Comment Text:
Dear Chairman and Commissioners,
My name is Jenn Williams, and I'm just an everyday citizen from Missouri writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I've been actively trading on platforms like Kalshi, and I strongly support the idea of well-regulated prediction markets. They aren't just a niche interest for me; theyre a tool that levels the playing field for regular people like me who want to engage with real-world events in a meaningful way.
I believe prediction markets are incredibly valuable, both for individuals and society as a whole. The forecasts they produce are often more accurate than polls or pundits, giving us information that's hard to find anywhere else. On Kalshi, I've seen firsthand how these markets let everyday Americans take part in what feels like real-time polling. It's not gambling; it's about processing information, much like a futures trader does in their field. Whether I'm looking at an election outcome that could impact my taxes or a Federal Reserve decision that might affect my mortgage timing, trading on these markets helps me hedge real risks. It's practical, not a game.
I'm also concerned about freedom and fairness. Platforms like Kalshi allow the common person to invest, learn, and make vital decisions with the information these markets provide. This shouldn't just be allowed; it should be encouraged. If we restrict access or over-regulate, we're pushing activity to unregulated offshore platforms that are far less safe. Plus, if only big institutions can participate, all the good information stays with them. Letting regular folks like me trade makes the prices more accurate and benefits everyone.
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 markets, and I believe they can adapt those for prediction markets without banning or overly restricting them. Informed trading actually improves price discovery, which helps all of us. And on the global stage, the US should be leading in financial innovation, not handing that advantage to other countries.
I'd like to address a couple of specific questions from the ANPR. On Question 8, about balancing innovation and consumer protection, I think regulated markets like Kalshi strike that balance by offering transparency and oversight while still letting innovation thrive. On Question 15, regarding whether event contracts are gaming, I firmly believe they serve real economic purposes like hedging and information gathering, not gambling.
I urge you to support proportionate regulation of prediction markets. Don't ban or over-restrict them. Let everyday Americans like me continue to participate in these legal, regulated spaces where we can learn, hedge risks, and contribute to better forecasts for everyone.
Sincerely,
Jenn Williams
