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Apple Bars Staff From Using Company Secrets on Prediction Markets

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Apple Bars Staff From Using Company Secrets on Prediction Markets

Apple has told its employees they may not use confidential company information to bet on prediction markets. The rule is new in the insider trading policy that the iPhone maker filed yesterday (Tuesday) with its annual report to the US Securities and Exchange Commission (SEC).

The clause brings event contracts into a document that had dealt only with trading in securities.

Trading on prediction markets has grown quickly. Combined taker volume at Kalshi, Polymarket and Polymarket's US venue reached $172.4 billion in the third quarter, up from $98.5 billion in the second, FM Intelligence calculations show.

Company information has already been traded on such platforms. A Polymarket user allegedly netted more than $1 million betting on Google's Year in Search rankings, a case that fed accusations of trading on nonpublic information in January.

Federal regulators treat that conduct as illegal. David Miller, enforcement director at the Commodity Futures Trading Commission (CFTC), called insider trading on Kalshi and Polymarket illegal in March and listed it first among the agency's top five enforcement priorities.

The policy covers directors, officers, employees, contractors and consultants, plus family members who live with them. The previous version of the policy, dated September 2024, did not mention prediction markets or event contracts.

Covered people may not bet on or trade event contracts using Apple Confidential Information, a category set out in the company's Business Conduct Policy that includes, but is not limited to, material nonpublic information.

The ban reaches information about other companies learned at Apple, including suppliers, manufacturers, vendors and customers such as cellular network carriers.


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