US soldier arrested for allegedly making over $400,000 on Polymarket with classified Maduro information
Source: Engadget
Arrest and Charges
United States Army Special Forces master sergeant Gannon Ken Van Dyke has been arrested and charged for using classified information to place bets on the prediction‑market platform Polymarket. The information related to the U.S. operation that captured former Venezuelan president Nicolás Maduro and his wife on January 3, 2026. Van Dyke is accused of profiting $409,881 from these wagers.
The Department of Justice alleges that Van Dyke created a Polymarket account around December 26, 2025 and placed 13 bets concerning Maduro between December 27 and January 2. The bets included “Yes” positions on:
- “US Forces in Venezuela… by January 31, 2026”
- “Maduro out by January 31, 2026”
- “Will the US invade Venezuela by January 31”
- “Trump invokes War Powers against Venezuela by January 31”
He reportedly wagered a total of $33,034, withdrew his winnings on the day Maduro was captured, moved the funds to a foreign crypto vault, and later deposited them into a new online brokerage account.
Legal Proceedings
Van Dyke faces:
- Three counts of violation of the Commodity Exchange Act (up to 10 years per count)
- One count of wire fraud (up to 20 years)
- One count of unlawful monetary transaction (up to 10 years)
According to the DOJ, after insider‑betting reports surfaced, Van Dyke asked Polymarket to delete his account, falsely claiming loss of email access, and changed the email linked to his crypto account to one not associated with his name.
Context: Insider Trading in Prediction Markets
Insider‑trading concerns have plagued prediction‑market platforms. Recent examples include:
- Kalshi suspended three political candidates for alleged insider trading related to their campaigns.
- Matt Klein (Minnesota) and Ezekiel Enriquez (Texas) faced fines under $1,000 and up to five‑year suspensions.
- Mark Moran (Virginia) received a five‑year suspension and a fine exceeding $6,000.
These cases highlight ongoing regulatory challenges for markets that allow betting on real‑world events.