Comment Text:
Dear Chairman and Commissioners,
My name is Steven Ta, and I'm just an everyday citizen from California writing to share my thoughts on the Advance Notice of Proposed Rulemaking on Prediction Markets, as published in 91 FR 12516. I've been actively 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 a regular person using these markets can help inform your approach.
I believe prediction markets are valuable, and I want the freedom to participate in legal, regulated spaces like Kalshi. These aren't just games or gambling to me. When I trade on events like election outcomes or economic indicators, I'm putting in time to research and think through real-world issues. It feels a lot like investing in stocks, where I weigh risks and make informed choices. These markets serve a real purpose, whether it's helping me hedge personal financial risks or just better understanding the world. Classifying them as "gaming" would miss the point of their economic value, and I urge you to consider this in your responses to Questions 15-22 about listed activities and how to define legitimate markets.
What worries me most is the idea of banning or over-restricting these markets. If that happens, people like me won't just stop trading. We'll get pushed to unregulated offshore platforms that don't have the oversight or safety of a CFTC-registered market like Kalshi. I've seen those other sites, and they're a mess, with no real accountability. Keeping prediction markets regulated here in the US is the safer choice, both for participants and for the integrity of the data these markets produce. I think this ties directly to Questions 7-14 on balancing innovation and consumer protection. Regulation, not restriction, is the way to protect us.
On top of that, I believe the US should be a leader in financial innovation. If we clamp down too hard on prediction markets, we're just handing the future of this technology to other countries. I want to see American platforms thrive with clear, fair rules, not get left behind. This seems relevant to your broader discussion in Questions 33-40 about classification and the costs of regulation.
I understand there are concerns about things like insider trading or manipulation. I'm not ignoring those risks. But the CFTC already has tools to handle bad actors, and banning entire markets to stop a few cheaters feels like punishing everyone else. Let's focus on enforcing the rules we have, not shutting down something useful.
I respectfully ask that you support proportionate regulation of prediction markets. Please don't ban or over-restrict them. Keep platforms like Kalshi accessible under fair oversight so regular people like me can participate safely and the US can stay ahead in innovation.
Thank you for considering my input.
Sincerely,
Steven Ta
