Campaign Funds Integrity Act of 2026

This bill, titled the Campaign Funds Integrity Act of 2026, amends the Federal Election Campaign Act of 1971 to prohibit the use of campaign funds for speculative financial transactions . Specifically, it bans candidates, authorized committees, and other political committees from participating in any prediction market or event contract, particularly those whose value is derived from the outcome of elections, legislative actions, or other political or economic events. Violations of this prohibition will be subject to existing enforcement procedures and civil penalties. Furthermore, knowing and willful violations could result in criminal penalties, including fines, imprisonment for up to five years, or both, with the Federal Election Commission able to refer such cases to the Department of Justice. The bill mandates the Federal Election Commission to promulgate regulations to implement this section, providing guidance on compliance and permissible financial instruments. However, it explicitly states that the prohibition does not apply to low-risk investments such as deposits in insured institutions, diversified mutual funds, or other instruments approved by the Commission.