Two insider trading cases in the prediction market were both proactively reported by Polymarket

Odaily reported that recently, the U.S. Department of Justice charged Google software engineer Michele Spagnuolo with using Google's internal confidential information to trade on Polymarket's prediction market, illegally profiting approximately $1.2 million.

Polymarket posted on platform X, stating that Michele Spagnuolo's insider trading was already flagged by its market integrity system, and that Polymarket proactively filed a criminal complaint with judicial authorities, ultimately leading to Michele Spagnuolo's successful arrest. Polymarket stated that the two arrest cases for insider trading in the prediction market both originated from the platform's criminal complaints.

Another prediction market insider trader arrested by the U.S. Department of Justice is Gannon Ken Van Dyke. As a U.S. military participant in the operation to capture Maduro, he relied on inside information to profit over $409,000 from the prediction market before being arrested on April 23rd.