Prediction Markets Face Scrutiny Over Insider Trading

In October 2025, a new Polymarket account wagered $40,000 that OpenAI would launch an AI web browser by month-end and turned a $7,000 profit after the release, a trade flagged by Polysights’ Insider Finder. The incident, along with a separate $30,000 Venezuelan contract windfall and other rapid bets, has triggered scrutiny and prompted Rep. Ritchie Torres to introduce a bill banning federal officials from betting, with 30 Democratic co-sponsors.