Comment Text:
Dear Chairman and Commissioners,
My name is Justin Bruyntjens, and I'm just a regular citizen from California writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I've used prediction markets a few times, and I believe theyre valuable tools that deserve fair, well-thought-out regulation rather than heavy-handed restrictions.
I support regulated prediction markets because they give people like me a chance to engage with issues I care about in a meaningful way. When Ive traded on these platforms, its pushed me to read up on current events, dig into data, and think critically about whats happening in the world. Its not just a financial thing; its a way to stay informed and connected. Plus, the forecasts these markets produce are often more accurate than polls or pundits. Ive seen firsthand how the collective wisdom of many traders can cut through noise and bias in a way traditional sources sometimes cant.
Im all for the freedom to participate in legal, regulated markets like Kalshi, which operate under CFTC oversight. These platforms are so much safer than unregulated offshore alternatives. If you ban or over-restrict prediction markets, youre not stopping the activity; youre just pushing it to shady corners of the internet where theres no accountability. Thats a worse outcome for everyone. I also think event contracts shouldnt be labeled as gaming. Theyre not about luck or chance. They serve real economic purposes, like helping people hedge risks or make sense of uncertainty. Treating them like gambling misses the point.
Id urge the CFTC to consider the bigger picture, especially in response to questions 7-14 on public interest and 15-22 on listed activities. The US has a chance to lead in financial innovation here. If we clamp down too hard, other countries will step in and take the lead while were left behind. Instead of broad bans, I think the focus should be on proportionate, targeted rules that address specific risks like manipulation or insider trading without killing the whole concept. The CFTC already has tools to handle bad actors, as noted in questions 1-6 on core principles. Use those tools, dont throw out the market.
Prediction markets have real value for regular people like me, and they can benefit society with better information and engagement. I ask that you support fair regulation that lets these markets thrive while keeping them safe and accountable. Dont let overregulation or outright bans push innovation and activity offshore.
Thank you for considering my perspective.
Sincerely,
Justin Bruyntjens
