Republican Lawmaker Plans to Add Prediction Markets to Congressional Stock Ban Bill

Restrictions that lawmakers would face under a bill intended to stop insider stock trading on Capitol Hill should also apply to prediction markets, Rep. Bryan Steil (R-WI) signaled on Thursday.

Steil, who leads the House Administration Committee, told reporters during a roundtable that lawmakers plan to add language to a stock ban bill to cover platforms such as Polymarket and Kalshi, per Bloomberg Government.

“In my conversations with members and just the broad public, I don’t think anyone believes that members of Congress should be making trades on elections or making trades on public policy,” he said.

The bill, known as H.R. 7008, would completely ban lawmakers, spouses, and dependents from purchasing publicly traded stocks, and require them to file “intent to sell” notices disclosed publicly at least seven days before sales occur. Violators face fees equal to $2,000 or 10% of the investment’s value—whichever is greater—plus the forfeiture of any realized gains.

The bill, which was reported to the House in February, does not explicitly cover digital assets in its latest version. Steil’s comments come amid growing backlash from lawmakers who contend that the platforms have the potential to undermine market integrity or threaten national security, often pointing to a U.S. soldier’s alleged trades on military activity in Venezuela.

The bill has sat idle since it cleared committee hurdles in February and was added to the chamber’s calendar, making it eligible for debate and a vote before the Senate gets a chance to weigh in. Steil reportedly said he’s hopeful the House could vote on the bill this summer.

Late last month, the leader of the House Oversight Committee, James Comer (R-KY), launched investigations into Polymarket and Kalshi, saying that a “growing pattern of insider trading activity on prediction market platforms indicates that Congressional action may be necessary.”

The push to clamp down on lawmakers’ use of prediction markets follows the Senate’s passage of a resolution in April banning members from the platforms. The decision marked the first major regulatory action prohibiting government officials from making such wagers

Meanwhile, White House aides were instructed in March not to place wagers on prediction markets, per The Wall Street Journal. The directive reportedly came a day after President Donald Trump unveiled a pause to the fighting in the Middle East via social media.