Woofun AI reports that Binance founder CZ engaged in a discussion with Galaxy Research Director Alex Thorn on the Galaxy Brains podcast, where he characterized prediction markets as a valuable mechanism for price discovery and liquidity provision. CZ argued that real-money participation enhances forecasting accuracy by incentivizing informed traders, while welcoming the regulatory licensing of Polymarket and Kalshi in the United States as a positive step toward responsible industry development.

Regarding Hyperliquid, CZ acknowledged that the platform has successfully validated a previously unverified market demand through its technological innovation, despite its small team size.

However, he noted that he would not adopt Hyperliquid's current KYC-free model based on his own experience, suggesting that traditional financial institutions like CME could better serve the U.S. institutional market if they launch crypto perpetual contracts. CZ concluded that increased competition among derivative platforms ultimately benefits users by improving overall market liquidity.