In last week’s episode with Jay and Ryne, we discussed how Eco is reimagining how capital moves through the crypto ecosystem by building an intelligent liquidity layer that coordinates stablecoin capital. If you’re working on aggregating cryptoasset liquidity, solving for capital efficiency, liquidity access, or the invisible costs of fragmentation, we want to hear from you.
Hello!
Forecasting and prediction tools are the missing links in DeFi. Mode Network is trying to fill that gap by building a predictive decision-making layer aimed at surfacing real-time risk. For example, highlighting that there's a 40% chance of liquidation based on upcoming events like a Trump speech when you want to open a trade.
The tech is still very early. Mode's flagship experiments are Mode Trade and Synthdata. In this episode, James Ross tells me about building smarter forecasting systems in DeFi, what it takes to build a real forecasting engine in crypto, and how BitTensor's incentive design is helping them build predictive intelligence for traders.
Mode’s thesis is that agents, not users, will drive most on-chain activity in the future. These systems go beyond simple transaction execution. They help you think better by flagging risks, adjusting strategies, and running trades while you sleep.
To power this forecasting layer, Mode taps into BitTensor, a decentralised network where machine learning models compete for rewards. Synthdata runs as a subnet where data scientists worldwide submit volatility forecasts for Bitcoin over 24-hour windows. The system continuously scores these predictions against actual market movements, with the most accurate models earning substantial rewards.
The challenge spans both technical design and user behaviour. Will traders trust agents with their capital? Can probabilistic insights actually shift user behaviour? Is forecasting short-term volatility enough to reshape how risk gets priced on-chain? Mode Trade and Synthdata are early experiments, not final answers.
But one thing became clear in our conversation: if DeFi is going to evolve beyond a playground for power users, it needs better tools to think, not just click. And someone has to start building them.
Signing out,
Saurabh Deshpande
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