US Lawmaker Pushes Ban on Government Officials Trading Prediction Markets
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House Oversight Committee Chairman James Comer has urged the implementation of new regulatory restrictions, and even a total ban, to prevent government officials from trading in prediction markets. The measure comes following an exhaustive investigation that gathered nearly 1,700 pages of documents and multiple briefings with leading platforms such as Polymarket and Kalshi.
This legislative initiative responds to growing concern that federal personnel, lawmakers, or employees with access to classified and non-public information might use such data for personal financial gain, undermining public trust in institutions. The debate intensifies as the cryptocurrency and event contract industry faces increased regulatory scrutiny from federal agencies, marking a turning point for governance and transparency in the digital ecosystem.
The proposal seeks to safeguard government ethical standards and prevent conflicts of interest. In the coming days, Congress will evaluate the feasibility of extending strict restrictions to all branches of government.
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