Polymarket Investigates Suspicious Israel Election Trades After New Accounts Profit Over $100,000

Prediction market operator Polymarket is investigating a series of well-timed, profitable trades placed on Israel's election this week, Bloomberg News reported Thursday. Shortly before polls closed on Tuesday, hundreds of newly created accounts bet on Prime Minister Benjamin Netanyahu retaining his position and his Likud party winning the most seats. The trades quickly turned profitable after some exit polls showed Netanyahu's party winning more seats than early reports suggested, with some accounts already cashing out over $100,000 combined. Many wallets hold significant unrealized gains. Polymarket's internal investigative team is reviewing dozens of newly created wallets that traded on the election. Data analysis firms Polysights and Bubblemaps also flagged the activity as suspicious and said they were investigating. A Bubblemaps representative told Reuters that 101 Polymarket accounts were funded for the first time on election day, before polls closed, and that "a few have already sold out for a profit after the exit polls." The findings are not conclusive, and distinguishing potential insider trading from original research or lucky bets can be difficult, Bloomberg reported. Polymarket and Polysights did not immediately respond to requests for comment.