A Google engineer made $1.2 million by insider trading on Polymarket under the name 'AlphaRaccoon': DOJ

• The DOJ said a Google software engineer made $1.2 million from insider trading on Polymarket.
• Michele Spagnuolo was charged with wire fraud, money laundering, and violating the Commodity Exchange Act.
• Prediction markets are facing growing scrutiny in the US, with lawmakers seeking to regulate them.

Polymarket and Kalshi have both said they have put in guardrails against insider trading, such as preemptively blocking politicians and sportspeople from placing bets.