TL;DR:
- A group of 12 addresses turned $400,000 into over $1.4 million by betting on prediction markets.
- Investigator ZachXBT flagged Axiom for a lack of internal controls and potential misconduct.
- Lookonchain analysts suspect the bets were based on confidential information prior to public disclosure.
ZachXBT’s investigation into Axiom has sparked massive wallet gains on Polymarket by ZachXBT. The analytics firm Lookonchain revealed that 12 suspicious addresses managed to transform a collective investment of $400,000 into a $1.42 million windfall.
This market action occurred just moments before it was revealed that Axiom was the company under investigation for alleged insider trading. One of the most prominent wallets, identified as “predictorxyz,” secured a return exceeding $411,000, demonstrating astonishing temporal precision.
Furthermore, the impact was not limited to large capital holders, as smaller wallets recorded returns of up to 926%. This has triggered an intense debate on social media regarding the integrity of prediction markets in the face of private investigations.
Axiom Under the Microscope: Security Failures and Leaks
ZachXBT’s investigation alleges that Axiom operated with nearly non-existent access controls, allowing unusual visibility into user data. This vulnerability likely facilitated employees or individuals close to the company’s environment gaining knowledge of the audit details prior to their public release.
The investigator suggested that while it is unlikely the founders themselves traded on Polymarket, it is plausible that friends linked to the interviewees took advantage of the situation. In fact, the synchronization of the bets suggests that information flowed into closed circles before reaching the general public.
In summary, Lookonchain has labeled these addresses as “suspected insider wallets” due to the pattern of clustered bets. For now, the community remains vigilant for new evidence that directly links these wallets to the internal staff of the tech firm Axiom.
