Comment Text:
Dear Chairman and Commissioners,
My name is Joe Anthony, and I'm a trader and investor based in Wisconsin. I've been actively trading on prediction markets like Kalshi for a while now, and I'm writing to express my strong support for well-regulated prediction markets in response to the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I believe these markets provide unique value to people like me, and to society as a whole, and I urge the CFTC to craft rules that support their growth rather than restrict or ban them.
As a trader, I rely on prediction markets for information that I just can't find anywhere else. I've seen firsthand how these markets consistently forecast election outcomes and other public events more accurately than polls or pundits. That kind of insight helps me make better decisions, not just in trading but in understanding the world around me. I also use these markets to hedge real financial risks. For example, I've placed trades on election outcomes that could impact my taxes or investments, and on economic indicators that affect my personal finances. This isn't gambling, it's a practical tool, much like trading stocks or commodities, requiring research and judgment about real-world events.
I also value the freedom to participate in legal, regulated markets like Kalshi. These platforms are transparent and safe, unlike unregulated offshore sites. If the CFTC over-restricts or bans prediction markets, I worry that activity will just move to those less secure venues, putting traders like me at risk and costing the US its edge in financial innovation. We should be leading the way on this, not falling behind other countries.
I'm aware of concerns about manipulation or insider trading, and I get why those are issues. But the CFTC already has tools to address them, and banning or heavily restricting these markets punishes honest participants like me instead of targeting bad actors. I'd encourage you to look at Questions 7 and 29 from the ANPR, on balancing innovation with consumer protection and the role of informed traders in price discovery. I believe regulated markets improve public information and decision-making, and informed trading often makes prices more accurate, benefiting everyone.
Prediction markets aren't just a niche hobby, they serve real economic purposes. They're not gambling, they're a way to manage risk and access better data. I hope the CFTC will focus on proportionate rules that address specific risks without shutting down the benefits these markets offer. Please support the continued growth of well-regulated prediction markets in the United States.
Thank you for considering my input.
Sincerely,
Joe Anthony
