PANews reported on May 28th, citing CoinDesk, that U.S. federal officials stated on Wednesday that Google security engineer Michele Spagnuolo was arrested for allegedly using internal Google search data to place bets on Polymarket. Since Polymarket launched its "Most Searched People on Google in 2025" prediction market last fall, Spagnuolo allegedly used internal Google tools to obtain non-public information about which individuals had the highest search volume in advance. He then controlled an account named "AlphaRaccoon" to place bets involving approximately $3.8 million. For example, before rapper D4vd gained headlines for alleged murder, Spagnuolo used internal tools to detect a surge in his search volume and bet on him to top the list, ultimately profiting over $1.2 million.

To conceal the flow of funds, Spagnuolo transferred money through exchange services and privacy tools, with some funds ultimately deposited into accounts opened with Italian payment processors using his own identification. Spagnuolo is charged with merchandise fraud, wire fraud, and money laundering. This is the second case of insider trading in prediction markets, following a U.S. Army soldier betting on his participation in the Maduro raid. Google stated that it has suspended the employee and is cooperating with the investigation.