Comment Text:
Dear Chairman and Commissioners,
My name is Tamia Lewis, and I'm just a regular citizen from New York writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I've been trading on platforms like Kalshi for a while now, and I feel strongly that these markets should be regulated in a fair way, not banned or overly restricted. I appreciate the chance to weigh in on this.
I support prediction markets because they give people like me a chance to participate in something that feels empowering. I can put my money where my research is on things like election outcomes or economic indicators, and it's not just about making a profit. The prices on these markets often tell me things I can't find in the news or on social media. They're a unique source of information, and I think that benefits everyone, not just traders. Plus, having access to these markets as an everyday person, not just some big institution, feels fair. It levels the playing field a bit.
I'm also worried that if the CFTC bans or over-restricts these markets, people won't just stop trading. They'll go to offshore platforms with no oversight, and that's worse for everyone. I've seen how regulated markets like Kalshi have clear rules and protections. Pushing activity to shady, unregulated sites doesn't solve problems, it creates them. I also believe the U.S. should be a leader in financial innovation. We shouldn't let other countries take the lead on something with so much potential.
On the topic of informed trading, I think it actually helps. When people who know a lot trade, the prices get sharper and more accurate. That benefits me as a trader and anyone else watching the market for insights. I see this tied to questions 29 and 31 in your ANPR about inside information and price discovery. My view is that the answer isn't banning markets but enforcing the laws we already have against insider trading and manipulation. Don't punish everyone for a few bad actors.
That said, I do have a concern about gambling addiction with prediction markets. I've seen how easy it can be to get hooked on trading, even if I think of it as research-based, not gambling. I'd urge the CFTC to consider safeguards, maybe periodic check-ins or limits on how much someone can trade in a short time, to reduce harm. This relates to question 7 in your ANPR about balancing innovation and consumer protection. I think you can do both with targeted rules, not broad bans.
In closing, I ask the CFTC to support proportionate regulation of prediction markets. Don't shut them down or make them impossible for regular people to use. Focus on specific risks with specific solutions. Thanks for considering my input.
Sincerely,
Tamia Lewis
