A Polymarket trader earned about $400,000 after a prediction market contract settled following a new ZachXBT update tied to an Axiom insider trading investigation.
The outcome followed a Thursday post on X, where ZachXBT told his 977,500 followers that an Axiom employee, Broox Bauer, and others allegedly took part in insider trading “since early 2025.”
Polymarket users had placed close to $40 million on the contract that asked which crypto company ZachXBT would expose for insider trading.
As the reveal approached, traders kept shifting positions, and some backed Axiom while others backed Meteora, a decentralized liquidity platform mentioned in the reporting.
The report said it was updated on Feb. 26 at 7:33 pm UTC to include a statement from Meteora.
Polymarket ZachXBT Contract Settles After Axiom Named
In his Thursday ZachXBT post, he said Broox Bauer allegedly used internal tools. He wrote that those tools could “lookup sensitive user details” and enable insider trading by “tracking private wallet activity.” The claim framed the issue as misuse of internal access inside Axiom.
After that post, Axiom published a response and described itself as “shocked and disappointed.”
The company also said it removed access to the tools referenced in the ZachXBT claim.
“We have removed access to these tools and will continue to investigate and hold the offending parties responsible,”
Axiom said.
“This does not represent us as a team, we have always tried to put the user first.”
The report also said ZachXBT shared audio clips linked to the investigation. It said an individual he identified as Bauer claimed he could track Axiom users.
Those details drove attention to Axiom insider trading claims while traders watched the Polymarket contract move.
Meteora Draws Bets Before ZachXBT Update Lands
Before the ZachXBT announcement, many Polymarket users speculated that Meteora would be the target.
The report said a Meteora spokesperson called the incident “a reminder of why transparency and strong operational controls matter.” The spokesperson also said the platform had “evolved a lot” since 2025.
Even so, the settled Polymarket outcome followed the ZachXBT post that pointed to Axiom and named Broox Bauer.
The report also said others traded more than $9.7 million on the contract titled, “Which crypto company will ZachXBT expose for insider trading?” and won based on the final result.
CFTC Prediction Markets Fight Grows as Polymarket and Kalshi Face Scrutiny
The report tied the event to rising pressure on prediction markets in the United States. It said US policymakers have increased scrutiny of prediction markets platforms, including Polymarket and Kalshi.
It also cited CFTC Chair Michael Selig, who said the federal regulator has “exclusive jurisdiction” over prediction markets.
The report added that he pushed back against state-level authorities that targeted platforms like Polymarket and Kalshi over sports betting.
The CFTC chair also warned that state-level entities challenging the federal agency would be met in court, according to the report.
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Tatevik Avetisyan is an editor at Kriptoworld who covers emerging crypto trends, blockchain innovation, and altcoin developments. She is passionate about breaking down complex stories for a global audience and making digital finance more accessible.
📅 Published: February 27, 2026 • 🕓 Last updated: February 27, 2026
