$25 Million Crypto Heist in 12 Seconds: MIT Siblings Charged with Cyber Fraud

Two siblings who attended the Massachusetts Institute of Technology (MIT) are now facing allegations of exploiting a vulnerability in the Ethereum blockchain. The duo reportedly swindled $25 million within 12 seconds, which the prosecutors labeled as a first-of-its-kind caper.

If convicted, both of them could potentially serve sentences exceeding 20 years in prison.

• Anton Peraire-Bueno, 24, and James Peraire-Bueno, 28, are facing federal charges in Manhattan for fraud and money laundering.
• The accusations stem from what prosecutors describe as a meticulously planned cyber heist executed from their computers over several months.
• They were arrested on Tuesday in Boston and New York. Commenting on the development , Deputy Attorney General Lisa Monaco said,

“The Peraire-Bueno brothers stole $25 million in Ethereum cryptocurrency through a technologically sophisticated, cutting-edge scheme they plotted for months and executed in seconds.”

• Both individuals attended the Massachusetts Institute of Technology (MIT), where Anton completed his Bachelor of Science in computer science and mathematics in February, while James obtained a Master of Science in aeronautics and astronautics in 2021.
• According to prosecutors, the brothers leveraged advanced expertise acquired at a globally renowned university to manipulate Ethereum’s transaction validation process.
• The siblings reportedly targeted Ethereum traders by fraudulently accessing pending private transactions and subsequently modifying them to acquire their victims’ cryptocurrency.
• Upon being confronted by an Ethereum representative, authorities allege that the brothers refused to return the funds and instead laundered the funds and concealed their ill-gotten gains.