DOJ charges Google engineer Michele Spagnuolo over alleged $1.2M Polymarket gains tied to confidential Google data.
The U.S. Department of Justice has charged Google software engineer Michele Spagnuolo in an alleged Polymarket insider trading case.
Prosecutors said he used confidential Google information to place market bets and gain more than $1.2 million.
DOJ Files Charges Against Google Engineer
The Justice Department charged Spagnuolo with commodities fraud, wire fraud, and money laundering. He is also known as “AlphaRaccoon” on Polymarket.
The case was announced by the U.S. Attorney’s Office for the Southern District of New York. The FBI’s New York office also joined the announcement.
Prosecutors said Spagnuolo worked as a software engineer at Google. They said his role gave him access to internal systems and nonpublic business data.
U.S. Attorney Jay Clayton said the case involved confidential business information.
He said, “Corporate insiders cannot use confidential business information to turn a profit in our markets.”
Prosecutors Detail Alleged Polymarket Bets
The complaint said Spagnuolo created a Polymarket account in May 2024. The account used the alias “AlphaRaccoon,” according to prosecutors.
From October 15, 2025, to December 4, 2025, he allegedly risked about $2.75 million. Prosecutors said the trades were linked to Google-related prediction markets.
The DOJ said Spagnuolo placed bets after accessing Google internal information. It also said the markets were later resolved after public announcements.
Prosecutors allege the AlphaRaccoon account earned about $1.2 million from the trades. The gains came from bets tied to nonpublic Google data, they said.
Read Also:
Confidential Data Access Under Review
The complaint said Spagnuolo had access to an internal Google software tool. The tool displayed a “Google Confidential” banner in red text.
Prosecutors said Spagnuolo had also certified Google confidentiality and ethics policies. They said those policies covered the handling of internal business information.
FBI Assistant Director James C. Barnacle Jr. said Spagnuolo allegedly abused his access. He said the engineer used “nonpublic information” for personal financial gain.
Spagnuolo, who resides in Switzerland, appeared before U.S. Magistrate Judge Sarah Netburn in Manhattan federal court. The charges remain allegations unless proven in court.
The case adds new attention to prediction market trading and employee access to corporate data.
Prosecutors said the alleged conduct involved Google information and Polymarket markets.
Source: https://www.livebitcoinnews.com/doj-charges-google-engineer-over-1-2m-in-alleged-polymarket-insider-gains-case/
