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US judge denies brothers motion to dismiss $25 million crypto fraud charges
Odaily News U.S. District Judge Jessica Clarke rejected a motion by the Peraire-Bueno brothers, MIT graduates, to dismiss charges of $25 million in cryptocurrency fraud. Prosecutors accused the brothers of exploiting a vulnerability in the Ethereum network in May 2024 to conduct an arbitrage attack by manipulating the MEV robot. Court documents show that the two developed a four-step plan of bait-block-search-propagate, using 16 Ethereum verification nodes and 529.5 ETH as bait to intercept the trading profits of the MEV robot within 12 seconds. The judge determined that their actions met the requirements of wire fraud, although the defendant argued that the system code allows such operations. The case is expected to go to trial in October 2025, and the brothers face felony charges such as wire fraud and conspiracy to launder money. Prosecutors have dropped one of the charges of conspiracy to receive stolen property, but the remaining charges will still enter the trial process. (Cointelegraph)
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