Comment Text:
Dear CFTC Recipient,
I am writing to you as a market enthusiast and a critic of the CFTC’s recent proposals. I work a blue-collar job, enjoy trading, and have an IG account on the trading site Kalshi. I want to express my views on the importance of election contracts, awards shows and contests, and sports contracts in the regulated marketplace.
As someone who actively engages with market data and forecasts, I find these event contracts essential because they are legal, regulated, and safe. These contracts provide a structured and secure environment for market participants to hedge risks and make informed decisions based on valuable information.
Regulated activity in this space ensures that markets generate valuable information. This regulation not only secures the market but also allows for partnerships with reputable institutions, such as the recent collaboration between Kalshi and Susquehanna International Group, enhancing market liquidity and confidence.
In light of the recent proposals by the CFTC, I would like to highlight that the election cop argument is not credible. The current interpretation undermines the potential benefits these contracts offer for risk management and market transparency. The definition of gaming used by the CFTC is wrong and overbroad, which could drive activity offshore and ignores substantial data supporting the utility of these contracts.
Additionally, I am concerned about the lack of engagement with stakeholders. Effective regulation requires a collaborative approach, and I urge the CFTC to consider comments, ask questions, and do the hard work to understand these markets. This engagement is crucial for crafting policies that reflect the realities and needs of market participants.
Therefore, I respectfully request the Commission to extend the comment period, vote no on the proposed event contract rule, and hold a roundtable discussion to allow for more comprehensive feedback from the industry and ensure that all perspectives are adequately considered.
In conclusion, these contracts are not only legal and safe but also provide significant benefits to market participants by generating valuable information. I appreciate your attention to this matter and look forward to a constructive dialogue on how best to regulate these essential contracts.
Thank you for your consideration.
Sincerely,
Ezekiel Brooke
