Goldman Sachs has prohibited employees from trading contracts related to the bank's events, elections, and financial markets due to rising insider trading concerns in prediction markets. Other financial giants, including Morgan Stanley, JPMorgan Chase, and Bank of America, are also revising their policies to address these issues. Bank of America has explicitly outlined prohibited conduct for employees in prediction market trading. This move follows charges by the CFTC and the Department of Justice against a Google employee who allegedly used non-public information to profit $1.2 million on Polymarket. Legal experts highlight the challenges in regulating insider trading in prediction markets due to the diverse range of contracts. Platforms like Kalshi and Polymarket are enhancing monitoring efforts through partnerships with Chainalysis and Palantir. Lawyers recommend companies update insider trading policies to include event contracts and implement monitoring protocols.