Hegseth warned that prediction market wagers could expose military operations to adversaries.
US Defense Secretary Pete Hegseth has barred all Pentagon staff from using undisclosed information to place wagers on upcoming military action, including on prediction market platforms like Kalshi and Polymarket.&
In a memo sent to senior Pentagon and defense agencies on Tuesday, Hegseth said all Department of War personnel are prohibited from engaging in financial transactions using nonpublic information. This involves both classified and unclassified information.&
“Make no mistake why this matters. Our enemies watch movements in these markets,” Hegseth wrote. “The lives of our Service members often depend on the enemy not knowing what is coming.”
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