Comment Text:
Dear Chairman and Commissioners,
My name is Ry Do, and I'm a regular citizen from Texas writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I've been trading on platforms like Kalshi for a while now, and I strongly support the idea of well-regulated prediction markets. I believe they provide unique value to people like me and to society as a whole, and I hope the CFTC will craft rules that allow these markets to thrive without over-restricting them.
I first got into prediction markets because I wanted better information about elections and other public events. Polls and pundits often get things wrong, but the prices on these markets cut through the noise. Theyve consistently been more accurate, and thats not just useful for traders like me. It helps everyone, from journalists to regular folks, get a clearer picture of whats likely to happen. On top of that, Ive used these markets to hedge personal financial risks. For example, Ive placed trades on economic events like inflation data releases that could impact my budget for things like rent and groceries. Its not gambling. Its a practical tool, much like any other investment decision based on research and real-world judgment.
I also worry that if we clamp down too hard on prediction markets, the U.S. will lose its edge in financial innovation. Other countries are moving forward with these platforms. Why should we fall behind? Id rather see the CFTC regulate these markets in a balanced way, focusing on specific risks like manipulation or insider trading, rather than issuing broad bans that push activity offshore to less safe venues. Plus, I believe informed trading actually makes these markets better. When people with good information participate, the prices get sharper, and that benefits all of us.
Looking at some of the specific questions in the ANPR, I want to address a couple from the Public Interest section, like Question 7 on balancing innovation and consumer protection. I think the answer is clear: proportionate rules that target bad actors without stifling the whole market. Also, on Question 29 from the Inside Information section, Id argue that informed traders improve price discovery. The CFTC already has tools to handle insider trading, so lets use those instead of punishing everyone.
Im just an everyday person who values the freedom to participate in legal, regulated markets like these. Prediction markets arent gambling. They serve real economic purposes, from forecasting to hedging. I urge the CFTC to support their growth with fair, targeted regulations rather than heavy-handed restrictions or categorical bans. Thank you for considering my perspective.
Sincerely,
Ry Do
