7 ms·

If it's unregulated, how are people getting charged with insider trading?

• rcxdude 4mo ago
  It's not being regulated as a casino (which would limit what the casino could do). It is being regulated, to a limited extent, like a commodity market (which does limit what the participants can do).
• jliptzin 4mo ago
  If 0.01% of people engaging in insider trading are caught and prosecuted, it is effectively unregulated.
• AtNightWeCode 4mo ago
  I believe Polymarket wants it to fall under the regulations of cftc as it is implemented like an option/event contract. And cftc says that they don't care about which technology is used. But as far as I now this is the first case it will be tested for real and the views of cftc and a judge may not be the same. I fail to see how it can be classified as insider trading. But, it is till fraud so I'm not sure how much it matters in the end.
  • hellojesus 4mo ago
    How is it fraud? Wouldnt it just be a tos violation? In my view, anyone participating in these markets does so knowing that the outcomes are within the control of other participants. I can't think of any other reason individual account activity is public.
    • AtNightWeCode 4mo ago
      US have wire fraud laws which I believe includes this. But it will be an interesting case to follow. Personally I don't see anything that should be a crime here at all.