U.S. Sens. John Curtis (R-UT), Elissa Slotkin (D-MI), Todd Young (R-IN) and Adam Schiff (D-CA) introduced legislation that would prohibit federally elected officials and government employees from using insider information to be on prediction markets.
The legislation would ban them from using non-public material information of any kin to bet on any event contract.
“Public service should not be a pathway to private gain,” Curtis. “Our bipartisan legislation ensures that insider trading rules apply to prediction markets and removes any ambiguity in how those rules are enforced—underscoring a basic expectation that those entrusted with sensitive information cannot use it for personal profit.”
The Public Integrity in Financial Markets Act of 2026 would make it illegal for the President, Vice President, Members of Congress, employees of the House of Representatives and Senate, political appointees (including the President’s cabinet), employees of an Executive agency or independent regulatory agency to use information they learn through their position to purchase, sell or exchange a prediction market contract offered in the U.S. or abroad. Violation of the law would be subject to a fine of either $500 or the amount equal to double the profit made in the transaction, whichever is greater.
“No one should be profiting off the information and knowledge gained as a public servant, period,” Slotkin said. “This bill is an important first step in placing common sense rules around prediction markets, and it has real teeth to ensure those who break these rules face real consequences.”