Comment Text:
Dear Chairman and Commissioners,
My name is Ojahbre Aziz, and Im a student based in New York. Im writing in response to the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). Ive used prediction markets a few times, and I strongly support their regulation in a way that allows them to thrive while protecting participants. I believe these markets offer unique value for public decision-making and price discovery, and I want to share why I think the CFTC should support well-regulated platforms instead of overly restricting or banning them.
As a student, Im always looking for reliable information to understand the world around me, whether its for research or just to make sense of current events. Prediction markets have given me insights that I cant find in polls or news commentary. The prices reflect real-time, crowd-sourced expectations, and Ive seen firsthand how they often predict outcomes more accurately than so-called experts. This isnt just useful for me; its valuable for society as a whole, helping everyone from policymakers to regular citizens make better-informed decisions.
I also value the freedom to participate in legal, regulated markets. Prediction markets arent gambling, no matter what some critics say. They serve real economic purposes, like providing data for analysis or letting people hedge against uncertainty. Ive used them to think through risks tied to political or economic events, and that takes research and judgment, not luck. Treating event contracts as gaming would be a mistake, and I hope the CFTC recognizes their distinct role, as raised in Questions 15-22 about defining legitimate markets versus gaming.
Im also concerned about what happens if these markets are over-restricted or banned. Regulated platforms like Kalshi, operating under CFTC oversight, are far safer than unregulated offshore alternatives. If access is cut off here, people like me will be pushed to less secure venues with no protections. The CFTC already has strong tools to tackle issues like manipulation and insider trading, as discussed in Questions 1-6 and 29-32. Use those tools instead of broad prohibitions. Banning or over-restricting prediction markets wont solve problems; it will just drive activity out of reach of U.S. oversight.
Finally, I think the U.S. should lead on financial innovation. We shouldnt cede this space to other countries by stifling a growing industry. As Questions 7-14 touch on balancing innovation and consumer protection, I urge you to prioritize rules that encourage safe participation over outright bans. Lets keep the benefits of prediction markets accessible to regular people while addressing specific risks with targeted regulations.
Thank you for considering my input. I respectfully ask that the CFTC support proportionate regulation of prediction markets and avoid restrictions that would harm their potential.
Sincerely,
Ojahbre Aziz
