Washington, DC – Two brothers hailing from New York and Boston found themselves in federal custody on Tuesday, facing accusations of orchestrating a sophisticated scheme to steal approximately $25 million in cryptocurrency from a widely used blockchain, as revealed in a recently unsealed indictment.
Anton and James Peraire-Bueno have been charged with wire fraud and conspiracy to commit money laundering in connection with their alleged operation within the Ethereum blockchain. Prosecutors claim that the brothers meticulously planned their theft, luring victims and establishing shell companies to conceal their ill-gotten gains.
The indictment states that the duo, who reportedly studied math and computer science at a prestigious university in the country, possessed the technical expertise to carry out this unprecedented scheme in a matter of seconds. James Peraire-Bueno is a 2021 graduate of the Massachusetts Institute of Technology, while Anton Peraire-Bueno holds a B.S. in computer science and engineering and James holds the same in mathematics, computer science, and aerospace engineering.
Their operation commenced in December of 2022, with investigators describing a baiting operation that targeted specific traders on the Ethereum platform, exploiting validators to gain access to private transactions and manipulate them for their own gain. The defendants allegedly profited around $25 million from their victims in just 12 seconds.
From April to June of the following year, the brothers are said to have laundered their proceeds through shell companies, disregarding demands from victims, legal representatives, and Ethereum officials to return the stolen cryptocurrency. They were apprehended on Tuesday and are set to appear in federal courts in New York and Boston.
Deputy Attorney General Lisa Monaco emphasized the Justice Department’s commitment to combating fraud in evolving cryptocurrency markets, aiming to support victims and restore public trust. As the case progresses, details regarding the brothers’ defense attorneys remain undisclosed, leaving their legal representation a subject of curiosity and speculation.