Comment Text:
Dear Chairman and Commissioners,
My name is Alek Ramirez, and I'm an everyday citizen from California writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I actively trade on platforms like Kalshi, and I strongly support the development of well-regulated prediction markets in the United States. I believe they offer unique benefits to people like me, and to society as a whole, if handled with the right balance of oversight.
I've found prediction markets to be incredibly valuable for getting information that I just can't find anywhere else. The forecasts on these platforms often beat polls or pundits hands down. Ive used this data to better understand events that impact my life, like economic policy changes or election outcomes, and I think this kind of price discovery helps everyone make more informed decisions. Beyond that, trading on these markets lets me hedge real risks. For instance, I've placed trades to offset potential financial hits from shifts in federal regulations that could affect my budget. This isn't gambling; it's a practical tool, much like any other investment.
What worries me is the idea of over-restricting or banning these markets. I trade on Kalshi because it's regulated by the CFTC, which gives me confidence that there are rules in place to protect consumers like me. If access to platforms like this gets cut off, people will just turn to unregulated offshore sites with no oversight. Thats far riskier for everyone involved. The U.S. has a chance to lead in financial innovation here, setting a global standard for how prediction markets can work safely and effectively. We shouldn't cede that opportunity to other countries by being overly restrictive.
I appreciate that the CFTC is asking for input on these issues, and Id like to touch on a few specific questions from the ANPR. On Question 7, regarding public interest, I believe prediction markets serve a clear public good through better information and risk management tools for regular people. On Question 29, about inside information, I think informed trading actually improves price discovery and benefits all participants by making the market's predictions sharper. Bad actors should be dealt with through existing laws on insider trading and manipulation, not by shutting down entire markets. And on Question 23, about procedural aspects, I urge the CFTC to focus on proportionate, targeted regulation rather than broad categorical bans that could stifle innovation.
I'm not saying there aren't risks. I get that consumer protection is critical. But the answer isn't to limit access for law-abiding people like me. It's to use the tools you already have to crack down on fraud or abuse, while letting these markets grow under fair rules. Please support a regulatory framework for prediction markets that keeps them accessible, safe, and innovative.
Sincerely,
Alek Ramirez
