Definitions around what constitutes capital losses? Some people have suggested that losses from the prediction market PredictIt could be treated as an income deduction

The only information I've seen is that last year they were sending out 1099-MISC forms to people that "profited" over $600.

I've seen people on forums suggesting that losses could be written off under the $3000 capital losses rule. The contracts essentially are binary options, not too different than those for stock prices on the CBOE. But I've also read that Predict might not have the proper exchange registration to qualify its trading as capital gains/losses.

What do you think?

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