Kaizen begins the prediction market revolution on the Mitosis platform

2025 will be the year of decentralized financial innovation, and Kaizen Prediction Market has officially launched its closed beta phase on the Mitosis blockchain. This event is not just an ordinary beta — it represents a milestone in how prediction markets operate on Web3.

Unlike traditional prediction platforms, Kaizen uniquely combines prediction functionality with liquidity from decentralized perpetual futures exchanges. This approach has the potential to become the standard model for advanced financial applications in the coming year.

Why is Mitosis the perfect choice for Kaizen?

The Mitosis (MITO) blockchain is not an ordinary L1. It is built specifically for cross-chain interoperability and cross-blockchain liquidity — the two most critical factors Kaizen needs to operate efficiently.

Currently, MITO is trading at $0.07, with a market cap of $13.25 million and a 24-hour trading volume of $17.52K (data as of 01/12/2026). This indicates that the ecosystem is steadily growing.

Technical features of Mitosis include:

• Fast transaction processing for complex prediction orders
• Cross-chain messaging mechanism directly connected to Perp DEX
• Modular smart contract architecture for flexible development
• Low transaction fees to encourage frequent activity

The technology behind Kaizen’s success

Kaizen is not just a prediction platform. It is a three-layer system:

Layer 1: User-Defined Predictions

Users can create predictions with three parameters: target asset, price condition, and deadline. For example: “Will Ethereum surpass $5,000 in 30 days?” — and the system will handle the rest.

Layer 2: Competitive Solver System

This is the biggest differentiator. Instead of relying on algorithms or centralized management, Kaizen employs “Solvers” — professional market makers — to provide probability quotes. They compete to offer the most accurate rates, automatically incentivizing fairer pricing.

Creative aspect: Each Solver provides a quote, and the system automatically creates offsetting positions on connected Perp DEXs. This way, risk is hedged instantly, creating an automatic layer of protection that traditional prediction markets never have.

Layer 3: Profit from Idle Capital

Kaizen integrates miUSDC — a profit-generating version of USDC. While waiting for prediction results, your funds still earn interest. This solves an old DeFi problem: deposits never sit idle without earning yield.

Kaizen vs. Traditional Prediction Markets: A Detailed Comparison

Development Strategy: From Beta to Maturity

The closed beta phase begins mid-December 2024 with a selected user group. This is not a rushed milestone — the Kaizen team conducts thorough testing:

• Security audits for smart contracts and integrations
• Performance testing under simulated market conditions
• UX evaluation with trial user groups
• Integration verification with connected Perp DEXs

After successful beta, the next roadmap steps may include: expanding prediction assets, integrating additional profit strategies, and upgrading the Solver system to handle larger trading volumes.

Market Impact: Where Could This Lead?

Kaizen not only influences prediction markets — it could inspire the entire DeFi architecture. The “multi-protocol connectivity” model is becoming a trend, and Kaizen is an innovative example.

New Arbitrage Opportunities

Professional traders will find arbitrage opportunities between Kaizen prediction markets and perpetual futures markets. Quant funds could develop new strategies based on these price discrepancies.

Attention from Institutions

Kaizen’s architecture — with sophisticated risk management, professional Solvers, and machine-level market making — may attract interest from institutional investors seeking more mature DeFi tools.

Legal Progress

As regulators see a prediction platform with automatic hedging mechanisms and clear professional participation, they might view it differently from prediction platforms solely targeting retail users.

Frequently Asked Questions

What is Kaizen?
Kaizen is a prediction market protocol on Mitosis that allows users to create custom predictions and connect directly with liquidity from decentralized Perp DEXs.

Who are Solvers?
Solvers are professional market makers competing to provide probability quotes for predictions, while automatically hedging risks on connected perpetual futures exchanges.

How does miUSDC work?
miUSDC is a profit-generating version of USDC. When you deposit USDC into Kaizen, it automatically converts to miUSDC and earns interest during the prediction waiting period.

When does the beta start?
The closed beta phase begins mid-December 2024 with core features like user-defined predictions and Solver quote system.

Which blockchain does Kaizen use?
Kaizen operates on Mitosis — a layer-1 blockchain designed for cross-chain interoperability and cross-protocol liquidity, with the native token MITO.

Conclusion

Kaizen Prediction Market is a technological advancement in DeFi, not because it introduces a completely new idea, but because it combines the best elements from various systems into a cohesive architecture. The integration of prediction markets with Perp DEXs, along with professional Solver systems and the miUSDC profit mechanism, creates a platform capable of transforming how people think about predictions on the blockchain.

As the beta continues into early 2025, Kaizen could set new standards for prediction architecture and DeFi integration models.