Resolution Criteria
This market resolves to YES if, at any point before January 1, 2029, the United States federal government implements any form of capital control that significantly restricts the free flow of capital into or out of the country, with the following specifications:
What WOULD count for YES resolution:
Broad-based restrictions on U.S. citizens or residents transferring money abroad (e.g., annual limits on total foreign transfers per person)
General limits on foreign investment in U.S. assets that apply to multiple countries or regions
Mandatory approval processes for capital outflows above a certain threshold that apply universally
New taxes or fees specifically designed to discourage capital movement across borders (e.g., a "Tobin tax" on financial transactions)
Restrictions on currency conversion for U.S. citizens or residents
Implementation of a dual exchange rate system
Mandatory repatriation of foreign earnings by U.S. corporations
Restrictions on Americans purchasing foreign securities
What would NOT count for YES resolution:
Targeted sanctions against specific countries (e.g., restrictions on investment in Russia, Iran, etc.)
Sanctions against individual entities or persons
Enhanced reporting requirements that don't actually restrict capital movement
Anti-money laundering or anti-terrorism financing measures
National security reviews of foreign investment (like CFIUS) unless substantially expanded to cover most capital flows
Country-specific restrictions affecting fewer than 10 countries, unless those countries collectively represent more than 50% of global GDP
Temporary emergency measures lasting less than 10 days
The capital controls must be implemented by executive order, legislation, or formal regulation by a federal agency with appropriate authority, not merely proposed or under consideration. The market resolves to NO if no qualifying capital controls as described above are implemented by the end of December 31, 2028.
Temporarily closing trading to get ahead of "One, Big, Beautiful Bill."
It includes a proposed 5% tax on foreign remittance with a tax credit for citizens only.
This means a legal resident or visa holder would pay for transferring capital out of the country.
Highlighting two criteria listed above:
- "Broad-based restrictions on U.S. citizens or residents transferring money abroad (e.g., annual limits on total foreign transfers per person)
- "New taxes or fees specifically designed to discourage capital movement across borders (e.g., a "Tobin tax" on financial transactions)"
If the bill is passed as written, this would count as capital control according to the letter of the market.
Given the lack of movement in this market, even if the news is ~1 day old, I want to open up the floor for discussion before resuming trading.
Currently 44% - that feels shockingly high to me for an unprecedented event, but maybe I'm missing something. Can someone describe an example scenario of how this could play out?