A United States special forces soldier is scheduled to appear in federal court in New York on Tuesday, facing allegations that he leveraged classified intelligence regarding the operation to apprehend former Venezuelan leader Nicolás Maduro to secure more than $400,000 in winnings on the prediction market platform Polymarket.
Charges and Allegations
Gannon Ken Van Dyke, 38, has been formally charged with multiple offenses, including the unlawful use of confidential government information for personal gain, theft of nonpublic government information, commodities fraud, wire fraud, and executing an unlawful monetary transaction. This case emerges amid heightened scrutiny of prediction markets, which enable users to trade or wager on virtually any outcome, as policymakers advocate for more stringent regulation of these platforms due to concerns over potential insider trading.
Details of the Case
Prosecutors contend that Van Dyke was directly involved in both the planning and execution of the mission to capture Maduro and had signed nondisclosure agreements pertaining to the operations. Despite these agreements, he allegedly placed a series of bets related to the likelihood of Maduro being out of power by January 31. Polymarket, one of the largest prediction markets, identified the suspicious activity and reported it to authorities, according to CEO Shayne Coplan.
Van Dyke, who is stationed at Fort Bragg near Fayetteville, North Carolina, was granted bond following a court hearing in North Carolina last week. His case will now proceed in New York. Court records do not list an attorney representing him in New York.
Political Context
The Trump administration has expressed support for the expansion of the prediction market industry. The president's eldest son serves as an adviser for both Polymarket and its main competitor, Kalshi, and is also an investor in Polymarket. Additionally, Trump's social media platform, Truth Social, is launching its own prediction market called Truth Predict.
