# Product Highlights ## πŸ’‘**Lossless mechanism** When the user stakes money in the prediction market, the Better protocol places the staked funds in a lending protocol such as Compound or Yearn, and only the generated interest is used as a prize for all predicted events in the prediction market. The prediction prizes are allocated to all users who get the prediction right and even if the prediction is wrong, the user's principal is still not lost. Lossless predictions can help reduce the regulatory risk of the project, which is similar to PoolTogether, a popular lossless lottery project on Ethereum. ## πŸ’‘**Consolidated liquidity** #### **to realize predictability of everything** Solve the biggest problem plaguing the prediction market industry, namely the low liquidity of the long-tail market. The interest generated by the users stake is collected to the total pool of the prediction market. When the user participates in the prediction event, the actual counterparty is the whole pool of the prediction market (peer-to-whole pool), rather than a single user (peer-to-peer), or users who only participate in a certain predicted event (peer-to-single pool). By staking funds, the user gains the right to participate in the entire prediction market, which is equivalent to an all-access pass to an amusement park, allowing him to stake on all prediction events. If the user does not participate in a prediction event or makes a wrong prediction, it’s equivalent to automatically giving up the right to share the prize for that prediction event. Prediction participation rights are not consumed at each prediction event and are only used to record the users prediction weights. The user does not have to buy or sell the prediction result tokens and there is no liquidity risk to consider. ## πŸ’‘**IBO (Initial Bet Offering)** The prediction event on the Better is created by the decentralized community and the weighted prize is also assigned by the community. The predicted event can be a related event of a third-party project and the predicted prize also supports the sponsorship of the third-party project using its token. The original prize of the predicted event in the advanced function can be exchanged with the sponsored token of the third-party project. After the user's prediction is correct, the third-party project token will be obtained and the third-party project party will receive the original prize from the predicted event. This is the equivalent to achieving the early token issuance of users using capital interest to participate in the project, namely Initial Bet Offering. --- # Agent Instructions: Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation dynamically by asking a question. Perform an HTTP GET request on the current page URL with the `ask` query parameter: ``` GET https://nextmars2009.gitbook.io/better/3/protocol-of-better/product-highlights.md?ask= ``` The question should be specific, self-contained, and written in natural language. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.