Soldier charged with using classified information to bet on Maduro capture

April 23 (UPI) — A U.S. Army special forces soldier who participated in capturing Venezuelan leader Nicolas Maduro has been charged with using classified information about the operation to make bets on Polymarket, a decentralized prediction platform, federal prosecutors said Thursday.
Gannon Ken Van Dyke, stationed at Fort Bragg in Fayetteville, N.C., is alleged to have profited by more than $400,000 through wagers he made on Polymarket concerning the future of Venezuela, Maduro and U.S. military intervention.
“Our men and women in uniform are trusted with classified information in order to accomplish their mission as safely and effectively as possible, and are prohibited from using this highly sensitive information for personal financial gain,” Acting Attorney General Todd Blanche said in a statement.
Polymarket is one of several crypto-based prediction markets that grew in popularity during the 2024 general election, allowing users to make wagers on seemingly anything, from who will be drafted first overall in the NFL Draft to when President Donald Trump will announce the war in Iran is over.
In the indictment unsealed Thursday, federal prosecutors alleged that starting from around Dec. 8, Van Dyke participated in the planning and execution of Operation Absolute Resolve.
On Dec. 26, Van Dyke allegedly created a Polymarket account, which he used to make 13 bets from Dec. 27, wagering a combined $33,034 on contracts concerning U.S. military involvement in Venezuela.
Before dawn on Jan. 3, U.S. military forces conducted a clandestine operation in Venezuela, resulting in the capture of Maduro and his wife, who were brought back to the United States to face narco-trafficking charges.
After Trump announced the operation that night, Van Dyke allegedly made $409,881 off his bets, which he withdrew to a foreign cryptocurrency vault before depositing them into a newly created online brokerage account, federal prosecutors said.
After the operation, news broke that one user had wagered $32,000 that Maduro would be ousted by the end of January, netting the multi-hundred-thousand-dollar payout.
Prosecutors alleged that as reports of the unusual wager spread, Van Dyke asked the platform on Jan. 6 to delete his account and he allegedly changed the email address registered to his cryptocurrency exchange account.
The indictment charges him with use of confidential government information for personal gain, theft of nonpublic government information, commodities fraud, wire fraud and making an unlawful monetary transaction.
If convicted, Van Dyke faces up to 10 years in prison for each of the three Commodity Exchange Act counts, 20 years for the one wire fraud count and 10 years for the unlawful monetary transaction charge.
The charges come amid concern about such decentralized markets that allow for betting on real-world events and calls for them to be regulated
In late March, dozens of lawmakers called on the Commodity Futures Trading Commission and the Office of Government Ethics to address illegal insider trading on these platforms by federal employees following the Polymarket payout on the capture of Maduro and other suspicious trades.
Asked about the development and if he is concerned about bets being placed on the Iran war, Trump told reporters at the White House that he will look into it.
“The whole world, unfortunately, has become somewhat of a casino. And you look at what’s going on all over the world, in Europe and every place, they’re doing these betting things,” he said.
“I was never much in favor of it. I don’t like it, conceptually, but it is what it is.”



