‘You will be found just like this guy’: Polymarket issues warning as US soldier arrested after winning $400K on Maduro raid bet

Polymarket’s Chief Legal Officer (CLO) Neal Kumar issued a strong warning to users attempting to exploit non-public information after a US Special Forces soldier was arrested in an insider betting case, saying the episode shows how easily illegal trades can be traced on blockchain-based platforms.

“Today proved just how easy it is to find & charge criminal insider trading when markets are onchain,” Kumar posted on X. “It's not anonymous — you will be found just like this guy. We appreciate the recognition from SDNY & will continue to work with gov’t authorities to prosecute bad actors.”



His remarks came as Polymarket confirmed it had detected suspicious activity and referred the matter to the Department of Justice.

“Last month, we published our enhanced market integrity rules to combat insider trading. When we identified a user trading on classified government information, we referred the matter to the DOJ & cooperated with their investigation,” the platform said. “Insider trading has no place on Polymarket.”

Gannon Ken Van Dyke made $400,000 on Maduro bet

Gannon Ken Van Dyke, the arrested 38-year-old Master Sergeant stationed at Fort Bragg in North Carolina, allegedly helped plan and execute the January 3 raid and capture of Venezuelan President Nicolas Maduro while simultaneously placing bets tied to the mission’s outcome, the DOJ said on Thursday, April 23.

According to prosecutors, Van Dyke was involved in planning the secret operation from December 8 and later placed multiple bets ahead of the raid, earning more than $400,000.

Charges filed, and the prison term could be severe

The Justice Department announced on Thursday that Van Dyke has been indicted on charges related to exploiting classified information for financial gain.

"Prediction markets are not a haven for using misappropriated confidential or classified information for personal gain," said Jay Clayton. "The defendant allegedly violated the trust placed in him by the United States Government by using classified information about a sensitive military operation to place bets on the timing and outcome of that very operation, all to turn a profit. That is clear insider trading and is illegal under federal law."

Clayton added, "Those entrusted to safeguard our nation’s secrets have a duty to protect them and our armed service members, and not to use that information for personal financial gain."

Van Dyke faces charges including wire fraud and violating the Commodity Exchange Act, a 1936 law regulating trading markets. If convicted on all counts, he could face up to 40 years in prison.

Who was Van Dyke? Military background and role in operation

Van Dyke joined the Army in 2008 and was promoted to Master Sergeant in 2023, one of the highest enlisted ranks, as per the indictment, but few details are available on him.

The indictment states he was photographed after the raid on a ship deck “wearing U.S. military fatigues, and carrying a rifle, standing alongside three other individuals wearing U.S. military fatigues.”

The case comes amid growing scrutiny of prediction markets. Earlier this month, The Associated Press reported that a cluster of newly created accounts on Polymarket placed unusually precise and well-timed bets on whether the US and Iran would reach a ceasefire on April 7, generating hundreds of thousands of dollars in profits.

Nicolás Maduro, Venezuela’s long-serving leader who maintained a combative stance toward the United States for years, was captured by US forces in the early hours of January 3 during a large-scale military operation and transported to New York to face criminal charges related to drug trafficking.

Maduro, who had long maintained combative relations with the United States, was captured by US forces in the early hours of January 3 and taken to New York to face drug trafficking charges.