A bipartisan group of senators introduced legislation Thursday that would require lawmakers and government employees to disclose any bets they place through prediction markets. The bill aims to prevent public officials from profiting on privileged information by mandating transparency around these financial wagers.

Prediction markets, which allow participants to bet on future events like elections or economic indicators, have grown in popularity as alternative investment vehicles. The proposed legislation would create a disclosure framework similar to existing requirements for stock trading by members of Congress. This move comes amid growing scrutiny of how public officials might leverage non-public information for financial gain.

The disclosure requirements would apply to all federal employees and elected officials, closing a potential loophole in current ethics rules. While prediction markets operate in a regulatory gray area, this legislation would establish clear guidelines for government personnel participation.