“All Department of War personnel are prohibited from engaging in financial transactions using nonpublic information, either directly or indirectly through a third party… Violations may result in administrative, disciplinary, and, where appropriate, criminal action under the Uniform Code of Military Justice and/or applicable federal law,” Hegseth wrote.

The memo said betting on military matters related to a person’s job can warp one’s judgment. “Beyond operational security, financial stakes can warp judgment,” he wrote. “A logistician with money riding on a strike date has an interest in that date. An analyst with a position on an outcome has an interest in that outcome.”

Kalshi and Polymarket both prohibit insider trading.…