Blockchain
MIT-educated brothers accused of stealing $25 million in cryptocurrency in 12 seconds in Ethereum blockchain scheme
Washington — A pair of brothers from New York and Boston were taken into federal custody Tuesday, accused by prosecutors of masterminding a new criminal scheme to steal about $25 million in cryptocurrency from a commonly used blockchain, according to a court filing accusation just revealed.
Anton and James Peraire-Bueno were charged with wire fraud and conspiracy to commit money laundering. Investigators accused them of spending months planning their theft within the Ethereum blockchain, luring their victims and creating shell companies to hide their illicit profits.
According to charging documents, the pair studied mathematics and computer science “at one of the most prestigious universities in the country,” which prosecutors say gave them a unique set of skills that allowed them to accomplish the feat before of its kind. in a few seconds. James Peraire-Bueno is listed as a Graduate 2021 from the Massachusetts Institute of Technology and the MIT Registrar’s Office confirmed that Anton Peraire-Bueno earned a bachelor’s degree in computer science and engineering in February 2024 and James Peraire-Bueno earned a bachelor’s degree in mathematics, computer science, and aerospace engineering in June 2019 , as well as a master’s degree in aeronautics and astronautics in June 2021.
The brothers allegedly began laying the groundwork in December 2022, engaging in what investigators called a “grooming” operation that targeted three specific victim traders on the Ethereum digital platform. They are specifically accused of exploiting blockchain “validators,” vital components of transaction integrity and security.
“In doing so, they fraudulently gained access to pending private transactions and used that access to alter certain transactions and obtain their victims’ cryptocurrency,” prosecutors said in court documents.
Investigators said the defendants’ plot took months to plan, but just 12 seconds to execute, allegedly raking in about $25 million from their unwitting victims.
From April and June last year, Peraire-Buenos are accused of laundering money through shell companies. Prosecutors said the two even rejected repeated requests for the return of the cryptocurrency from a victim, his lawyer and an Ethereum representative.
They were arrested Tuesday and are expected to make their first appearances in federal courts in New York and Boston on Wednesday.
“As cryptocurrency markets continue to evolve, the Department of Justice will continue to root out fraud, support victims, and restore trust in these markets,” Deputy Attorney General Lisa Monaco said in a statement.
The brothers’ lawyers could not immediately be identified.