A North Carolina representative has introduced legislation that would bar federal election candidates and close family members from trading contracts tied to their own races, but the proposal will not be considered before the 2026 midterm elections.
Bill targets political event contracts
Representative Don Davis introduced the No Betting on Your Own Race Act on Monday. The bill would prohibit federal candidates, their campaigns, spouses and children from buying, selling, acquiring, disposing of or holding contracts connected to their elections.
The proposal does not name prediction-market companies directly. Instead, it uses the broader term “political event contracts,” a reference that points to election-related products offered by platforms such as Kalshi and Polymarket. These contracts allow participants to trade positions tied to whether a political event will happen.
Davis said the measure is intended to reduce the risk of market interference and insider trading, while preventing lawmakers from “cashing in” on elections. Under the bill, a violation could result in a $10,000 civil penalty, or a penalty equal to three times any potential financial gain, according to the legislation described by Cointelegraph.
A recent case highlights the issue
The bill follows scrutiny of election-related trading by political candidates. In August, Republican House candidate Laurie Buckhout received a three-year suspension and a $2,590 penalty from Kalshi over trades involving event contracts connected to her race.
Buckhout did not face civil or criminal charges in that case. The episode nevertheless illustrates the concern behind Davis’ proposal: candidates and their immediate families may have access to information, campaign activity or political developments that other market participants do not.
The legislation would apply not only to a candidate, but also to the candidate’s campaign, spouse and children. Its stated financial penalties are designed to address both individual violations and any possible gains from the prohibited activity.
No action before the 2026 midterms
Congress is in recess until after the 2026 US midterm elections, meaning the House and Senate will not take up Davis’ bill before voters go to the polls. The House has continued holding some pro forma sessions, but the measure is not expected to be addressed during the period before the election.
Election-related event contracts remain available on Kalshi and Polymarket. The source material says those markets currently offer better odds on Democrats regaining control of Congress in 2027, though the proposed bill has not yet changed their availability.
Moneyiar market picture
Moneyiar data at 10:19 a.m. on October 7, 2026, showed mixed performance among the listed assets:
- AKEDO (AKE) was trading at $0.0280116366, down 8.8% over 24 hours and 16.21% over seven days.
- Billions Network (BILL) stood at $0.0139971939, down 0.59% over 24 hours but up 10.04% over seven days. The supplied reading is timestamped September 21, 2026, at 1:39 a.m.
- Notcoin (NOT) was priced at $0.0004592055, down 7.2% in 24 hours and 7.72% over seven days.
- Ore (ORE) traded at $102.6925999552, down 7.6% over 24 hours and up 18.99% over seven days.
