Investigators say the reservists obtained classified information about the service and are suspected of using it to bet on future military operations.
Israeli authorities have indicted the Israel Defense Forces (IDF) and a civilian for allegedly using classified military information to place bets on the popular speculation marketplace Polymarket.
According to the Times of Israel, Israeli authorities have charged an IDF reservist and a civilian for allegedly using classified military information to make bets on the Polymarket prediction market.
Using Classified Information
The charges against them follow a joint investigation by the Ministry of Defense, the Shin Bet, and the Israeli police, which led to the arrest of several suspects, including detectives. Investigators suspect that reservists are using sensitive information disclosed to them about their military careers to make bets on future military developments.
Prosecutors charged one police officer and a citizen with what authorities described as serious security offences, as well as bribery and obstruction of justice. A court-issued gag order is currently in effect, preventing the release of additional details about the investigation, including operational details and the full scope of those being questioned.
In a joint statement, the defense warned that betting based on classified information poses a real and serious threat to IDF operations and national security. The organizations added that such behavior is treated very seriously and that the authorities will take decisive action against anyone involved in the illegal use of confidential information.
The case comes a month after Shin Bet investigated allegations that someone in the defense department used confidential information to place bets on Polymarket. That report drew attention to a Polymarket account operating under the name “ricosuave666,” which placed a highly accurate bet in June 2025 related to Israeli military operations in Iran.
According to the report, the user bet tens of thousands of dollars and made an estimated profit of $150,000.
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Market Manipulation Concerns
The growing popularity of Polymarket has attracted both casual traders and high-level participants. Among them is Vitalik Buterin, who recently disclosed about $70,000 last year in the arena by betting on results that he believed to be highly illogical. Polymarket also hosts some light-hearted but widely shared bets, such as a comparison showing that the odds of securing an extraterrestrial life in 2025 were higher than Bitcoin reaching $200,000, especially during periods of extreme market stress.
While the platform has seen rapid growth and occasional large payouts, it has also faced scrutiny over concerns related to fraud and the potential misuse of insider information.
According to a recent study by researchers at Columbia University, Polymarket shopping patterns that show watch trading began to rise in July 2024 and reached a peak of almost 60% of the volume reported in December of the same year. The investigators found that activity continued through late April 2025, and later increased to about 20% of volume in early October 2025.
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