Prediction markets are experiencing a transformative shift, with platforms like Polymarket leading the charge by simplifying complex financial markets into binary outcomes. This evolution is compared to the revolutionary impact of the iPhone, suggesting that prediction markets are not merely enhanced betting platforms but potential replacements for traditional financial structures. These markets enable users to express detailed views on interconnected events, such as Federal Reserve rate decisions and AI-related political statements, in ways that conventional markets cannot. The article also discusses the emergence of new financial institutions centered around specialized market-making and the transition from prediction-based to bounty-based incentives. This shift could redefine how financial markets operate, offering more nuanced and flexible options for market participants.