Assume transmission across an LTI ISI channel with AWGN noise at the receiver as follows:
$y_n=x_n*h_n+ z_n,$
where $z$ denotes AWGN noise $(0,\sigma^2)$ and $y_n,x_n,h_n$ model the output, input and the channel of a discrete time communication system respectively. One can use a variety of techniques starting from naive zero-forcing to adaptive equalization in order to get rid of the effect of "convolution" that is happening across the channel but the most easy-to-understand [and apparently one of the most elegant] techniques to achieve the same is Orthogonal frequency division multiplexing.
One way to think about the usage of cyclic prefix is as follows. Cyclic prefix gives you parallel AWGN channels over which water-filling can be employed to achieve Capacity i.e. if the channel impulse response $h_n$ and if one has to transmit $\mathbf{x}=[x_0,x_1,\dots,x_{N_c}]$ where $N_c > L$ denotes the number of sub-carriers and $L$ denotes the length of the channel impulse response, then under coherent detection the received signal after [no sampling offset] FFT at the receiver [assuming the underlying IFFT at the transmitter and FFT at the receiver are implemented with suitable scaling constants so as to not change the SNR] is given as:
$y_i = \tilde{h}_ix_i + \tilde{z}_i, 1 \le i \le N_c,$
where $\tilde{h}$ denotes the $N_c$-point DFT of the channel impulse response after padding $h_n$ with appropriate number of zeros to make it length-$N_c$. The noise $\tilde{z}_n$, which is the $N_c$-point DFT of the original noise $z_n$, is still AWGN with same statistic provided that the FFT-IFFT pair is chosen with proper scaling co-efficients. The above results in a very simple equalization technique since all that one needs to do to $y_i$ is multiply it by $\frac{\tilde{h}^*}{|\tilde{h}|}$ which again does not change the noise statistic. The effective SNR of every sub-carrier is:
$SNR_i = \frac{|\tilde{h}_i|^2E_i}{\sigma^2},$
where $E_i$ is the average energy of the constellation employed across sub-carrier $i$. You get an inherent advantage of tuning both the power and the constellation type depending upon the channel condition.
But as other answers say, the above is like a wonderland that is very hard to even get into - the receiver should have perfect knowledge of everything in the system and all that stuff.