A Google software engineer has been charged with insider trading after allegedly making $1.2 million on Polymarket, a cryptocurrency prediction platform, using confidential company information.
Michele Spagnuolo, a 12-year Google veteran who used the username AlphaRaccoon on Polymarket, allegedly bet over $2.7 million on outcomes related to Google's 2025 Year in Search campaign — the annual event where Google reveals the world's most-searched terms. According to the U.S. Justice Department, he used confidential internal Google Search data about celebrity searches to place those bets.
U.S. Attorney Jay Clayton said: "Insider trading compromises the integrity of our markets, and the American people want this greed-driven conduct investigated and prosecuted."
Google distanced itself from the scandal. A company spokesperson told TechCrunch that Spagnuolo accessed marketing materials using tools available to all employees, but using confidential information for personal trading violates company policy. The engineer has been placed on leave.
Polymarket has become a venue for insider trading before. A U.S. Army soldier allegedly made $400,000 betting on military operations involving Venezuelan president Nicolás Maduro on the platform.
Polymarket worked with law enforcement and the CFTC on the investigation. A Polymarket spokesperson said that "blockchain trading is transparent, traceable, and bad actors leave footprints." On a public ledger, concealment is difficult.
If convicted, Spagnuolo could face serious federal charges.
