PANews
PANews|Jul 10, 2026 00:30
[Concerns Over Insider Trading in Prediction Markets Rise, Goldman Sachs, JPMorgan Chase Tighten Employee Trading Rules] According to CNBC, as prediction markets spark concerns over insider trading, Goldman Sachs has prohibited employees from trading contracts related to the bank's own events, elections, financial markets, macroeconomic data, and geopolitical matters. Financial institutions such as Morgan Stanley, JPMorgan Chase, and Bank of America are formulating or updating related policies, with Bank of America explicitly banning prediction market trading for its employees. Previously, the CFTC and the Department of Justice accused a Google employee of using non-public information to trade "annual search" related contracts on Polymarket, profiting approximately $1.2 million. Legal experts state that the CFTC remains "a blank slate" in enforcing insider trading laws, but the wide variety of platform contracts makes comprehensive regulation challenging. Kalshi and Polymarket have respectively introduced employment verification tools and partnered with Chainalysis and Palantir to monitor suspicious activities.
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