Rahm Emanuel Proposes Banning Federal Employees from Betting on Prediction Markets

Former Chicago mayor and potential 2028 presidential candidate calls for crackdown on insider trading in Washington

Mar. 23, 2026 at 10:03am

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Rahm Emanuel, a former White House chief of staff and Chicago mayor, is proposing a ban on federal employees and their families from betting on prediction markets. Emanuel argues this is part of a broader effort to address a "culture of corruption" in Washington and prevent those with inside information from profiting off national security events.

Why it matters

As legalized gambling has expanded in the U.S., there are growing concerns about its impact, including the potential for insider trading and corruption. Emanuel's proposal aims to restore public trust in government by preventing federal employees from exploiting their access to sensitive information for personal financial gain.

The details

Emanuel's proposal would apply to leaders and employees across the executive, legislative and judicial branches of the federal government. He says he would establish a division within the Justice Department to investigate such betting activity. Emanuel was spurred to focus on the issue after concerns emerged that some in Washington may have profited off bets made ahead of recent military action in Venezuela and Iran.

  • In March 2026, Rahm Emanuel announced the proposal.

The players

Rahm Emanuel

A former White House chief of staff under President Barack Obama, two-term mayor of Chicago, and potential 2028 Democratic presidential candidate.

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What they’re saying

“Somebody clearly with inside information inside the government was making bets, made money. You have fellow Americans, what I call the true 1%, the people that volunteer to serve the interests of this country and its national security, they're putting their lives on the line and you've got somebody else sitting in his or her basement placing bets on it.”

— Rahm Emanuel

What’s next

If elected president in 2028, Emanuel says he would work with Congress to enact the ban on federal employees betting in prediction markets, but would consider executive action if necessary.

The takeaway

Emanuel's proposal aims to address concerns about insider trading and corruption in Washington by preventing federal employees from exploiting their access to sensitive information for personal financial gain through betting on prediction markets.