The U.S. government has initiated at least three undisclosed investigations into Polymarket, involving the Biden pardon, Iran, and Google-related transactions.

TechFlow reported on September 12 that, according to documents obtained by WIRED from the US Commodity Futures Trading Commission (CFTC), the US government has launched at least three previously undisclosed investigations into trades on Polymarket, focusing on potential insider trading.

Among these, the CFTC approved an investigation in May related to Polymarket contracts concerning pardons by former US President Biden. Previously, a trader had made over $300,000 in profit by betting on Biden to pardon several of Trump's critics. In late May, the CFTC also approved an investigation into "Iran event contracts," following profits of approximately $2.4 million gained by a batch of suspicious accounts through Iran-related trades, with a win rate of 98%.

In July, the CFTC further expanded its investigation into potential insider trading on Google-related Polymarket contracts, focusing on individuals who may have used Google's 2025 annual search ranking information for trading; the Office of the US Attorney for the Southern District of New York is also conducting a parallel investigation.

Two individuals have so far been arrested in connection with the Polymarket insider trading investigation, including a US special forces soldier who allegedly used confidential information to bet on the arrest of Venezuelan former leader Maduro, earning over $400,000 in profit, as well as a former Google engineer suspected of making more than $1.2 million in profit through insider trading.