An Israeli civilian and an IDF reservist have been indicted for allegedly using classified military information to place online bets on upcoming military operations, the Tel Aviv District Court allowed for publication on Thursday.
The indictment, filed following a joint investigation by the Shin Bet security agency and Israel Police, accuses the two of placing bets on the prediction market platform Polymarket regarding the occurrence of Israeli military operations. According to prosecutors, the reservist had access to classified information as part of his military duties and shared it with the civilian, enabling the pair to make informed wagers.
Several suspects, including additional reservists, were arrested in the case. Authorities said the suspects allegedly exploited sensitive information they were exposed to during their military service in order to profit from bets placed online.
At the conclusion of the investigation, the State Attorney's Office decided to file criminal charges against the two, including serious security offenses as well as bribery and obstruction of justice.
The probe was conducted jointly by the Shin Bet and the Lahav 433 national crime unit, which operates in cooperation with the Defense Ministry's security department and Israel Police. The investigation also involved the Military Police Criminal Investigation Division and the IDF Information Security Department, and was accompanied by the State Attorney's Office Cyber Department.
According to the indictment, the two placed bets on Polymarket specifically concerning military operations. The reservist was exposed to the internal information through his military role, which formed the basis for their wagers.
It was reported Wednesday that investigators are also examining suspected involvement by additional officials within the defense establishment, raising serious questions about information security and the potential misuse of classified material.
What is Polymarket?
Polymarket is a prediction market platform that allows users to bet on more than 10,000 questions across dozens of categories. Unlike traditional gambling websites, it operates more like a stock exchange: the odds fluctuate continuously, and users can buy and sell positions at any time, even before the underlying question has been resolved.
The logic underpinning Polymarket is the gap between opinion and action. For example, in an election poll, respondents may be influenced by beliefs, ideology, identity and even hope when asked whom they plan to vote for. Those considerations often shift when real money is involved. When funds are on the line, the central question becomes which outcome is most likely to occur.
