Media Coverage
Source: Agenda
Media Coverage
Press Contacts: Erik Cummins, Matt Hyams, Taina Rosa, Olivia Meyer
06.23.26
As prediction markets become more popular, corporate boards must make sure their companies have updated policies and procedures to deal with potential risks including insider trading liability. This is especially true after a Google employee became the first person to be charged with insider trading in May for bets made on prediction markets allegedly with material nonpublic information.
Boards may not yet fully appreciate the extent of the risk, Pillsbury partner David Oliwenstein told Agenda. “For boards that have not engaged with the risk presented by prediction markets, it makes sense for them to devote some time to understanding the risk - as applied to their company - and to work with management to develop an action plan,” he said.
“But for companies that fail to have any policy or oversight controls in place, the bigger concern may be potential secondary liability for misconduct committed by their employees,” he added.
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