Rep. Davis Introduces Bill to Ban Federal Candidates Trading Own Elections

Rep. Don Davis introduced the No Betting on Your Own Race Act on October 5, 2026. The bill bans federal candidates from trading contracts tied to their own elections.

The legislation targets candidates, their spouses, dependent children, and authorized campaign committees. It prohibits buying, selling, acquiring, disposing of, or holding contracts tied to the candidate’s election.

Davis compared candidates trading their own elections to athletes betting on their games.

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.

The bill aims to prevent market interference, insider trading, and cashing in by candidates and family members. It requires candidates running for federal office to be notified during the filing period.

Violators will incur a $10,000 civil penalty for each violation. If there is a net financial gain, the penalty will be three times the gain, or $10,000, whichever is greater.

The proposal seeks to codify existing prediction market platform rules on candidate self-trading. Platforms including Kalshi and Polymarket have sought to curb individuals from trading on their own contracts due to insider trading concerns.

The direct trigger for the bill was a case involving Republican opponent Laurie Buckhout. She settled with Kalshi in August for trading on contracts related to her candidacy. Buckhout paid a penalty of just under $2,600 and was suspended from Kalshi for three years.

The House and Senate are not set to meet until after the midterm elections. This means the proposal has little to no chance of getting implemented for the current electoral cycle.

In April, the Senate approved a resolution to ban senators and staff from trading on prediction markets. That resolution did not extend to candidates running for the U.S. Senate who are not incumbents.