TLDR
- One Polymarket user earned about $400,000 betting on Axiom before the reveal.
- The market drew nearly $40 million in trading volume within days.
- On-chain analysts flagged 12 wallets with over $1 million in combined profit.
- Axiom said it removed tool access and is investigating the allegations.
Polymarket recorded nearly $40 million in trades as users speculated on a ZachXBT investigation, and one bettor gained about $400,000 after backing Axiom before the public reveal.
The prediction market asked users to choose which crypto company ZachXBT would accuse of insider trading. Trading surged days before the findings were published. When ZachXBT named Axiom, several large bettors secured sizable profits.
$400K Gain on Axiom Bet
One Polymarket user placed separate bets on the contract tied to the investigation. The user backed Axiom before the announcement and earned about $400,000 in profit.
Blockchain data shows the bettor accumulated shares while Axiom odds were lower. After the public post, the market resolved in favor of Axiom, and the position paid out.
The contract, titled “Which crypto company will ZachXBT expose for insider trading?”, drew intense interest. For much of the week, Meteora led the odds. However, sentiment shifted shortly before the announcement.
The change in pricing allowed early Axiom backers to secure strong returns. Some positions delivered gains of up to seven times the initial stake.
Suspicious Wallet Activity Emerges
On-chain analysts identified unusual trading patterns before the reveal. Lookonchain reported that 12 newly created wallets placed heavy bets on Axiom.
These wallets generated more than $1 million in combined profit. The timing of their trades drew attention because they occurred before the findings became public.
Polysights, which tracks activity on Polymarket, flagged five wallets that wagered about $50,000. These wallets later walked away with roughly $266,000.
Data reviewed by CoinDesk showed that the largest holder, predictorxyz, bought 477,415 shares at an average price of $0.14. The account now holds about $411,000 in profit.
Another wallet purchased 109,450 shares at $0.33. The concentration of holdings suggested that a small group dominated the Axiom side of the market.
ZachXBT Names Axiom Employees
ZachXBT published his findings on social media to his 977,500 followers. He alleged that Axiom employee Broox Bauer and others engaged in insider trading since early 2025.
According to the post, Bauer used internal tools to look up sensitive user details. ZachXBT claimed this access helped track private wallet activity for trading purposes.
Audio clips shared by ZachXBT included a person identified as Bauer discussing wallet tracking. The posts spread quickly across crypto social media channels.
Before publication, ZachXBT said he contacted Axiom for comment and conducted interviews. He later stated that a leak was “probably inevitable” given the outreach.
Axiom Responds as Questions Remain
Axiom said it was “shocked and disappointed” by the allegations. The company stated it removed access to the tools in question and is continuing its internal investigation.
“We have removed access to these tools and will continue to investigate and hold the offending parties responsible,” Axiom said in a post.
Polymarket operates offshore and does not require identity checks. This structure may make it harder to link wallets to specific individuals without exchange cooperation.
Several Axiom employees may have known about the pending report before it was published. That knowledge could have allowed direct bets or tips to others.
The episode shows how prediction markets can reward early information. In this case, a Polymarket user gained $400,000 by backing Axiom before ZachXBT made his findings public.
