# Senate Proposes DoD Trading Restrictions

Project On Government Oversight has urged the Senate to strengthen Section 1081 of the FY2027 National Defense Authorization Act, which addresses Department of Defense personnel trading on prediction markets. Its recommendations include prohibiting covered trading regardless of transaction value or use of material nonpublic information, clarifying penalties for violations and failures to report, and making financial disclosures public. The provision remains under Senate consideration; it creates no current contractor compliance requirement, appropriation, or direct contracting opportunity.

- Defense contractors should treat the proposed changes as pending legislation, not an enacted requirement, and account for that status when advising on employee ethics or compliance policies.
- If adopted, the proposed restrictions and public disclosure provisions could affect DoD personnel and related ethics processes; the letter does not specify a contract vehicle, funding, or procurement action.
- The Senate Armed Services Committee is the relevant legislative venue identified in the signal. Contractors can follow the FY2027 NDAA’s consideration for changes to Section 1081.

**Jurisdictions:** federal
**Industries:** Defense & Military
**Topics:** Policy
**Published:** September 29, 2026

### Government Entities
- U.S. Department of Defense (DoD)
- U.S. Senate Committee on Armed Services

### Sources
- [NDAA Could Help Regulate Prediction Markets with Stronger Language | Project On Government Oversight](https://www.pogo.org/policy-letters/ndaa-could-help-regulate-prediction-markets-with-stronger-language) - Project On Government Oversight