Two insider trading cases in prediction markets were both voluntarily reported by Polymarket

Odaily Planet Daily News: The U.S. Department of Justice recently indicted Google software engineer Michele Spagnuolo, accusing him of using Google's internal confidential information to trade in prediction markets on Polymarket, illegally profiting approximately $1.2 million.

Polymarket posted on the X platform, stating that Michele Spagnuolo's insider trading activities had already been flagged by its market integrity system, and Polymarket voluntarily filed a criminal complaint with the judicial authorities, which ultimately led to his successful arrest. Polymarket noted that both insider trading cases resulting in arrests in the prediction market so far originated from its criminal referrals.

The other prediction market insider trader arrested by the U.S. Department of Justice is Gannon Ken Van Dyke, a U.S. military participant involved in the operation to arrest Maduro. He relied on inside information to profit over $409,000 from the prediction market and was arrested on April 23.