Comment Text:
Dear Chairman and Commissioners,
My name is Cody Weaver, and I'm an everyday citizen from California writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I've been actively 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 under proper oversight.
As someone who trades on Kalshi, I've seen firsthand how prediction markets offer information you can't get anywhere else. The prices reflect real-time crowd wisdom, often more accurate than polls or pundits, and that helps me make better decisions, whether it's about politics or economic events. This isn't just useful for traders; it helps everyone by making public information clearer. I also value the freedom to participate in these legal, regulated markets. Banning or over-restricting them wouldn't stop people from trading; it would just push activity to unregulated offshore platforms where there's no oversight or consumer protection. I've looked at some of those offshore sites, and they feel risky. I'd much rather trade on a platform like Kalshi, where I know the CFTC has a watchful eye.
I'm not ignoring the concerns about manipulation or insider trading, but I don't think the answer is to shut down these markets. The CFTC already has tools to tackle bad actors, and those should be enforced rather than punishing everyone by limiting access. Plus, informed trading often improves price discovery. When people with knowledge trade, the market prices get more accurate, and that benefits all participants, not just the traders. It's a win for transparency.
I want to address a couple of specific questions from the ANPR. On Question 7, about balancing innovation and consumer protection, I think regulated markets strike that balance. They keep us safe while letting innovation grow, unlike offshore alternatives. On Question 29, regarding informed traders and price discovery, I believe their participation makes the market better for everyone by reflecting the best available information. And on Question 11, about the public interest, I see prediction markets as a tool for better decision-making, not just for me but for policymakers and the public who can use this data.
I urge the CFTC to support proportionate regulation of prediction markets. Please don't ban or over-restrict them. Focus on targeted rules to address specific risks while allowing platforms like Kalshi to operate and grow under your oversight. This keeps consumers like me protected and ensures the U.S. leads in financial innovation. Thank you for considering my input.
Sincerely,
Cody Weaver
