{"id":94762,"date":"2026-02-27T10:43:17","date_gmt":"2026-02-27T07:43:17","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=94762"},"modified":"2026-02-27T10:47:04","modified_gmt":"2026-02-27T07:47:04","slug":"insiders-net-over-1m-from-zachxbt-investigation","status":"publish","type":"post","link":"https:\/\/forklog.com\/en\/insiders-net-over-1m-from-zachxbt-investigation\/","title":{"rendered":"Insiders net over $1m from ZachXBT investigation"},"content":{"rendered":"<p>Nearly all top wallets that profited on <a href=\"https:\/\/forklog.com\/en\/news\/what-is-polymarket\">Polymarket<\/a> from the <a href=\"https:\/\/forklog.com\/en\/news\/zachxbt-accuses-axiom-employee-of-insider-trading\">ZachXBT investigation<\/a> show signs of insider trading, according to a researcher going by defioasis.eth.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"zh\" dir=\"ltr\">\u4e00\u5171\u6709\u8d85\u8fc7 3,630 \u4e2a Polymarket \u5730\u5740\u5728 ZachXBT \u5185\u5e55\u8c03\u67e5\u4e8b\u4ef6\u4e2d\u62bc\u6ce8\u201cAxiom\u201d\uff0c\u5176\u4e2d 56.2% \u7684\u5730\u5740\u83b7\u5f97\u6b63\u5411\u76c8\u5229<\/p>\n<p>\u2014 Top10 \u5927\u989d\u83b7\u5229\u5730\u5740\u4e2d\u6709 8 \u4e2a\u5747\u53ef\u88ab\u89c6\u4e3a\u662f\u5185\u5e55\u5730\u5740\uff0c\u5408\u8ba1\u76c8\u5229\u8d85\u8fc7 120 \u4e07\u7f8e\u5143\uff0c\u57fa\u672c\u7279\u70b9\u662f\u4ea4\u6613\u7684\u5e02\u573a\u6b21\u6570\u6781\u5c11\u751a\u81f3\u53ea\u6709\u552f\u4e00\u4e00\u4e2a<\/p>\n<p>\u2014 \u6709 3 \u4e2a\u5730\u5740\u83b7\u5f97\u8d85\u8fc7 10\u2026 <a href=\"https:\/\/t.co\/mOJ4jEKoS4\">pic.twitter.com\/mOJ4jEKoS4<\/a><\/p>\n<p>\u2014 defioasis.eth (@defioasis) <a href=\"https:\/\/twitter.com\/defioasis\/status\/2027250246582227341?ref_src=twsrc%5Etfw\">February 27, 2026<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>According to his data, of the 3,630 addresses that bet on Axiom, 56.2% finished in the black. He provided the following breakdown:<\/p>\n<ul class=\"wp-block-list\">\n<li><strong>profit:<\/strong> 47 users earned between $10,000 and $100,000 (for a combined $1.34m);<\/li>\n<li><strong>large losses: <\/strong>two participants lost over $100,000 (a total of $366,000);<\/li>\n<li><strong>mid-sized losses:<\/strong> 50 addresses were down between $10,000 and $100,000 (adding up to $1.239m).<\/li>\n<\/ul>\n<p>Eight of the ten most profitable addresses exhibited minimal trading activity \u2014 sometimes a single bet. Together they netted more than $1.2m.<\/p>\n<p>Analysts at Lookonchain reached similar conclusions, listing suspicious wallets: <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">We found that many insiders made big profits by betting on which crypto company <a href=\"https:\/\/twitter.com\/zachxbt?ref_src=twsrc%5Etfw\">@zachxbt<\/a> would expose for insider trading.<\/p>\n<p>Here are 12 suspected insider wallets we identified.<\/p>\n<p>Together, they made a total profit of $1.02M!<\/p>\n<p>Wallets:<br \/>0x1d9af60c679cd0b577c3c4ccb4b1a4be4174426d\u2026 <a href=\"https:\/\/t.co\/M5WXqewSUL\">pic.twitter.com\/M5WXqewSUL<\/a><\/p>\n<p>\u2014 Lookonchain (@lookonchain) <a href=\"https:\/\/twitter.com\/lookonchain\/status\/2027044945572573534?ref_src=twsrc%5Etfw\">February 26, 2026<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>According to defioasis.eth, three wallets made more than $100,000. All traded solely in the market tied to ZachXBT. The most profitable, predictorxyz, made $411,600.<\/p>\n<p>Lookonchain noted the user wagered $65,000 when Axiom\u2019s odds were just 13.8%. ZachXBT pointed to another red flag: a $70,000 <a href=\"https:\/\/forklog.com\/en\/news\/what-is-the-usdc-stablecoin\">USDC<\/a> deposit into a newly created account. <\/p>\n<blockquote class=\"twitter-tweet\" data-conversation=\"none\">\n<p lang=\"en\" dir=\"ltr\">I investigated the source of funds for \u2018predictorxyz\u2019 as I agree $70K USDC funded on a newly created prediction markets account is suspicious. <\/p>\n<p>I used timing analysis and traced it back through instant exchanges to the following Solana address:\u2026 <a href=\"https:\/\/t.co\/3mgMhLsgoC\">pic.twitter.com\/3mgMhLsgoC<\/a><\/p>\n<p>\u2014 ZachXBT (@zachxbt) <a href=\"https:\/\/twitter.com\/zachxbt\/status\/2027030690894860720?ref_src=twsrc%5Etfw\">February 26, 2026<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Tracing predictorxyz\u2019s transactions, the on-chain sleuth found the user is active on Axiom under the handle JustADegen. Their real-world identity has yet to be established. <\/p>\n<h2 class=\"wp-block-heading\">Insiders at Kalshi <\/h2>\n<p>Kalshi, a prediction market, said it is currently pursuing around 200 insider-trading investigations. <\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Today, we are releasing information about two insider cases we recently closed.<\/p>\n<p>Thank you <a href=\"https:\/\/twitter.com\/robertjdenault?ref_src=twsrc%5Etfw\">@robertjdenault<\/a> and team for leading the investigation and working with law enforcement. <a href=\"https:\/\/t.co\/TcdmzeZw6P\">https:\/\/t.co\/TcdmzeZw6P<\/a><\/p>\n<p>\u2014 Tarek Mansour (@mansourtarek_) <a href=\"https:\/\/twitter.com\/mansourtarek_\/status\/2026694452991938958?ref_src=twsrc%5Etfw\">February 25, 2026<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>In one case, the platform banned former California gubernatorial candidate <a href=\"https:\/\/kalshi-public-docs.s3.amazonaws.com\/regulatory\/notices\/Notice%20of%20Disciplinary%20Action%20(2.25.2026)%20(2).pdf\">Kyle Langford<\/a>. He previously belonged to the Republican Party before switching to the Democrats, and is now running for the U.S. House in California\u2019s 26th district.<\/p>\n<p>The politician wagered $200 on his own electoral victory and posted a screenshot on X. He received a five-year ban from Kalshi and a $2,000 fine. In May he also posted a video of a $98.76 bet on himself.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">I just bet $100 \ud83d\udcb5 that I, Kyle Langford will be the next Governor of California, join me <br \/>(if you believe \ud83d\ude4f\ud83c\udffb) \ud83d\ude0e <a href=\"https:\/\/twitter.com\/Kalshi?ref_src=twsrc%5Etfw\">@Kalshi<\/a> <\/p>\n<p>\ud83d\udc3b\u271d\ufe0f\ud83c\uddfa\ud83c\uddf8 <a href=\"https:\/\/t.co\/XMk25PuDVr\">https:\/\/t.co\/XMk25PuDVr<\/a> <a href=\"https:\/\/t.co\/A67hRZb2Za\">pic.twitter.com\/A67hRZb2Za<\/a><\/p>\n<p>\u2014 Kyle Langford (@KyleLangfordCA) <a href=\"https:\/\/twitter.com\/KyleLangfordCA\/status\/1926349137760362572?ref_src=twsrc%5Etfw\">May 24, 2025<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<p>Kalshi said the account did not withdraw any profits, and the incident was reported to the <span data-descr=\"U.S. Commodity Futures Trading Commission\" class=\"old_tooltip\">CFTC<\/span>.<\/p>\n<p>Alongside the politician, YouTube editor <a href=\"https:\/\/kalshi-public-docs.s3.amazonaws.com\/regulatory\/notices\/Notice%20of%20Disciplinary%20Action%20(2.25.2026)%20(1).pdf\">Artem Kaptur<\/a> was sanctioned. He worked with James Donaldson (MrBeast) \u2014 the creator of the eponymous media empire and host of the reality show Beast Games.<\/p>\n<p>Between August and September 2025, Kaptur traded roughly $4,000 on markets linked to outcomes on MrBeast\u2019s show. For insider trading he received a two-year ban and a fine of about $20,000.<\/p>\n<p>According to <a href=\"https:\/\/www.coindesk.com\/policy\/2026\/02\/25\/mrbeast-editor-nabbed-by-prediction-market-firm-kalshi-for-alleged-insider-trading\">CoinDesk<\/a>, Kaptur was also suspended from his role at Beast Industries. <\/p>\n<h2 class=\"wp-block-heading\">CFTC response <\/h2>\n<p>The CFTC <a href=\"https:\/\/www.cftc.gov\/PressRoom\/PressReleases\/9185-26\">affirmed<\/a> that Kalshi\u2019s sanctions against insiders were justified. The regulator reserved the right to conduct its own investigations and pursue enforcement. It said both cases may violate U.S. law.<\/p>\n<p>Chairman Michael Selig also said the agency has created a dedicated advisory committee on prediction markets. The new body will root out illegal trading in close collaboration with industry participants.<\/p>\n<blockquote class=\"twitter-tweet\">\n<p lang=\"en\" dir=\"ltr\">Our exchanges are the <a href=\"https:\/\/twitter.com\/CFTC?ref_src=twsrc%5Etfw\">@CFTC<\/a>\u2019s first line of defense in policing insider trading in prediction markets. I&#8217;m pleased to see that our exchanges are adhering to their oversight responsibilities as self-regulated organizations and our Enforcement Advisory today reflects that. Let me\u2026 <a href=\"https:\/\/t.co\/ajXnAR8OCw\">https:\/\/t.co\/ajXnAR8OCw<\/a><\/p>\n<p>\u2014 Mike Selig (@ChairmanSelig) <a href=\"https:\/\/twitter.com\/ChairmanSelig\/status\/2026753412545609809?ref_src=twsrc%5Etfw\">February 25, 2026<\/a><\/p><\/blockquote>\n<p> <script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script><\/p>\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p><em>\u201cI want to be clear: if you attempt to manipulate, commit fraud, or trade on inside information, we will find you and hold you accountable,\u201d he warned. <\/em><\/p>\n<\/blockquote>\n<p>In February, Ethereum co-founder Vitalik Buterin <a href=\"https:\/\/forklog.com\/en\/news\/vitalik-buterin-warns-of-prediction-markets-turning-into-casinos\">warned<\/a> that prediction markets risk turning into a casino. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Nearly all top wallets that profited on Polymarket from the ZachXBT investigation show signs of insider trading.<\/p>\n","protected":false},"author":1,"featured_media":94763,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"Top Polymarket winners on ZachXBT bets show insider signs; flagged wallets netted $1m+.","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[2364,1148,1246],"class_list":["post-94762","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-kalshi","tag-polymarket","tag-scammers"],"aioseo_notices":[],"amp_enabled":true,"views":"155","promo_type":"1","layout_type":"1","short_excerpt":"Top Polymarket winners on ZachXBT bets show insider signs; flagged wallets netted $1m+.","is_update":"","_links":{"self":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/94762","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/comments?post=94762"}],"version-history":[{"count":1,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/94762\/revisions"}],"predecessor-version":[{"id":94764,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/posts\/94762\/revisions\/94764"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media\/94763"}],"wp:attachment":[{"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/media?parent=94762"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/categories?post=94762"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/forklog.com\/en\/wp-json\/wp\/v2\/tags?post=94762"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}