Legislation Search

H.R. 7004: Public Integrity in Financial Prediction Markets Act of 2026

This bill, known as the Public Integrity in Financial Prediction Markets Act of 2026, aims to prohibit certain individuals in government from participating in financial prediction markets under specific conditions. Here’s a breakdown of what the bill entails:

Definitions of Key Terms

Covered Individual: This includes elected officials of the Federal Government, employees of the House of Representatives or the Senate, political appointees, and employees of Executive agencies.
Material Nonpublic Information: Refers to information that an average investor would find important in making investment decisions, which is not available to the general public.
Prediction Market Contract: A type of financial contract listed on a platform engaged in interstate commerce, linked to the occurrence or non-occurrence of future events, including but not limited to government policies and political outcomes.
Covered Transaction: This term covers the buying, selling, or exchanging of any prediction market contract that relates to government policies, actions, or political outcomes.

Prohibition on Transactions

The bill makes it illegal for a covered individual to knowingly engage in a covered transaction if they possess or have reasonable access to material nonpublic information relevant to that transaction. This means if an individual in a position of government authority has insider knowledge about a future government action or decision, they cannot use that knowledge to trade in prediction markets.

The intention behind this legislation is to ensure integrity and fairness in financial prediction markets by preventing officials from using insider information for personal gain, thereby promoting public confidence in the political and financial systems.

Implications

This regulation aims to foster a more level playing field in prediction markets.
It could lead to increased scrutiny of transactions involving covered individuals, as any violation of this law may lead to legal consequences.
There may be broader discussions about ethics and transparency in government dealings concerning financial markets.

Relevant Companies

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This is an AI-generated summary of the bill text. There may be mistakes.

Actions

2 actions

Date	Action
Jan. 09, 2026	Introduced in House
Jan. 09, 2026	Referred to the Committee on Oversight and Government Reform, and in addition to the Committee on House Administration, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.

Corporate Lobbying

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Potentially Relevant Congressional Stock Trades

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