The U.S. Senate has unanimously passed S. Res. 708, a resolution that immediately bans senators and their staff from trading on prediction markets. Introduced by Senator Bernie Moreno (R-Ohio), the measure amends the Senate’s standing rules governing member conduct, targeting potential insider trading advantages derived from non-public government information.
Senator Moreno stated: "United States Senators have no business engaging in speculative activities like prediction markets while collecting a taxpayer-funded paycheck, period. Serving in Congress is an honor, not a side hustle." The unanimous passage reflects bipartisan agreement that such trading poses ethical concerns similar to traditional stock trading restrictions for government officials.
The resolution follows a series of high-profile insider trading incidents. In January, a pseudonymous Polymarket account wagered that Venezuelan President Nicolás Maduro would be "out" by the end of the month, netting over $400,000. Last week, active-duty U.S. Army soldier Gannon Ken Van Dyke, 38, was arrested for allegedly using confidential information to place that bet; he has pleaded not guilty.
Major prediction market platforms have voiced support for the Senate's move. Kalshi founder Tarek Mansour called it a "great step" and urged lawmakers to expand the ban, saying: "Now, let’s pass this in the House!" Polymarket stated: "We’re in full support of this. Our Rulebook & Terms of Service already prohibit such conduct, but codifying this into law is a step forward for the industry."
Minority Leader Chuck Schumer urged the House and President Donald Trump's administration to enact similar rules, saying: "Speaker Johnson should immediately do the same thing in the House." On the state level, New York, Illinois, and California have issued executive orders blocking state employees from using non-public information to bet on prediction markets.
