Shortly after a member of the U.S. Special Forces was criminally charged this week with using insider knowledge about the capture of Nicolás Maduro of Venezuela to win a series of lucrative bets, the platform on which he gambled, Polymarket, released an approving statement.
“Insider trading has no place on Polymarket,” it said. “Today’s arrest is proof the system works.”
The statement reflects a growing trend among gambling companies, including prediction markets like Polymarket and Kalshi and sports betting platforms like DraftKings and FanDuel. Recent insider trading cases brought in New York have given them an opportunity to argue that illegal behavior won’t be tolerated on their platforms and that the system is working.
