Published on: April 21, 2026, 08:22h.

Updated on: April 21, 2026, 08:22h.

• Executive order signed by Illinois governor to thwart insider trading
• Directive targets state officials, political appointees, and board members
• California enacts a similar directive recently

Today, Illinois Governor J.B. Pritzker (D) enacted an executive order that prohibits state workers from profiting off of nonpublic information in prediction markets, aligning with a growing trend among political leaders who are establishing boundaries around employee trading on yes/no exchanges.

The directive explicitly prohibits any “Illinois state employee, officer, appointee or board member of any State Agency” from using their access to confidential information for personal gain in prediction markets or through event contracts. The use of proxies for the same purpose is also forbidden.

Pritzker, who aspires to run in the 2028 presidential race, criticized President Trump, stating that the president’s administration lacks rigorous oversight of prediction markets.

Pritzker’s office noted in a statement that “extensive reporting” indicates insiders at the White House are profiting significantly from prediction markets by leveraging their access to undisclosed information.

Illinois’ Conflict with Prediction Markets

While prediction markets are a burgeoning sector, tensions between this industry and its federal watchdog have escalated in Illinois.

This legal challenge faced backlash from the implicated states, with Pritzker’s office asserting that the Trump Administration is encroaching on state rights to oversee prediction markets.

“Such actions would hamper states’ abilities to enforce consumer protections, set regulations, and prevent individuals from profiting off insider information in an industry currently lacking comprehensive oversight,” the press release stated. “Illinois insists that states must maintain their capacity to protect consumers, uphold ethical standards, and ensure that new wagering formats do not erode public confidence.”

Politicians Taking a Stand Against Prediction Markets

With this executive order, Pritzker joins an expanding array of politicians, many aligned with him politically, who are firmly opposing prediction markets. Several congressional members have already prohibited their staff from trading on yes/no exchanges.

Just last month, California Governor Gavin Newsom (D), another potential 2028 presidential candidate, issued a similar order, banning officials in California from profiting off nonpublic information in prediction markets.

The recent orders and internal directives are practical measures for politicians, as there are currently no laws explicitly prohibiting insider trading in prediction markets, although some operators are taking initiatives to address misconduct.