Polymarket has announced an investigation into suspicious trades made on the Israeli elections.
The company's data analysis firm, Polysights, reported a massive inflow of bets on Prime Minister Benjamin Netanyahu by fresh wallets just before the polls closed on October 26.
One wallet, reviewed by Global Gaming Insider, was created the day of the election and placed a $14,000 bet on Netanyahu's party winning the legislative election, cashing out for more than $57,000.
Due to concerns over possible manipulation of election markets, Polymarket unveiled its election-specific surveillance system designed to monitor potential manipulation attempts.
The prediction market's Head of Global Intelligence & Investigations said: "Our team brings years of experience tracing funds and investigating sophisticated networks. We connect the evidence, evaluate legitimate explanations and document the basis for our decisions."
Earlier this year, the company investigated a possible case of classified military information being used to make bets. On February 28, a series of newly created accounts built winning positions on the possibility of the US striking Iran, hours before the warplanes hit.
The wallets received $1.2m in payouts over the wager, with one specific position making an 821% return.
With the US midterm elections this week, the company and the Commodity Futures Trading Commission (CFTC) issued stern warnings against anyone thinking of using insider information to profit from election markets.
In August, a Republican House candidate from North Carolina was issued a three-year ban by Kalshi for betting on herself on the platform.
Speaking to Bloomberg, the Chairman of the CFTC announced that the agency would be closely overseeing prediction markets throughout the US midterm elections.
On October 29, over 700 international Polymarket users reported stolen funds totalling $2.7m
