Comment Text:
Dear Chairman and Commissioners,
My name is Terry Michael Talley, and I'm just 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. Im not an expert or a big investor, just someone whos used prediction markets a few times and believes they should be regulated fairly, not banned or overly restricted.
Ive placed a few trades on platforms like Kalshi, and Ive found these markets to be a unique way to engage with events that matter to me, like elections or economic indicators. Its not about gambling for me. Its about having a small stake in understanding whats happening in the world. I think its important that regular people like me have the freedom to participate in legal, regulated markets. Shutting that down feels unfair, especially when its already something we can do safely on platforms overseen by the CFTC.
What worries me most is the idea of banning or over-restricting these markets. If that happens, people arent just going to stop trading. Theyll move to unregulated offshore platforms where theres no oversight, no consumer protection, and no accountability. Id much rather see the CFTC keep control by regulating markets like Kalshi here in the US. That way, there are rules in place to prevent fraud or manipulation, and folks like me arent pushed into riskier corners of the internet. Ive read about how the CFTC already has tools to tackle issues like insider trading or market manipulation in other derivatives. I believe those same tools can work for prediction markets without needing heavy-handed bans.
I noticed some of the questions in the ANPR, like Question 7 on balancing innovation and consumer protection, and Question 14 on whether these markets serve a public interest. My take is simple: regulated prediction markets do serve a purpose by letting people hedge risks or gain insights, and protecting consumers means keeping these markets under your watch, not driving them offshore.
Im not naive about the risks. I know some might try to game the system. But punishing everyone by restricting access isnt the answer. I trust the CFTC can find a way to address bad actors without taking away something valuable for the rest of us. Please support proportionate regulation of prediction markets so regular people can keep participating in a safe, legal way.
Thank you for considering my input.
Sincerely,
Terry Michael Talley Talley
