Comment Text:
Dear Chairman and Commissioners,
My name is Vinay Mamidi, and I'm a software engineer based in New York. I'm writing to express my strong support for the proportionate regulation of prediction markets as discussed in the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). As someone who actively trades on regulated platforms like Kalshi, I believe these markets provide unique value to individuals like me and to society as a whole, and I urge the CFTC to craft rules that allow their continued growth under fair oversight.
I first got into prediction markets because I saw how often traditional polls and pundits get things wrong, especially around elections or big economic events. In my tech job, I rely on data and patterns to make decisions, and Ive found that prediction market prices often cut through the noise better than any news outlet or survey. These markets aggregate real-world insights in a way thats just not available elsewhere, and that benefits everyone, not just traders. Ive used them to inform my own financial planning, like hedging against interest rate decisions that affect my budget. This isnt gambling to me; its a tool that takes research and judgment, much like any other investment.
What concerns me is the idea of over-restricting or banning these markets. I understand the need to protect consumers, and Im all for strong rules to prevent manipulation or insider trading. But the CFTC already has powerful tools to address those risks, as seen in other derivatives markets. Applying those existing safeguards to prediction markets makes more sense than broad prohibitions. I also worry that if regulated platforms like Kalshi are stifled, people will just turn to offshore, unregulated sites that offer no protections at all. As someone in tech, Ive seen how easy it is to access these alternatives, and theyre far riskier. Regulation here in the US keeps us safer and keeps the activity transparent.
Id like to address a couple of specific questions from the ANPR. On Question 7, regarding balancing innovation and consumer protection, I believe regulated prediction markets strike that balance by fostering innovation while operating under CFTC oversight. On Question 29, about informed traders and price discovery, I think those with knowledge improve market accuracy, and existing laws already bar federal insiders from abusing nonpublic information. Lets enforce those, not punish everyone else.
I ask that the CFTC support well-regulated prediction markets with targeted rules that address real risks without shutting down access for regular people like me. These markets are a valuable resource, and with the right oversight, they can thrive safely.
Sincerely,
Vinay Mamidi
