(a) In general

Chapter 131 of title 5, United States Code, is amended by adding at the end the following:

IV Prohibition on participation in prediction markets

13151. Definitions

In this subchapter:

(1) Member of Congress and congressional ethics committees

The terms Member of Congress and congressional ethics committees have the meanings given the terms in section 13101.

(2) Covered transaction

The term covered transaction means a purchase, sale, or exchange of a prediction market contract.

(3) Prediction market contract

The term prediction market contract—

(A)

means an agreement, contract, swap, or transaction that provides for any purchase, sale, payment, or delivery of an excluded commodity, as such term is defined in section 1a of the Commodity Exchange Act (7 U.S.C. 1a), that is dependent on the occurrence, nonoccurrence, or the extent of the occurrence of a specific event or contingency; and

(B)

does not include insurance for which the insured holds a lawful insurable interest.

13152. Prohibition of participation in prediction markets

(a) Prohibition

(1) In general

A Member of Congress may not engage in, be a party to, or benefit from, a covered transaction.

(2) Benefit from a household member

A Member of Congress receives a benefit from a covered transaction if—

(A)

an individual in the same household as the Member engages in, or is a party to, a covered transaction; and

(B)

the transaction results in a payment paid, or benefit given, to the individual or another individual in the household.

(b) Certification

(1) In general

Not later than 15 days after the start of a calendar year, a Member of Congress—

(A)

who is a Member of the House of Representatives shall certify to the Clerk of the House of Representatives that the Member has complied with subsection (a) with respect to the most recent completed calendar year; and

(B)

who is a Member of the Senate shall certify to the Secretary of the Senate that the Member has complied with subsection (a) with respect to the most recent completed calendar year.

(2) Report

The Clerk of the House of Representatives and the Secretary of the Senate shall make available on the public website of the Clerk and the Secretary, respectively, any certification made under this subsection.

13153. Penalties

(a) Investigation

A congressional ethics committee shall promptly investigate any Member of Congress subject to the jurisdiction of the committee concerned who—

(1)

does not comply with section 13152(b) for a calendar year; or

(2)

is subject to a credible report of a violation of section 13152(a).

(b) Penalty

In accordance with the rules of the House of Congress concerned, a Member of Congress who is found to have violated section 13152(a) shall be fined an amount determined by the House of Congress that shall be the greater of—

(1)

$10,000; or

(2)

the amount equal to triple the profit made by the Member of Congress as a result of the violation.

(c) Deposit in the Treasury

The amounts paid by a Member of Congress for a fine under subsection (b) shall be deposited in the miscellaneous receipts of the Treasury.

(d) Additional measures

Subject to the rules of the House of Congress concerned, a congressional ethics committee may pursue, advise, or recommend additional sanctions or remedies with respect to a violation of section 13152(a) by a Member of Congress who is subject to the jurisdiction of the committee.

13154. Duties of congressional ethics committees

The congressional ethics committees shall carry out the following:

(1)

Establish procedures with respect to the certification requirements under section 13152(b) and the reporting requirements under section 13152(c).

(2)

Issue guidance with respect to compliance with the requirements under this subchapter.

(3)

Make available, on a public website under the authority of each congressional ethics committee, the procedures and guidance under this section and other such materials necessary or appropriate to assist Members of Congress in complying with the requirements under this subchapter.

(b) Conforming amendment

The table of contents of such chapter is amended by adding at the end the following:

(a) Procedures and guidance

Not later than 90 days after the date of the enactment of this Act, the congressional ethics committees shall carry out the duties of the committees under paragraphs (1) and (2) of section 13154 of title 5, United States Code, as added by this Act.

(b) Start of compliance

Not later than 180 days after the date of the enactment of this Act, a Member of Congress shall comply with section 13152 of such title, as added by this Act.

(c) Definitions

In this section, the terms Member of Congress and congressional ethics committees have the meanings specified in section 13151 of such title, as added by this Act.