DOJ Charges Google Engineer in $1.2M Polymarket Insider…

The U.S. Department of Justice has charged Michele Spagnuolo, a Google software engineer who operated under the handle "AlphaRaccoon" on Polymarket, with commodities fraud, wire fraud, and money laundering. Prosecutors allege he leveraged confidential Google data to place prediction market bets between October and December 2025, generating more than $1.2 million in profits.

According to the DOJ, Spagnuolo wagered approximately $2.75 million across markets tied to nonpublic Google information — implying he converted inside knowledge into a structured betting strategy rather than a one-off opportunistic trade. The case is being prosecuted by the U.S. Attorney's Office for the Southern District of New York.

The charges mark a significant escalation in regulatory scrutiny of prediction markets.

Source: [source](https://www.justice.gov/usao-sdny/pr/google-employee-charged-insider-trading)