MIT Brothers Arrested for Cryptocurrency Heist
Two brothers studying at the prestigious Massachusetts Institute of Technology (MIT) were arrested on Wednesday and charged with stealing $25 million worth of cryptocurrency. Authorities revealed that Anton Peraire-Bueno, 24, and James Peraire-Bueno, 28, executed a cutting-edge scheme to exploit the Ethereum blockchain’s integrity and steal millions of dollars of cryptocurrency.
Background of the Brothers
At MIT, the brothers studied computer science and mathematics, developing the skills and education they relied upon to carry out their fraudulent activities, according to prosecutors.
The Elaborate Heist
The Bueno brothers carried out their elaborate heist in April last year, managing to steal $25 million from traders in just 12 seconds. They fraudulently gained access to pending transactions and altered the movement of cryptocurrency, shocking authorities with the speed and precision of their operation.
Novel Scheme Unveiled
Federal prosecutors in Manhattan labeled the Bueno brothers’ scheme as “novel,” marking the first time such a fraud had led to criminal charges in the US. The case brought attention to the vulnerability of blockchain technology and the potential risks associated with it.
The Indictment
An indictment charged the brothers with conspiracy to commit wire fraud, wire fraud, and conspiracy to commit money laundering. The indictment alleged that the brothers had plotted for months to manipulate and tamper with the protocols used to validate transactions on the Ethereum blockchain.
They exploited a vulnerability in the MEV-boost software, commonly used by Ethereum network validators, to carry out their fraudulent activities. Following the heist, the brothers refused to return the funds and instead engaged in money laundering to conceal the stolen cryptocurrency.
With the arrest of Anton in Boston and James in New York, the Bueno brothers now face the legal consequences of their actions.
