Comment Text:
Dear Chairman and Commissioners,
My name is Frank Myers, and I'm just a regular guy from New Jersey. I'm not rich or some big shot in economics, but I've been trading on prediction markets like Kalshi for a while now, and I wanted to share why I think these markets are important. I'm writing in response to the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516, because I strongly support having well-regulated prediction markets in the US.
For me, Kalshi has been a game-changer. I've been able to get involved in markets tied to things like entertainment events or political speeches, and it's been a fun way to engage with what's happening in the world while making a few bucks on the side. It's not just about the money, though. These markets give me information I can't find anywhere else. I've noticed their forecasts on elections and public events are often way more accurate than what I hear from polls or pundits on TV. That kind of insight helps me make better decisions, and I think it could help a lot of people if more folks had access to it.
I also believe these markets aren't gambling. They're about research and judgment, just like trading stocks. Classifying event contracts as "gaming," as discussed in Questions 15-22 of the ANPR, misses the real economic value they have. I've used them to hedge personal risks, like betting on economic indicators that affect my budget. If a small business owner or someone like me can offset risks tied to elections or policy changes, that's a real benefit. Plus, informed traders make the prices sharper, which helps everyone, as touched on in Questions 29-32 about inside information and price discovery.
I'm worried that banning or over-restricting these markets would push activity to unregulated offshore platforms, where there's no oversight. Kalshi, as a regulated market, feels much safer to me. The CFTC already has strong tools to stop manipulation and insider trading, so why not use those instead of broad bans? I also think the US should be a leader in financial innovation, not let other countries take the lead, as hinted at in Questions 7-14 on public interest and innovation.
I hope you'll consider my perspective. I'm just one regular person, but I think prediction markets give people like me a fair shot to participate in something useful and legal. Please support proportionate regulation that keeps these markets accessible and safe, without shutting them down or over-restricting them.
Thank you for your time.
Sincerely,
Frank Myers
