DEATH BETS Act

Summary#

This bill, titled the "Discouraging Exploitative Assassination, Tragedy, and Harm Betting in Event Trading Systems Act" (DEATH BETS Act), would change the Commodity Exchange Act. It adds a rule that a registered entity (such as a regulated exchange or clearinghouse) may not list or accept for clearing any agreement, contract, transaction, or swap based on an "excluded commodity" that involves, relates to, or references terrorism, assassination, war, similar activities, or an individual's death or that could be seen as closely correlated to an individual's death. The bill text refers to the Commission making determinations about what is covered.

What it means for you#

• Regulated U.S. trading platforms and clearinghouses could not offer or clear the listed types of contracts that reference war, assassination, terrorism, or individual deaths.
• Traders and market participants would not be able to trade those specific contracts on registered entities; the bill text does not describe effects on unregulated or foreign platforms.
• The restriction applies to agreements, contracts, transactions, and swaps that are based on an "excluded commodity" as defined elsewhere in the Commodity Exchange Act.

Expenses#

No publicly available information.

Proponents' View#

The bill's short title states its purpose: to discourage exploitative betting tied to assassination, tragedy, and harm in event trading systems. The bill text implements that purpose by banning certain listed contracts from trading or clearing on registered entities.

Opponents' View#

No publicly available information.