Google engineer charged with insider trading after making $1.2M on Polymarket

A Google software engineer, Michele Spagnuolo, has been charged by U.S. authorities with insider trading after allegedly making about $1.2 million in profits on the prediction market Polymarket. According to prosecutors, he used confidential internal Google data—especially search trend information related to the company’s “Year in Search” rankings—to place large bets under the username “AlphaRaccoon.” Between late 2025, he reportedly wagered around $2.7 million on outcomes he could predict using non-public information, such as which celebrities would become the most searched. Authorities say he gained an unfair advantage by accessing internal tools available at Google, then using that data to bet before the results were publicly released. The Justice Department has charged him with fraud-related offenses, and he was placed on leave by Google, which is cooperating with the investigation. Polymarket also confirmed it worked with regulators in the case, highlighting growing concerns about insider trading risks in prediction markets.