Comment Text:
Dear Chairman and Commissioners,
My name is Jakob Hurtado, and I'm just a regular 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 lawyer, just someone who has been actively trading on platforms like Kalshi and sees real value in these markets. I want to urge the CFTC to support well-regulated prediction markets rather than restricting or banning them.
Ive been using Kalshi for a while now to make small trades on things like election outcomes or economic data releases. For me, its not about gambling. Its about putting my research and judgment to work, kind of like how Id approach investing in stocks. The information these markets provide is unique. Ive seen predictions on Kalshi be more accurate than polls or news pundits time and again, and thats helpful not just to me but to anyone paying attention. Plus, it feels fair that regular folks like me can participate, not just big institutions. Keeping these markets open to everyday people makes the information better and more accessible.
What Im really concerned about, though, is consumer protection. Ive looked into some offshore prediction platforms, and theyre a mess. No oversight, no accountability, and if something goes wrong, theres nowhere to turn. Thats why I stick to regulated platforms like Kalshi, where I know the CFTC has rules in place to protect users. If the CFTC cracks down too hard or bans these markets, I worry people will just move to those unregulated sites. Thats not safer for anyone. Regulation is the answer, not prohibition.
I noticed some of the questions in the ANPR, like Question 7 about balancing innovation and consumer protection under the public interest topic. My take is that regulated markets already strike that balance. They let innovation happen while keeping guardrails in place. And on Question 29 about insider trading risks, I get the concern, but isnt that already illegal? The CFTC has tools to go after bad actors without shutting down entire markets. Punishing everyone for a few cheaters doesnt seem right.
Im asking the CFTC to focus on proportionate regulation for prediction markets. Keep platforms like Kalshi operating under clear, fair rules. Dont push activity offshore by over-restricting or banning these contracts. I believe well-regulated markets are good for consumers and good for getting accurate information out there. Thank you for considering my perspective.
Sincerely,
Jakob Hurtado
