Comment Text:
Dear Chairman and Commissioners,
My name is Jordan Chavez, and I'm just an everyday citizen from Washington state writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I'm not an expert or a big investor, just someone who believes in the value of having access to legal, regulated markets for everyone, not just the big players. I've used prediction markets a few times, and I think they offer something unique that we shouldn't lose by over-regulating or banning them.
I've placed a few trades on platforms like Kalshi, and what struck me is how these markets give regular people like me a chance to engage with real-world events in a way that feels meaningful. It's not about gambling, it's about putting my money behind what I think will happen based on research and paying attention to the news. I remember last year, I traded on an election outcome contract because I wanted to hedge some financial uncertainty tied to potential policy changes that could affect my job. That kind of opportunity to protect myself shouldn't be taken away.
What worries me most is the idea of pushing these markets underground or overseas. I've read about unregulated offshore platforms where there's no oversight, no consumer protection, and honestly, no guarantee you'll even get your money back. Compare that to a regulated market like Kalshi, operating under CFTC rules, where there are clear standards and accountability. If we clamp down too hard on prediction markets here in the U.S., people aren't going to stop trading, they'll just go to these riskier, shadier options. That seems like the opposite of protecting the public.
I'm looking at some of the questions you asked in the ANPR, like in the Public Interest section, Questions 7 and 8, about balancing innovation with consumer protection. I think the answer is clear: regulate these markets to keep them safe, but don't ban them or make it so only big institutions can participate. And on Question 14, comparing prediction markets to other tools like insurance, I'd say they serve a similar purpose for everyday folks, helping us manage risk in uncertain times, just in a different way.
I also want to touch on the idea of freedom to participate, which is huge for me. These markets let regular people have a stake in understanding what's happening around us. If we restrict access, we're cutting off a tool that helps us stay informed and engaged. So, my ask is simple. Please support proportionate regulation of prediction markets. Keep them legal and accessible under clear, fair rules, and focus on enforcing the laws we already have against fraud or manipulation rather than broad restrictions that hurt people like me.
Thank you for considering my perspective.
Sincerely,
Jordan Chavez
