The U.S. House of Representatives is set to introduce a significant bill—the "Public Integrity Act of 2026 for Financial Prediction Markets." Sponsored by Congressman Ritchie Torres, the core provision of this bill is to prohibit federal officials from trading on prediction markets using material non-public information.

The introduction of this proposal is not without precedent. Previously, an account conducted trading operations before a major political event, earning over $400,000 in profit afterward, sparking widespread suspicion of insider trading. This incident exposed regulatory gaps in prediction markets—when public officials possess an informational advantage, the fairness and transparency of the market are severely threatened.

The advancement of this bill indicates that U.S. legislation is beginning to emphasize compliance in prediction markets, reflecting the growing recognition of this emerging financial sector within mainstream regulatory frameworks.