US Soldier Accused of Illegal Polymarket Bet Pushes Back Against CFTC Involvement

Gannon Ken Van Dyke, a US soldier accused of earning more than $400,000 by trading on nonpublic information through prediction platform Polymarket, is opposing efforts by the Commodity Futures Trading Commission to influence his ongoing criminal case. His legal team argues the regulator is trying to shape the outcome without pursuing its own case directly.

Defense Calls CFTC’s Move a “Litigation Gambit”

In a court filing, Van Dyke’s attorneys strongly criticized the CFTC’s attempt to submit an amicus brief, accusing the agency of acting like a “regulatory wolf” rather than a neutral party. They argue the CFTC is avoiding direct confrontation of its own case while still trying to weigh in on key legal questions, including whether event contracts qualify as swaps.

Case Tied to Broader Prediction Market Concerns

Van Dyke was charged in April for allegedly using insider knowledge related to Venezuela’s political situation to place profitable bets. His civil case with the CFTC has already been paused pending the criminal trial, which could begin in late 2026 or early 2027. The case has become a key example cited by critics raising concerns about manipulation risks on prediction market platforms.