Share 
Bonus TL;DR
- U.S. Rep. Don Davis has introduced the “No Betting on Your Own Race Act,” a federal bill designed to prohibit political candidates, their immediate families, and their campaigns from trading prediction market contracts tied to their own elections.
- Spurred by a recent incident in which Davis’ Republican opponent in North Carolina was suspended by Kalshi for placing wagers on her own race, the legislation proposes a civil penalty of $10,000 or three times the net financial gain for any violations. However, with Congress out of session, the measure is highly unlikely to advance before the 2026 midterm elections.
Rep. Don Davis, a North Carolina Democrat, has introduced a bill that would bar federal candidates from betting on prediction market contracts tied to their own elections.
The proposal, called the No Betting on Your Own Race Act, would also prohibit a candidate’s spouse, dependent children, and authorized campaign committees from buying, selling, acquiring, disposing of, or holding event contracts linked to that candidate’s race. For prediction market operators and political betting watchers, it is another sign that Congress is paying closer attention to election-related trading.
Davis said in a statement, “We don’t want our athletes to bet on their games. A candidate running for federal elected office should be treated exactly the same and should not be allowed to trade on their own election.”
Under the bill, violations would carry a civil penalty of $10,000 or three times the net financial gain, whichever is greater. The measure would also require candidates to be notified of the restriction during the filing period.
Bill follows North Carolina race controversy
The legislation comes after a dispute involving Laurie Buckhout, Davis’ Republican opponent in North Carolina’s 1st Congressional District, and prediction market platform Kalshi over trades tied to her own race.
According to CNBC, as cited by Quartz, Buckhout paid a penalty of just under $2,600 and accepted a three-year suspension from Kalshi. After resolving the matter, Buckhout said, “I bet on myself. Literally,” and added, “It was a dumb mistake, and as soon as I learned there was an issue, I worked to make it right.”
Davis had previously described the trades on X as “a disqualifying breach of public trust,” according to CNBC as cited in the source report.
What happens next
The bill was introduced during a pro forma session of the House. Quartz reported that Congress was not scheduled to reconvene until after the midterm elections, meaning the measure had little to no chance of taking effect for the current cycle.
The proposal also lands amid broader efforts to curb election-linked prediction market activity. The source report says the Senate passed a resolution in April barring senators and their staff from engaging in prediction market trades, although that measure did not extend to non-incumbent Senate candidates. No comparable House-wide measure has cleared that chamber.
Quartz also reported that election and county officials in multiple jurisdictions have moved to ban employees from trading on election-related contracts, citing concerns about insider trading and public confusion between prediction market odds and traditional polling.
For now, Davis’ bill is a newly introduced House measure rather than an active rule change. But it adds a more specific federal proposal aimed at candidates themselves, not just lawmakers already serving in office.
Source: As reported by qz.com.
