Have you noticed? In prediction markets, no matter how absurd the event, the price of "YES" and "NO" always sums up to $1. It sounds magical, but it's no coincidence—this is the fundamental law of probability at work. The sum of probabilities of all mutually exclusive events must equal 100%.

This simple YES + NO = 1 is actually the core code of the DeFi revolution. It kills the possibility of market manipulation by whales through code, allowing global funds to compete under completely transparent rules. The final result? The market's true pricing of the future emerges.

When rules are encoded into algorithms, trust no longer requires a third party. Funds can flow frictionlessly on-chain, and value can be transmitted directly. This is something traditional finance can never achieve.

But what if the reverse? If prediction markets use mathematics to price the future, is there a way to use the same logic to generate yields on current assets? Some on-chain liquidity staking protocols are doing just that. They don't play prediction games; they do one thing: wrap your assets into interest-bearing liquidity tokens.

Your tokens can earn staking rewards on-chain and also be used as liquid assets for lending, trading, and other ecosystems. One asset, two sources of income. All rules are written into smart contracts, unchangeable, operating 24/7. No business hours, no manual intervention—purely code-driven.

This is the most powerful aspect of DeFi—it turns finance into algebra.