Overview
- Following Thursday's partial lift of a court gag order, prosecutors disclosed an indictment accusing a reserve Air Force major and a civilian of using secret operational timing to make money on the Polymarket betting site.
- According to the filing, the major messaged his friend before Israel’s June 2025 strike on Iran, prompting a bet on whether a strike would occur before July that won $162,663, which they agreed to split using a crypto wallet the friend set up.
- In September 2025, prosecutors say the pair repeated the method around Israeli strikes near Yemen, placing successful wagers that brought in additional winnings.
- After media attention grew in January 2026, the two allegedly deleted WhatsApp messages and images to obstruct investigators, and prosecutors are seeking to seize phones, computers, cash, and crypto tied to the trades.
- The IDF called the conduct a grave ethical breach and said no operational harm occurred, while the case renews scrutiny of Polymarket and the risk that insider tips can be hidden behind anonymous crypto accounts.