Comment Text:
Dear Chairman and Commissioners,
My name is Brianna Rzepecki, and I'm just a regular person from Hawaii 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 strongly support the idea of well-regulated prediction markets. I hope my perspective as an everyday citizen can add something to your considerations.
I got into prediction markets because I wanted a way to engage with events that affect my life, like economic policies or even local weather patterns here in Hawaii that can mess with travel plans or costs. Trading on these markets isn't gambling to me. It takes research and thought, just like any other investment. I have to read up on news, think about probabilities, and make decisions based on what I learn. It's not a game of chance; it's a way to put my knowledge to work and sometimes hedge against things that could hit my wallet hard. I believe these event contracts serve a real economic purpose, whether it's for price discovery or managing personal risks.
What worries me most is the idea of banning or over-restricting these markets. I've seen what happens when rules get too tight. People don't just stop trading; they move to unregulated offshore platforms where there's no oversight at all. I've traded on Kalshi, which is regulated by the CFTC, and I feel much safer knowing there are rules in place to prevent manipulation or fraud. If you push this activity offshore, you're not protecting anyone. You're just making it riskier for people like me who want to participate responsibly. I think the CFTC should focus on keeping markets like Kalshi strong and safe, not driving us to sketchy alternatives.
Looking at some of the specific questions in your notice, I want to address Question 7 under Public Interest. I believe prediction markets can balance innovation and consumer protection by having clear, fair rules that don't shut out regular folks. And for Question 23 under Procedural Aspects, I think the CFTC should make public interest determinations on a case-by-case basis, not with broad bans that could kill off legitimate markets.
I know there are concerns about insider trading or manipulation, and I get that. But those issues are already illegal, and the CFTC has tools to tackle them. Banning or over-restricting prediction markets punishes everyone for the actions of a few bad actors. Please focus on proportionate regulation that keeps these markets accessible and safe for everyday people like me.
Thank you for taking the time to read my comment. I urge you to support well-regulated prediction markets and avoid rules that would push activity offshore or limit participation.
Sincerely,
Brianna Rzepecki
