Market prediction is being regulated: The U.S. Senate bans senators from participating in trading

The U.S. Senate unanimously approved a new regulation on Thursday: banning senators from participating in prediction market trading, which takes effect immediately.

The background for this policy is the growing attention on prediction market platforms like Kalshi and Polymarket, especially regarding potential insider trading issues.

From a regulatory perspective, this sends a very clear signal:

When "predicting the future" begins to be financialized, regulation will inevitably follow.

My understanding is that prediction markets essentially turn "information asymmetry" into "prices," but once participants have power or informational advantages, this mechanism quickly becomes asymmetric.

So this restriction is not really about limiting innovation, but about drawing a line:

Who can participate in predictions, and who cannot leverage positional advantages to participate.