Comment Text:
Dear Chairman and Commissioners,
My name is Trey Bowman, and I'm just a regular guy from Michigan writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I've used prediction markets a few times, and I think theyre a valuable tool that shouldnt be over-regulated or banned. Im not some expert, but Ive got a real stake in this as someone who believes in personal freedom, fair markets, and the US staying ahead in innovation.
First off, prediction markets give us information you cant get anywhere else. Ive seen them predict election outcomes way better than polls or TV pundits. Thats not just useful for traders like me, its good for everyone, even people who dont trade. It helps the public and even policymakers make better decisions with real data. Also, these markets let regular folks like me hedge against risks. Whether its an election result that could mess with my taxes or a policy change affecting costs, having a way to offset that uncertainty is huge. This isnt gambling, its using research and judgment, just like trading stocks.
Im all for freedom to participate in legal, regulated markets. Platforms like Kalshi, under CFTC oversight, are a lot safer than sketchy offshore sites. If you ban or over-restrict these markets, youre just pushing people like me to unregulated places with no consumer protection. The US should be leading on financial innovation, not letting other countries take over. Plus, the CFTC already has tools to stop manipulation and insider trading. Use those instead of broad bans that punish everyone for a few bad actors. And lets be clear, event contracts arent gaming. They serve real economic purposes like hedging and price discovery. Informed trading actually makes prices more accurate, which benefits all of us.
I want to touch on a couple of specific questions from the ANPR. On Questions 7 to 14 about public interest, I think the balance should lean toward innovation while keeping consumer protections through regulation, not prohibition. For Questions 15 to 22 on listed activities, dont classify these contracts as gaming, focus on their legitimate uses. And for Questions 29 to 32 on inside information, I believe informed traders help the market reflect true odds, so dont overreact with heavy-handed rules.
Look, Ive got my gripes with some platforms and how things are run sometimes, but thats not the point. Banning or over-regulating prediction markets isnt the answer. Im asking you to support proportionate, targeted rules that address specific risks without shutting down the whole space. Keep the US competitive, protect consumers with regulation, and let regular people like me keep access to these tools.
Sincerely,
Trey Bowman
