Arabic version: مشروع قانون ديفيس يستهدف تداول المرشحين لعقود الانتخابات

According to Cnbc, U.S. Rep. Don Davis, D-N.C., introduced legislation that would bar federal candidates from trading prediction-market contracts connected to their own elections. The proposal, called the No Betting on Your Own Race Act, was introduced during a pro forma House session as political contracts draw attention less than a month before the midterm elections.

The bill would impose a minimum fine of $10,000, or three times the net financial gain from the trade, whichever is greater, on people who trade event contracts tied to their own candidacy. Prediction-market platforms have already sought to prevent candidates from trading their own contracts because of insider-trading concerns, but Davis’ measure would put such restrictions into law.

“We don’t want our athletes to bet on their games. A candidate running for federal elected office should be treated exactly the same and should not be allowed to trade on their own election,” Davis said in a statement. He said Congress must pass the legislation to create consistency and ensure federal candidate campaign committees understand the rule.

The proposal followed a controversy involving Laurie Buckhout, Davis’ Republican opponent in North Carolina’s 1st Congressional District. Kalshi found that Buckhout traded contracts related to her candidacy. She settled with the platform in August, paid a penalty of just under $2,600 and received a three-year suspension. Buckhout said at the time, “I bet on myself. Literally,” calling it “a dumb mistake.”

The House and Senate are not scheduled to meet until after the midterm elections, leaving the bill little to no chance of taking effect during the current electoral cycle. In April, the Senate approved a resolution barring senators and staff from trading on prediction markets, though it did not cover nonincumbent Senate candidates. The House has not passed a comparable ban.