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Bill bans members of Congress from trading select contracts on prediction market exchanges

Legal Writer

Publish Date: Jun 25, 2026

Fact checked by: Matt Moreno

Key Points

Rep. Bryan Steil has brought forth legislation that spells out trading restrictions for members of Congress
The restrictions would also apply to members’ dependent children and spouses
Bill applies to contracts pertaining to political outcomes and government policies

United States Representative Bryan Steil (Republican, Wisconsin-1) has filed a bill that specifies parameters for illegal trading of contracts on prediction market exchanges for members of the United States Congress. Should Steil’s proposal become law, members plus their immediate families would violate the statute if they bought or sold contracts related to events that they could have insider information about.

The bill goes further than an existing Senate resolution on the same subject in some ways but not as far as that Senatorial agreement in others. Given Steil’s position in the current Congress, his measure seems likely to at least come up for a vote in the U.S. House of Representatives.

The U.S. Capitol Building is seen on a clear, spring day on May 30, 2026 in Washington, DC.

(Photo by Kevin Carter/Getty Images)

Steil puts forward bill to restrict prediction market trading by members of Congress

Steil’s legislation, H.R. 9367, defines unlawful prediction market trading for members of Congress. The same restrictions would apply to members’ dependent children and spouses as long as the members hold their seats in the House or Senate.

Such individuals would violate the potential law if they trade contracts related to governmental actions or policies plus political outcomes like elections. As a press release from Steil’s office states, the aim of the bill is to address public perceptions of members of Congress using their position to profit personally.

“Recently, news outlets have highlighted concerns about the use of nonpublic information in prediction markets, including candidates wagering on their own elections. Under current law, lawmakers are not explicitly prohibited from using prediction markets to wager on public policy issues or election outcomes. Many Americans believe that stronger measures are necessary to ensure lawmakers are not profiting off insider information.”

Under the tenets of Steil’s proposal, members of Congress who violate the presumed statute would be fined the greater of $2,000 or 10% of the value of the offending transaction(s). Additionally, the member would be required to forfeit their profits.

The bill also states that members could not use campaign funds, donations, or office allowances to pay the fines or make restitution. Any member who would resign or retire without satisfying the financial penalties could be referred to the U.S. Department of Justice for civil enforcement.

H.R. 9367 resembles a resolution passed by the U.S. Senate on the topic of members’ trading on prediction market exchanges. There are some important differences to note, though.

Differences between H.R. 9367 and Senate resolution

The U.S. Senate voted unanimously on April 30 to establish a resolution that has some of the same effect as Steil’s bill suggests. The resolution goes further than Steil’s filing in some ways.

The Senate resolution includes members’ staff in the trading restrictions. Additionally, it applies to the trading of all contracts, not just those related to government actions or political outcomes.

To be thorough, H.R. 9367 does include a tenet that states that trading “on any other event which has come to the attention of a covered individual as a result, directly or indirectly, of the service of a Member of Congress in the United States Congress, regardless of any connection to the congressional duties of such Member” would represent a violation as well. Should that language survive into an enacted version of the legislation, it would be up to courts to determine whether any questionable trading fits this description.

H.R. 9367 has stronger prohibitions than the current Senate resolution in other ways. The Senate resolution does not apply to members’ families for starters.

Furthermore, the resolution does not specify specific penalties for noncompliance. The Senate has it within its power to censure and expel members for any ethical violations, but those have been rare actions in the body’s history.

Steil is the chair of the House Committee on House Administration, so H.R. 9367 appears to be headed for a vote on the chamber floor. The differences between it and the Senate’s self-imposed ban on prediction market trading could mean that it would see some amendments if it gets Senate consideration, though.

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