Why Prediction Markets Are a New Frontier for Insider Trading
Prediction markets have rapidly grown into a multi-billion-dollar industry, allowing users to bet on various real-world outcomes. Recently, Google engineer Michele Spagnuolo was charged with insider trading related to bets made on Polymarket, a leading prediction market platform. He allegedly used confidential information to profit over $1 million from predicting search trends for 2025.
- ▪Prediction markets allow users to bet on outcomes in various fields, including sports and elections.
- ▪Michele Spagnuolo was charged with insider trading for using proprietary information on Polymarket.
- ▪His bets reportedly won when Google announced the singer D4vd as the most searched person in 2025.
Opening excerpt (first ~120 words) tap to expand
TechnologyExplainerWhy Prediction Markets Are a New Frontier for Insider TradingFacebookXLinkedInEmailLinkGiftExpandIllustration: Doug ChaykaFacebookXLinkedInEmailLinkGiftGift this articleContact us:Provide news feedback or report an errorConfidential tip?Send a tip to our reportersSite feedback:Take our SurveyNew WindowFacebookXLinkedInEmailLinkGiftBy Denitsa Tsekova and Lydia BeyoudMay 28, 2026 at 5:36 PM UTCBookmarkSavePrediction markets, where users can place bets on real-world outcomes in anything from sports and award shows to elections, interest rate decisions, and even military operations, have become a multi-billion-dollar industry in just a few years.
…
Excerpt limited to ~120 words for fair-use compliance. The full article is at Bloomberg.com.
Discussion
0 commentsMore from Bloomberg.com
