Comment Text:
Dear Chairman and Commissioners,
My name is Cameron Mahn, and I'm a student from New Hampshire. I'm writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I'm new to prediction markets, but I strongly support their existence under fair and sensible regulation. I believe these markets offer unique value, and I want to see the CFTC craft rules that allow regular people like me to participate in a safe, legal environment.
As a student, I'm always looking for ways to learn about the world, and prediction markets seem like a powerful tool for understanding events and trends. They aggregate information in a way that polls or news often can't match. I want the freedom to participate in these markets, not just to test my own knowledge, but to contribute to better price discovery that benefits everyone. What worries me is the idea of overly strict rules pushing these activities to unregulated offshore platforms. I've read about platforms like Kalshi, which operate under CFTC oversight, and its clear to me that regulated markets are far safer. They have transparency and accountability that offshore sites lack. Banning or over-restricting prediction markets here would just drive activity to less safe places, and I don't think that's the outcome anyone wants.
I also believe the CFTC already has strong tools to handle issues like manipulation or insider trading. From what I understand, laws are in place to stop federal employees or others from trading on nonpublic information, and the CFTC can go after market manipulation in any regulated space. Instead of broad bans, I think focusing on enforcing those existing rules makes more sense. Shutting down entire markets to stop a few bad actors feels like overkill to me.
Finally, I worry about the U.S. falling behind. Prediction markets are a form of financial innovation, and if we over-regulate or ban them, other countries will step in and take the lead. As a student, I want to see the U.S. stay at the forefront of new ideas, not cede ground to others. Im particularly interested in your questions 7 and 8 from the ANPR, about balancing innovation with consumer protection. I think regulation should protect users but also allow room for growth and access for everyday people.
I urge the CFTC to support proportionate regulation of prediction markets. Please don't ban or overly restrict them. Craft rules that let students like me participate legally and safely while addressing specific risks with targeted enforcement. Thank you for considering my perspective.
Sincerely,
Cameron Mahn
