Comment Text:
Dear Chairman and Commissioners,
My name is Marcel Frederick, and I'm just an everyday citizen from Washington state writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. Im not a lawyer or a big investor, just someone whos found real value in prediction markets like Kalshi, where I actively trade. I want to voice my support for regulating these markets in a fair and balanced way, without shutting them down or over-restricting access for regular people like me.
I love following events, whether its elections or other public happenings, and putting predictions on them. Its not just a hobby; it honestly helps me think through things, especially when it comes to my finances. Trading on Kalshi gives me information I cant get from polls or news pundits. Ive seen firsthand how these markets often predict outcomes better than so-called experts. That kind of insight isnt just useful to me; its valuable to everyone, from regular folks to policymakers who need better data to make decisions. Plus, its a way to hedge real risks. For example, Ive used these markets to offset worries about how election outcomes might hit my wallet. Its practical, not just a game.
I also believe that keeping these markets legal and regulated here in the US, on platforms like Kalshi, is way safer than pushing people to sketchy offshore sites with no oversight. Id much rather trade on a platform thats under CFTC rules than some unregulated app based overseas. And honestly, calling this gambling doesnt sit right with me. Trading on prediction markets takes research and judgment, just like investing in stocks. Its about real economic purposes, like price discovery and risk management, not just betting for fun.
Regarding some of the specific questions in the ANPR, I think about Question 7 on balancing innovation and consumer protection. I believe the CFTC can protect people like me by using the tools it already has to stop manipulation and insider trading, without banning whole categories of contracts. On Question 15, about defining gaming versus legitimate markets, Id argue these contracts arent gambling when they help with forecasting and hedging. And for Question 33, on classification, I think the focus should be on keeping access open while enforcing existing laws against bad actors.
I also want the US to stay competitive in financial innovation. We shouldnt let other countries take the lead on this. I enjoy using Kalshi; its a great platform, user-friendly and trustworthy. I hope youll keep platforms like it accessible.
Please support proportionate regulation of prediction markets. Dont ban or overly restrict them. Let regular people like me keep participating in a safe, regulated space.
Sincerely,
Marcel Frederick
