A new bipartisan bill sponsored by Michigan Congresswoman Kristen McDonald Rivet (D-Bay City) would ban Supreme Court justices, members of Congress and executive officials from owning stocks and placing bets on prediction markets.
“When I went to Washington, I expected to see, you know, a little bit of corruption,” McDonald Rivet told reporters. “But I just need to tell you that it's actually, it's worse, it's worse than we think it is.”
Under current laws, members of Congress are required to file financial disclosures for significant stock dealings, and the amount they’re allowed to trade is already limited. Similar regulations and conflict of interest policies are imposed in the executive and judicial branches.
But, McDonald Rivet said, these past efforts to mitigate corruption have not been successful.
“The piece that was missing that I feel really strongly about is the prediction markets,” the congresswoman said. “And it also is the only bill that extends it to federal judges.”
Along with the officials already in office, McDonald Rivet said, the legislation would also bar candidates on the campaign trail for federal positions from betting on their own elections with prediction markets.
McDonald Rivet's own financial disclosures show she does not own any individual stocks.
According to a 2023 survey conducted by the University of Maryland’s Program for Public Consultation, 86% of Americans support prohibiting members of Congress from trading stocks. Similarly, the survey results indicated 87% of Americans would support a similar ban for the president, vice president and Supreme Court justices.
Chelsea Fitzgerald is from Saginaw. Joining McDonald Rivet at the podium, she said she supports the bill because she’s tired of seeing elected officials use their positions to enrich themselves rather than working to make life more affordable for American families.
“That is not public service to us,” Fitzgerald said. “That is self-service.”
McDonald Rivet went on to say that the ineffectiveness of current regulations makes it harder for people to put their trust in the federal government. Taking these measures, she said, would help rebuild that trust.
“There will be a point where the American people feel so strongly about this that it cannot be ignored,” she said. “And the president and the Congress will be forced to pass it.”
The bill was introduced only recently by McDonald Rivet, along with several other congressmen, and is now under comittee review.
Congressman Greg Landsman (D-OH), another sponsor of the bill, said the legislation is one step toward fixing a broken system.
"Congress’ focus is and should always be on the needs of hardworking families," Landsman said in a press release. "Getting members of Congress out of the stock-trading business and free from outside influence is a big part of the solution.”
The congresswoman said the bill will remain one of her priorities throughout her term, but she'll be focusing on the prediction markets and regulations for Supreme Court justices.
“I actually think that in January when we see Democratic control, especially of the U.S. House, it should be the very first thing that we do,” she said.
