Sponsors (5)
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Prohibits the President, Vice President, Members of Congress, and certain senior executive branch officials from buying or selling "event contracts" tied to matters they handle, and requires covered officials (and their spouses/dependent children) to report such transactions. It authorizes civil enforcement by the Attorney General with penalties up to $10,000 per violation or disgorgement of profits, mandates quarterly suspicious-activity reporting by foreign trading platforms to preserve registration, and directs the Commodity Futures Trading Commission to adopt insider-trading rules for event contracts.
The bill strengthens ethics and market-integrity protections by banning and making transparent event-contract trading by officials and empowering civil enforcement, but it brings compliance costs, privacy risks, potential market disruptions, and may rely on civil penalties that could be too weak to,
All Americans: Banning event-contract trading by the President, Vice President, Members of Congress, and senior executive officials reduces conflicts of interest and the potential misuse of privileged information.
General public and investors: New reporting requirements (including 30–45 day filings by officials and quarterly reports from foreign boards of trade) increase transparency and enable timelier oversight of potential problematic trades.
All Americans and market participants: Enforcement tools — Attorney General civil actions, civil penalties, and expanded CFTC authority (rulemaking and ability to bar persons) create mechanisms to deter and address abuses in event-contract markets.
Retail investors and broader markets: CFTC rulemaking to curb use of material nonpublic information in event contracts can strengthen market integrity and protect ordinary investors from unfair trading.
Covered individuals and the public: Enforcement limited to civil actions with a $10,000 cap per violation and a preponderance-of-evidence standard may be insufficient to deter high‑value illicit trading.
Covered officials, spouses, and dependent children: New 30–45 day disclosure deadlines impose recurring paperwork, time burdens, and potential legal/compliance costs to determine and report event-contract trades.
Market participants and foreign exchanges: Quarterly reporting requirements and broad CFTC authority may increase compliance costs, raise fees, reduce market access, or lead to overbroad restrictions on otherwise legitimate market activity.
Spouses and dependent children who trade: Public disclosure of transaction values could expose private financial information and create privacy risks for family members.
Establishes the Act's official short title as the "End Prediction Market Corruption Act."
Defines "covered individual" to include the President, the Vice President, and Members of Congress.
Defines "event contract" as an agreement, contract, transaction, or swap in an excluded commodity that is based on an occurrence, extent of an occurrence, or contingency.
Defines "material nonpublic information" as information important to a reasonable investor's decision on commodity contracts that is not publicly available.
Defines "Member of Congress" by reference to 5 U.S.C. 13101.
Primary effects fall on high-level federal officials (President, Vice President, Members of Congress) and senior executive-branch officials who personally and substantially handle specific government matters: they will be barred from trading certain event contracts and must disclose covered transactions. Ethics offices and agency compliance programs will need to expand monitoring and reporting processes to capture event-contract activity and to collect spouse/dependent disclosures. The Department of Justice will gain a civil enforcement role, potentially increasing litigation and enforcement costs. The Commodity Futures Trading Commission must develop new anti–insider-trading rules for event contracts, requiring rulemaking resources. Foreign trading platforms that list event contracts will face new registration-related reporting duties and may need enhanced compliance units to detect and report suspected violations quarterly. Financial market participants and prediction-market operators may see constraints on product offerings or additional compliance costs; some platforms could restrict access for covered persons. Overall, the law aims to reduce conflicts of interest and insider trading in prediction-style markets but imposes administrative and compliance burdens on regulators, platforms, and covered officials (including indirect burdens on their families).
Adds paragraph (9) to section 13104(a) to require disclosure relating to event contracts, including definitions and reporting requirements for covered reporting individuals.
Adds subsection (m) to section 13105 to require periodic event contract transaction reports and sets filing deadlines.
Inserts a new subsection (d) banning certain government officials from purchasing, selling, or otherwise exchanging event contracts, defines terms, authorizes civil enforcement and penalties, requires foreign boards of trade to report violations quarterly, and directs the Commission to issue rules restricting insider trading in event contracts.
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Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry.
Introduced March 5, 2026 by Jeff Merkley · Last progress March 5, 2026
Read twice and referred to the Committee on Agriculture, Nutrition, and Forestry.
Introduced in Senate