BNB Chain has announced a strategic partnership with Redstone Finance to integrate its modular oracle infrastructure, aiming to enhance the capabilities of prediction markets on the network. The collaboration addresses a critical infrastructure gap for decentralized applications (DApps) that rely on real-world event outcomes.

The need for a specialized oracle solution became a key topic of discussion recently, with Binance founder Changpeng Zhao noting the absence of a dedicated network to serve the growing number of prediction market protocols. Following this, BNB Chain issued a proposal on October 18, 2025, to partner with an oracle provider, paving the way for Redstone to fill this role.

A Specialized Oracle for Real-World Events

Redstone is a modular oracle network designed to deliver fast, secure, and cost-effective data feeds to a wide range of blockchains. While traditional oracles primarily focus on providing cryptocurrency price feeds, Redstone’s infrastructure is built to handle a much broader set of data. This includes everything from trading volume data to the outcomes of real-world events.

Its specialized event oracle provides reliable on-chain answers to complex, real-world questions. The system aggregates data off-chain and is structured to support various query types, including binary (yes or no) questions, user authentications, and price inquiries at specific moments in time. This makes the technology a natural fit for prediction markets and other smart contracts that depend on external event resolutions.

Riding the Wave of Prediction Market Growth

This partnership arrives as decentralized prediction markets are evolving from niche experiments into robust platforms for forecasting events and hedging risk. Unlike traditional polls, these markets allow a global user base to stake value on their beliefs, creating prices that can reflect more accurate probabilities.

The sector’s growth is undeniable. Over the past week, weekly trading volume across all prediction markets surpassed the $2 billion mark, setting a new all-time high that eclipsed the record set during the 2024 U.S. presidential election. This surge in activity highlights growing user adoption, with platforms like Polymarket and Kalshi currently accounting for over 95% of the total market share.