Comment Text:
Dear Chairman and Commissioners,
My name is Joffre Quito, and I'm a trader and investor from New York. Im writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I come from a poor family with little access to formal education, and platforms like Kalshi have been a game-changer for me. Not only do they help me make a living, but they also let me bring valuable information to my family every day, stuff we wouldnt hear about otherwise. I actively trade on Kalshi, and I want to explain why I support well-regulated prediction markets.
First off, these event contracts arent gambling. I put in real time and effort to research and understand whats happening in the world, whether its politics, economics, or even weather events. Its no different from the work I do when I invest in stocks. These markets help me hedge against risks that affect my life, like election outcomes that might change taxes or policies. Calling this gambling feels like a misunderstanding of the real economic purpose behind it.
I also want to stress that regulated platforms like Kalshi are far safer than the unregulated offshore sites out there. Ive seen what happens when people get pushed to sketchy platforms with no oversight. Theres no protection if something goes wrong. Kalshi, being under CFTC oversight, gives me confidence that there are rules in place to prevent manipulation or fraud. If we over-restrict or ban these markets, people like me will just end up in riskier places. Thats not the answer.
On a personal note, trading on Kalshi has made me more educated about whats going on around the world. Ive learned about policies, global events, and economic trends I never would have paid attention to otherwise. Its not just about money, its about understanding. Regarding some of the specific questions in the ANPR, like those in Topic B on public interest (Questions 7-14), I believe the innovation and information these markets provide outweigh the risks, especially with proper regulation. And for Topic C on listed activities (Questions 15-22), I urge you not to classify these contracts as gaming. They serve a legitimate purpose for people like me who are trying to navigate uncertainty.
Im not ignoring the concerns about insider trading or manipulation. I get it, those are real issues. But the CFTC already has laws and tools to go after bad actors. Banning or overly restricting prediction markets punishes honest traders like me instead of targeting the actual problem.
I respectfully ask that you support proportionate regulation of prediction markets. Dont ban or over-restrict them. Keep platforms like Kalshi accessible for people like me who rely on them for information and financial stability. Thank you for considering my perspective.
Sincerely,
Joffre Quito
