H.R. 7942: Discouraging Exploitative Assassination, Tragedy, and Harm Betting in Event Trading Systems Act

This bill, titled the "Discouraging Exploitative Assassination, Tragedy, and Harm Betting in Event Trading Systems Act," aims to amend the Commodity Exchange Act by prohibiting certain types of financial contracts. Specifically, it seeks to prevent trading or clearing of contracts that are related to sensitive and potentially harmful subjects, including:

Key Provisions

• The bill prohibits any registered entity, such as exchanges, from listing agreements that are based on commodities involving or relating to:
• Terrorism, assassination, war, and similar activities.
• Individual deaths, or any agreements that may be closely associated with an individual’s death.

Definitions

In this context, "excluded commodities" are defined under the Commodity Exchange Act. The specifics of what constitutes such commodities will be determined by the relevant regulatory Commission.

Goals of the Bill

• The primary aim is to discourage betting or trading on events that encompass significant human suffering or loss of life.
• This legislation seeks to promote ethical standards in trading practices and protect individuals from potentially exploitative financial products.

Potential Impact

By restricting the types of contracts that can be traded, the bill could influence various aspects of financial markets and trading systems, especially those related to futures and options.

Enforcement

The bill places the responsibility of determining whether certain activities fall under this prohibition on the Commission, which would monitor compliance and make decisions on the acceptability of proposed contracts.

Relevant Companies