Comment Text:
Dear Chairman and Commissioners,
My name is Austin Wingate, and I'm a small business owner from Nebraska. I run a local retail store here, and I've been actively trading on prediction markets like Kalshi for the past couple of years. I'm writing in response to the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516, because I strongly support the idea of well-regulated prediction markets and believe the CFTC has a chance to get this right.
As a business owner, I deal with uncertainty every day, whether it's economic shifts or policy changes that hit my bottom line. Trading on prediction markets has given me a way to hedge some of that risk, like betting on election outcomes or interest rate moves that could affect my costs or taxes. More than that, the prices on these platforms often give me insights I can't find anywhere else, not in the news or from polls. I think this information benefits everyone, not just traders like me. Its a tool for understanding the world better.
I know there are concerns about manipulation or insider trading, and I get that. Those are real risks. But the CFTC already has strong tools to tackle fraud and manipulation in other markets, and I believe those can be applied here too. Banning or over-restricting prediction markets won't solve those problems; itll just push people like me to unregulated offshore platforms where theres no oversight at all. I've seen some of those sites, and theyre a mess, no consumer protection, no accountability. Kalshi, as a regulated market, is far safer, and Id rather keep my money in a system the CFTC oversees.
I also think the US should be a leader in financial innovation. If we clamp down too hard, other countries will take the lead, and well lose out. On the flip side, informed trading, even if its by people with an edge, often makes the market prices more accurate. That helps everyone, not just the traders. Im all for freedom to participate in legal, regulated markets, but I want that participation to come with smart, targeted rules, not broad bans. I think the CFTCs questions, like those in Topic B on balancing innovation and consumer protection (Questions 7-14), and Topic E on inside information (Questions 29-32), hit on exactly the right issues. My view is simple: focus on proportionate regulation that addresses specific risks without killing the whole market.
I urge you to support prediction markets with fair, targeted rules that keep them safe and accessible for regular people like me. Dont let heavy-handed restrictions push this valuable tool offshore. Thank you for considering my perspective.
Sincerely,
Austin Wingate
