Comment Text:
Dear Chairman and Commissioners,
My name is Boris Gavrilov, and I'm just an everyday citizen from Colorado writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. Ive been actively trading on regulated prediction markets like Kalshi for a while now, and I strongly support the idea of well-regulated markets that allow people like me to participate legally and safely.
I value the freedom to take part in these markets. Theyre not just a hobby; they provide unique information I cant get from news or polls. Whether its a political event or an economic indicator, the prices on platforms like Kalshi often tell a clearer story than any expert opinion. I also use these markets to hedge personal risks, like how an election outcome might affect my taxes or a federal decision might impact my costs. To me, this isnt gambling. It takes research and real-world judgment, much like investing in stocks. Classifying event contracts as gaming feels wrong when they serve legitimate economic purposes like price discovery and risk management.
Im also concerned about consumer protection, which is why I believe regulated markets are the way to go. Platforms like Kalshi, under CFTC oversight, are far safer than unregulated offshore alternatives. If you over-restrict or ban these markets, people will just turn to less safe venues outside U.S. jurisdiction. That doesnt protect anyone. The U.S. should be leading in financial innovation, not ceding ground to other countries by pushing activity overseas.
I know there are worries about manipulation or insider trading, and I get that. But the CFTC already has strong tools to tackle those issues in other derivatives markets. Use those same powers here. Dont punish everyone by banning broad categories of contracts. Targeted, proportionate regulation makes more sense. Im looking at some of the questions in the ANPR, like Question 8 on balancing innovation and consumer protection, and Question 15 on defining gaming versus legitimate markets. My view is clear: support innovation with rules that address specific risks, not blanket prohibitions.
Ive seen firsthand how prediction markets can be useful and fair when regulated properly. Lets keep that going. I urge you to support proportionate regulation of prediction markets and avoid over-restricting or banning them. Keep platforms like Kalshi accessible to everyday folks like me, under rules that protect us all.
Thank you for considering my input.
Sincerely,
Boris Gavrilov
