a16z Crypto Proposes AI-Powered Judges to Enhance Prediction Market Scalability and Trust

a16z Crypto highlights that the main obstacle in prediction markets is accurately determining event outcomes rather than forecasting. The use of AI, specifically large language models (LLMs), as impartial judges recorded on blockchain could improve transparency, reduce manipulation, and increase trust. This AI-driven approach aims to enhance settlement efficiency, scalability, and fairness in prediction markets.