Public Integrity in Financial Prediction Markets Act of 2026

It shall be unlawful for a covered individual to knowingly engage in a covered transaction if the covered individual—

(1) at the time of the covered transaction, possesses material nonpublic information relevant to such covered transaction; or

(2) may reasonably obtain such material nonpublic information in the course of performing official duties, including when such information would not otherwise be available to a member of the public exercising reasonable diligence.

In this section:

The term covered individual means—

(A) an elected official of the Federal Government;

(B) an employee of the House of Representatives or the Senate;

(C) a political appointee; or

(D) an employee of an Executive agency, as defined in section 105 of title 5, United States Code.

The term material nonpublic information means information—

(A) that a reasonable investor would consider important in making an investment decision; and

(B) that is not publicly available.

The term prediction market contract means any financial instrument, contract, or derivative—

(A) listed on or offered by a platform engaged in interstate commerce; and

(B) tied to the occurrence or non-occurrence of a future event, including market-based event contracts.

The term covered transaction means the purchase, sale, or exchange of any prediction market contract related to a—

(A) government policy;

(B) government action; or

(C) political outcome.