A US solider who allegedly played a role in the operation that resulted in Venezuelan president Nicolás Maduro being captured earlier this year has been arrested, and could face up to 60 years behind bars over claims he made roughly $400,000 tied to the leader’s removal.
The suspect, Gannon Ken Van Dyke, has been charged by the Department of Justice (DOJ) after prosecutors say he used non-public, classified details to place trades on the prediction market Polymarket.
Authorities allege Van Dyke earned more than $409,000 on the crypto-based platform by wagering on both the timing and the result of the mission that reportedly led to Maduro and his wife, Cilia Flores, being taken into US custody on January 3.
Acting Attorney General Todd Blanche said: “Our men and women in uniform are trusted with classified information in order to accomplish their mission as safely and effectively as possible, and are prohibited from using this highly sensitive information for personal financial gain.
“Widespread access to prediction markets is a relatively new phenomenon, but federal laws protecting national security information fully apply.”
FBI Assistant Director in Charge James C. Barnacle Jr also commented on the case, alleging Van Dyke harmed those serving alongside him by turning sensitive information into a personal payday.
He added: “Gannon Ken Van Dyke allegedly betrayed his fellow soldiers by utilizing classified information for his own financial gain.
“Van Dyke profited more than $400,000 by trading various outcomes related to Venezuela after learning of the operation because of his role as a U.S. Army soldier. The FBI will continue to investigate threats to our nation’s security especially from those entrusted to safeguard sensitive classified information and military operations.”
Van Dyke is facing charges that include commodities fraud and wire fraud, along with allegations of unlawfully using confidential government information for personal benefit.
In addition to the DOJ case, the Commodity Futures Trading Commission (CFTC) has filed a complaint accusing him of insider trading.
Polymarket addressed the arrest in a statement shared on social media, saying it acted after noticing suspicious activity connected to government secrets.
It said: “When we identified a user trading on classified government information, we referred the matter to the DOJ & cooperated with their investigation.
“Insider trading has no place on Polymarket. Today’s arrest is proof the system works.”
Asked by reporters on Thursday about Van Dyke’s arrest, Donald Trump said he was not aware of the situation but would be reviewing it.
“The whole world, unfortunately, has become somewhat of a casino, and you look at what’s going on all over the world, in Europe and every place, they’re doing these betting things,” the president added.
“I was never much in favour of it.”