A U.S. lawmaker is pushing to tighten rules around prediction markets. Democratic Representative Ritchie Torres from New York is drafting legislation aimed at preventing federal officials from trading on these platforms when they have access to nonpublic information gained through their official roles. The move reflects growing scrutiny over potential conflicts of interest within government—specifically, whether insiders might leverage privileged data for trading advantages. The proposal underscores the regulatory challenges surrounding prediction markets, which have gained traction in the crypto and Web3 space as alternative platforms for forecasting. As the digital asset ecosystem continues to mature, questions about insider trading, market fairness, and government oversight are becoming increasingly central to policy discussions.