas:

1. Yield on deposits while positions remain open
2. Deep integration with Trust Wallet and other BNB ecosystem tools
3. Support from YZi Labs, which manages around 10 billion dollars in assets

These factors offer a path for attracting yield-seeking traders. The BNB Chain has become a popular ecosystem for retail participants, with active addresses rising sharply year over year. This provides Predict.fun with built-in distribution and a familiar environment for users already trading on the chain.

Still, the project faces known obstacles:

• Limited stablecoin circulation on BNB Chain reduces liquidity
• Regulatory complexity continues to affect global prediction markets
• Competition from established platforms remains intense

These constraints are common across the sector and require gradual scaling rather than rapid expansion.

What Comes Next for Predict.fun

Predict.fun is still in an early stage. The platform currently lists two markets with total volume around $300,000. User counts continue to rise, but liquidity concentration remains a challenge.

Growth will depend on:

• Expanding market offerings
• Improving stablecoin access
• Strengthening integrations across BNB Chain
• Maintaining yield incentives for long-duration positions

Its most valuable advantage is the ability to earn yield on open positions. This is the feature that separates it from older prediction markets that leave capital idle. User retention will depend on how well this feature works in real conditions over time.

Conclusion

Predict.fun is a YZi Labs backed prediction market supported by CZ and built on the BNB Chain. It allows users to trade event-based shares while earning yield on deposited funds. This structure reduces the opportunity cost found in traditional prediction markets. The platform uses an order-book model, integrates with Trust Wallet, and benefits from BNB Chain’s low fees and high activity levels.

The project remains small compared with leading platforms like Polymarket and Kalshi. Liquidity constraints and regulatory concerns remain important factors. Still, Predict.fun fits naturally within the BNB Chain ecosystem and offers a clear use case centered on yield, mobile usability, and familiar trading mechanics.

Resources

1. Predict fun on X: Posts on December

2. Token Terminal platform: BNB Chain data

3. Polymarket analytics platform: Data on Polymarket

4. Report by CoinDesk: CZ Teases New BNB Chain Native Prediction Market Predict.Fun

5. Report by BeInCrypto: Opinion Prediction Market Thwarts Kalshi and Polymarket With $1.5 Billion Weekly Volume