Comment Text:
Dear Chairman and Commissioners,
My name is John Deer, and I'm just a regular guy from Illinois writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). Im not a big shot or a lawyer, just someone who cares about this issue because I actively trade on platforms like Kalshi. Ive seen firsthand how these markets work, and I strongly support regulating them in a fair, balanced way instead of clamping down too hard.
I rely on prediction markets for information you cant get anywhere else. Honestly, their forecasts on elections and public events beat out polls and pundits almost every time. Thats not just useful for me as a trader, its valuable for anyone trying to make sense of whats happening in the world. Better information helps everyone, whether theyre trading or not. Plus, these markets let me hedge real risks in my life. Things like election outcomes or economic shifts can hit my wallet hard, and trading on Kalshi gives me a way to protect myself. This isnt gambling, no matter what some folks say. It takes research and real judgment, just like investing in stocks. Calling it gaming feels like a cheap shot at something that serves a legit economic purpose.
Im also worried about over-regulation pushing activity to shady offshore platforms. Id much rather trade on a regulated U.S. market like Kalshi where theres oversight than deal with some sketchy foreign site with no rules. The U.S. should be leading the way on financial innovation, not handing that advantage to other countries. And lets be real, the CFTC already has solid tools to stop manipulation and insider trading. You dont need to ban or over-restrict these markets, just use whats already in place. Banning whole categories punishes regular people like me, not the bad actors. Plus, informed trading actually makes prices more accurate, which benefits everyone.
I want to touch on a couple of your specific questions too. On Question 7 about public interest, I think prediction markets strike a good balance between innovation and consumer protection when theyre regulated properly. And for Question 15 on gaming, Ill say it again: event contracts arent gambling. Theyre about hedging and price discovery, real economic stuff. Dont lump them in with slot machines.
Look, Im frustrated with the idea of more heavy-handed rules piling up. I just want the freedom to participate in legal, regulated markets without being squeezed out. My ask is simple: support proportionate regulation that targets specific risks like manipulation, but dont ban or over-restrict prediction markets. Keep them accessible for people like me, and keep the U.S. ahead in this space.
Thanks for listening.
Sincerely,
John Deer
