The post California Governor Newsom Signs Prediction Market Insider Trading Order appeared on BitcoinEthereumNews.com.

California Governor Gavin Newsom signed an executive order on Friday, expanding rules to curb public servants and those close to them from benefiting from insider trading on prediction markets tied to political or economic events they can influence or are privy to. The order prohibits “gubernatorial appointees,” public officials appointed to office by the governor of the state, from using “confidential or non-public information” gleaned from performing their duties to profit from related prediction markets. Newsom’s executive order also extends the prohibition to include spouses, family members or former business partners of the appointed officials from using non-public information to profit. “Public service should not be a get-rich-quick scheme,” Newsom said. He added: “At a time when Trump’s Washington is riddled with ethical failures and insider profiteering, California is drawing a bright line: If you serve the public as a political appointee, you serve the public — period. We’re not going to tolerate this kind of corruption in California.” Governor Newsom’s executive order on government insiders using non-public information to profit from prediction markets. Source: California Governor An announcement from Newsom’s office listed several instances of political insiders using non-public information to profit from prediction markets, including six suspected political insiders who profited from US strikes on Iran. Newsom’s office also cited another case of suspected insider trading, which occurred in January, after one Polymarket trader netted $410,000 betting that the US would arrest former Venezuelan leader Nicolás Maduro hours before his capture. Prediction markets have come under scrutiny from US lawmakers, who argue that political insiders are using the platforms to unfairly benefit from their positions and are potentially threatening national security by wagering on sensitive events like war and elections. Related: Detroit set to enter Michigan‘s battle against Coinbase prediction markets US lawmakers accelerate prediction market crackdown after…

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Filed under: News - @ March 28, 2026 5:24 am