An Israeli defense reservist and a civilian have been indicted for allegedly utilizing classified military information to place bets on the decentralized prediction platform Polymarket, according to reports from Israeli media. The indictment, filed by the State Attorney’s Office, alleges that the reservist, who had access to sensitive operational details, shared non-public information regarding the timing and nature of military actions with a civilian associate. The pair then reportedly used this ‘insider’ knowledge to wager on the outcomes of specific geopolitical events and military developments on Polymarket. Authorities state that these actions represent a serious breach of security protocols and a novel form of market manipulation involving blockchain-based platforms. This case marks one of the first known instances of legal action taken against individuals for insider trading on a decentralized prediction market involving sensitive national security data.
Source: Israeli defense reservist, civilian indicted over alleged insider betting on Polymarket: reports
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