A decorated U.S. Army Special Forces soldier who helped capture former Venezuelan dictator Nicolás Maduro has been charged with illegally using classified information to cash in on a prediction market, federal prosecutors announced Thursday.
Master Sgt. Gannon Ken Van Dyke, 38, stationed at Fort Bragg, North Carolina, allegedly made more than $400,000 betting on Polymarket about the timing and outcome of the high-stakes operation to remove Maduro from power.
According to a federal indictment filed in Manhattan, Van Dyke was directly involved in the planning and execution of the January 3 raid that seized Maduro and his wife, Cilia Flores, from a Caracas compound. He placed multiple bets on events tied to Venezuela right up until January 2 — the day before the mission launched.
The sergeant reportedly bet on whether Maduro would be ousted by certain dates, U.S. forces entering Venezuela, and other related outcomes. Hours after the successful capture, a photo uploaded to his Google account allegedly showed him on the deck of the U.S.S. Iwo Jima — the Navy ship that transported Maduro — wearing fatigues and carrying a rifle at sunrise.
Prosecutors say Van Dyke tried to cover his tracks by moving the winnings through foreign crypto vaults, personal crypto accounts, and a new brokerage account. When questions arose about suspicious trading, he attempted to delete his Polymarket account with a false story about losing email access.
He now faces five serious federal charges: unlawful use of confidential government information for personal gain, theft of nonpublic information, commodities fraud, wire fraud, and money laundering-related offenses. The Commodity Futures Trading Commission has also filed a civil suit seeking to ban him from future trading and force full restitution.
Acting Attorney General Todd Blanche stressed that service members are entrusted with classified details to protect national security — not to line their own pockets. President Trump weighed in, calling the growing use of prediction markets “a casino” and saying he’s “not happy with any of that stuff.”
Polymarket stated it has tightened its rules against insider trading and cooperated fully with the Justice Department after flagging the suspicious activity.
The case shines a harsh light on the booming prediction market industry and the national security risks when government insiders exploit sensitive information for profit. It comes amid broader concerns and proposed legislation to crack down on such betting by officials and military personnel.
Sergeant Van Dyke, a Special Forces veteran since 2008 with access to highly classified material, is expected to appear in federal court in North Carolina before being transferred to Manhattan.
This stunning allegation raises serious questions about trust, integrity, and how easily classified operations can be turned into personal windfalls in today’s digital betting world. The full case will now play out in court as authorities work to ensure those who betray that trust face the consequences.