Comment Text:
Dear Chairman and Commissioners,
My name is LaJerrien Ruffin, and I'm a trader and investor based in Louisiana. I'm writing to express my strong support for the proportionate regulation of prediction markets, as outlined in the Advance Notice of Proposed Rulemaking on Prediction Markets (91 FR 12516). I've been actively trading on platforms like Kalshi, which is a regulated market, and I believe these markets provide real value to people like me and to society as a whole.
As someone who trades regularly, I've seen firsthand how prediction markets offer information you can't get anywhere else. For elections and other public events, the prices on these platforms often cut through the noise of polls and pundits, giving a clearer picture of what's likely to happen. This isn't just helpful for traders; it's useful for anyone trying to make sense of the world. I also don't see this as gambling. Trading on prediction markets takes research and judgment, just like trading stocks or commodities. It's about understanding real-world events and their impacts, not rolling dice. Labeling it as "gaming" feels like a misunderstanding of what we're actually doing.
I'm also a firm believer in the freedom to participate in legal, regulated markets. Platforms like Kalshi, under CFTC oversight, are a safe space to trade compared to unregulated offshore sites. If you restrict or ban these markets, you're not stopping the activity; you're just pushing it to places with no rules or protections. Thats a worse outcome for everyone. On top of that, prediction markets let individuals and businesses hedge real risks. For example, Ive used them to offset uncertainties tied to election outcomes that could affect my investments or local business conditions here in Louisiana. It's a practical tool, not a game.
Id like to address a couple of specific questions from the ANPR. On Question 7, regarding public interest, I think prediction markets serve the public by improving price discovery. Informed trading, where people bring their knowledge to the table, makes the market smarter and benefits everyone, not just participants. And on Question 29, about inside information, I believe informed traders actually help the market reflect reality better. The CFTC already has tools to tackle manipulation or insider trading, so the focus should be on enforcing those, not banning entire markets.
I urge the CFTC to support well-regulated prediction markets with targeted rules that address specific risks without over-restricting access. These markets are innovative, useful, and safer when regulated properly. Please don't let heavy-handed restrictions push activity offshore or punish regular traders like me who are just trying to navigate uncertainty.
Thank you for considering my input.
Sincerely,
LaJerrien Ruffin
