Comment Text:
Dear Chairman and Commissioners,
My name is Meeqan Aylia, and I'm a student studying finance in New York. I've interned in the industry, passed my SIE, Currently studying for my series 66, and have been trading stocks, preferred shares, ETFs, options, futures, and FX spot contracts for a while now. I'm writing to express my strong support for the proportionate regulation of prediction markets as outlined in the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I actively trade on platforms like Kalshi, and I see firsthand how these markets provide unique value, both to me as a learner and to the broader economy.
As someone diving into the financial world, trading on Kalshi has been incredibly exciting. It's a chance to engage with a new type of market while it's still evolving, before high-frequency trading firms dominate and arbitrage out the opportunities. I get to experience a mostly retail-driven space, experiment with strategies that are usually only accessible to elite quant firms, and watch how this market grows over time. More importantly, prediction markets like these aren't just a learning tool for me. They offer real ways to hedge risks that affect my future, like economic shifts or policy changes that could impact my career or personal finances. I've seen institutions use tools like fed fund futures or inflation swaps to bet on outcomes for years. Kalshi levels the playing field, giving regular folks like me the same shot at managing risk and making money, not just ultra-high-net-worth individuals or big firms.
I want to address a few concerns I've read about. I understand the worry about these markets being seen as "gaming," but I strongly disagree with that label, especially in response to questions 15-22 in the ANPR about listed activities. Trading event contracts takes research and judgment, just like trading stocks or commodities. These contracts serve legitimate purposes, like hedging against real-world uncertainties. They're not a game; they're a tool. I also get the concern about manipulation or insider trading, but banning or over-restricting these markets isn't the answer. That would just push activity to unregulated offshore platforms, which are far less safe for everyone. The CFTC already has tools to tackle bad actors, as noted in questions 1-6 on core principles. Use those existing powers instead of punishing retail traders like me.
Finally, on questions 7-14 about public interest, I believe the U.S. must stay competitive in financial innovation. If we over-regulate or shut down prediction markets, other countries will take the lead, and American retail traders will lose out. I urge you to support well-regulated prediction markets that allow everyday people to participate in legal, safe platforms. Don't ban or overly restrict these valuable tools. Lets keep the playing field fair and innovative.
Thank you for considering my perspective.
Sincerely,
Meeqan Aylia
