Israel Arrests Two Over Polymarket Trades on Iran Strikes

Israeli authorities have arrested and indicted two individuals for allegedly utilizing secret data to position bets on the predictions market Polymarket associated to Israel hanging Iran.

In a joint assertion on Thursday, Israel’s Protection Ministry, its inner safety service Shin Guess, and police mentioned a army reservist and a civilian had been arrested after an investigation discovered that the reservist obtained labeled data to position the bets.

The prosecutor’s workplace will pursue felony prices for security-related offenses, bribery, and obstruction of justice. Authorities mentioned the reservist was working for Shin Guess.

Prediction markets have seen main insider buying and selling scandals this yr after a Polymarket consumer gained a wager that Nicolás Maduro could be ousted as Venezuelan president hours earlier than he was captured by US forces, profiting round $400,000.

The Israeli state-owned information outlet Kan reported final month that the Polymarket consumer “ricosuave666” positioned a number of bets associated to Israel’s army operations in Iran in June 2025, but it surely’s unknown if these arrested are behind the account.

The account had reportedly wagered tens of 1000’s of {dollars} and had profited over $152,300, betting on markets reminiscent of “Israel strike on Iran on June 24” and “Israel army motion towards Iran by Friday,” with the latter of the 2 bets profitable them over $128,700.

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Prediction markets result in actual safety dangers when misused

Lawmakers worldwide have raised considerations that insider information might be exploited in prediction markets, undermining market integrity and eroding public belief.