MIT Brothers to Face Trial in $25M Ethereum Exploit Case
U.S. District Judge Jessica Clarke has denied a motion to dismiss the $25 million crypto fraud case against MIT graduates Anton and James Peraire-Bueno. The brothers are accused of exploiting a vulnerability in the Ethereum network in May 2024, allegedly using 16 validator nodes and over 529 ETH to execute a rapid four-step arbitrage scheme targeting MEV bots—completing the operation in just 12 seconds.
Despite claims by the defense that Ethereum’s open architecture allowed their actions, the judge ruled that the conduct falls under wire fraud. The trial is set for October 2025, with charges of wire fraud and conspiracy to commit money laundering still pending.