Comment Text:
Dear Chairman and Commissioners,
My name is Hamza Ansari, and I'm a trader and investor based in Texas. I've been actively trading on prediction markets like Kalshi for a while now, and I'm writing in response to the Advance Notice of Proposed Rulemaking on Prediction Markets, published in 91 FR 12516. I strongly support the idea of well-regulated prediction markets, and I want to share why I think the CFTC should focus on proportionate regulation rather than bans or heavy restrictions.
As someone who trades regularly, I value the freedom to participate in legal, regulated markets. Prediction markets aren't just a hobby for me; they provide unique information and a way to hedge against real-world uncertainties. For example, I've used Kalshi to trade on election outcomes and economic indicators that could impact my investments. The data and insights I get from these markets are often sharper than what I find in news or polls. I believe this kind of access benefits not just traders like me but anyone who wants better information about the future.
What worries me most is the idea of banning or over-restricting these markets. If the CFTC clamps down too hard, it won't stop people from trading. It will just push activity to unregulated offshore platforms where there are no protections at all. I've seen how easy it is to find these sites online, and they don't have the oversight or safety measures that a platform like Kalshi offers under CFTC regulation. Keeping prediction markets legal and regulated in the U.S. means people like me can trade with confidence, knowing there are rules to prevent manipulation and fraud. Banning them would do the opposite, driving activity to shady corners of the internet.
I also want to address some of the concerns raised in your ANPR, specifically around public interest and procedural aspects, like in Questions 7 and 23. I understand the need to protect consumers, but I think the answer lies in targeted rules, not broad prohibitions. Regulated markets already have safeguards, and the CFTC has the power to enforce against bad actors. Shutting down entire markets to stop a few problems feels like overkill and punishes law-abiding traders.
I'm asking the CFTC to support proportionate regulation of prediction markets. Keep platforms like Kalshi accessible under clear, fair rules. Don't let heavy restrictions or bans push trading offshore where no one is protected. Thank you for considering my perspective as you shape these important policies.
Sincerely,
Hamza Ansari
