Comment Text:
Dear Chairman and Commissioners,
My name is Briana Melvin, and I'm a regular citizen from California writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I believe in capitalism and the freedom to make my own choices, and I strongly support the idea of well-regulated prediction markets. I'm new to this space, but I see their value and want to see the US lead in this kind of financial innovation.
To me, prediction markets aren't much different from the stock market. In both, you put your money on the line based on what you think will happen. A company can tank overnight for reasons out of your control, just like an event in a prediction market can swing one way or another. The difference is that prediction markets are often faster and, honestly, kind of fun. They're a way for everyday people like me to participate, whether I can only afford a small amount or something bigger. It's another shot at making some income, and in a capitalist society like ours, why shouldn't we be able to monetize information and insight? Just like we can choose to smoke or drink knowing the risks, we should have the freedom to engage in these markets with reasonable, legal limits.
Ive read that prediction markets often give more accurate forecasts than polls or pundits. Thats information we can all benefit from, not just traders. Plus, they let people hedge against personal or business risks, like an election outcome affecting taxes or a policy change hitting a small business. I also think regulated platforms like Kalshi are way safer than unregulated offshore sites. If we over-restrict or ban these markets, people will just go to less safe places, and that helps no one. The US should be leading on this, not letting other countries take over financial innovation.
I appreciate that the CFTC is asking for input, and I want to address a couple of your questions. On Question 7 about balancing innovation and consumer protection, I think the answer is targeted rules, not broad bans. Focus on specific risks like manipulation, which you already have tools to handle. And on Question 15 about defining legitimate markets, I dont see this as gambling. Its about research and judgment, just like any investment. Proportionate regulation makes more sense than shutting down whole categories.
Im not an expert, but I know the CFTC has the power to prevent abuse without killing off a useful tool. Please support fair, regulated prediction markets that let regular folks like me participate. Dont over-restrict or ban them.
Sincerely,
Briana Melvin
