CaliforniaPrediction Markets

    Responsible Trading

    Responsible Trading

    Prediction markets are financial instruments with real risk. You can lose the money you deposit. For most people, trading is a small part of a healthy relationship with sports, politics, or economic events. For some people, it can become a problem. This page covers how to keep it healthy, how to notice if it isn't, and where to find support.

    Before you trade

    A few ground rules that separate healthy engagement from unhealthy engagement:

    Only use money you can afford to lose. Prediction markets are not a substitute for investing, saving, or paying your bills. If you need the money for rent, food, or debt payments, do not trade with it.

    Set a budget and stick to it. Decide in advance how much you are comfortable losing across a given week, month, or event. When you hit the number, you stop — no exceptions.

    Trade because you enjoy the markets, not to chase losses. The single biggest warning sign in any financial activity is doubling up after losses to "win it back." This is how people blow up accounts and, in worst cases, their finances.

    Keep it contained. Trading should fit around the rest of your life, not crowd it out. If prediction markets are the first thing you check in the morning and the last thing you check at night, something has shifted.

    Signs that trading has become a problem

    Any of the following are worth taking seriously:

    • Trading with money you need for bills, debt, or essentials
    • Hiding trades from a partner, family member, or friend who would be concerned
    • Chasing losses with larger bets to make it back
    • Feeling anxious, irritable, or depressed when not trading
    • Lying about how much you've won or lost
    • Borrowing money to trade
    • Skipping work, family obligations, or sleep because of trading activity
    • Feeling unable to stop even when you want to

    If any of these apply to you, please reach out to one of the support resources below. You don't have to have hit a crisis point to ask for help.

    Support resources

    National Council on Problem Gambling (NCPG)

    Call: 1-800-GAMBLER
    Text: 1-800-GAMBLER
    Chat: ncpgambling.org/help-treatment

    The NCPG's national helpline is free, confidential, and available 24/7. Operators can connect you to local resources specific to California.

    California Problem Gambling Helpline

    Call: 1-800-GAMBLER (also served by the national line)

    Gamblers Anonymous (California)

    gamblersanonymous.org has meeting directories for Southern California, Northern California, and online meetings.

    SAMHSA National Helpline

    For substance and mental health support more broadly. Call: 1-800-662-4357

    In immediate crisis

    Call or text 988 for the Suicide and Crisis Lifeline.

    Practical tools

    Most prediction market platforms offer built-in responsible-use tools. Look for:

    • Deposit limits (daily, weekly, monthly caps you set yourself)
    • Loss limits (automatic stops after you hit a set loss amount)
    • Time-outs (temporary self-exclusion for 24 hours, 7 days, 30 days)
    • Permanent self-exclusion (closes your account and blocks you from reopening)

    Using these tools preemptively — before you feel you need them — is one of the clearest signs of responsible engagement.

    A note on our coverage

    California Prediction Markets writes about prediction markets as a legal alternative to sportsbooks for California residents. We do not frame trading as a get-rich activity. We do not recommend specific positions. We do not celebrate winners or shame losers. If you find yourself reading our content as trading advice, please don't — treat it as information, not a signal.

    If trading has stopped being fun, take a break. The markets will still be there.

    21+ only. Trade responsibly. Call 1-800-GAMBLER.