Hacking for Fun, Profit—and Now, Wagers

The report warns that prediction markets and event contracts create a new monetization path for cybercrime: attackers can profit by betting on the occurrence, timing, or outcomes of hacks (or by causing those events themselves). It surveys hack-to-trade precedents, CFTC and DOJ enforcement, regulatory rules (notably CFTC Rule 40.11), and the practical enforcement challenges posed by jurisdiction, attribution, and crypto liquidity, and recommends that firms, exchanges, and incident responders monitor market activity as part of cyber threat detection.