Ethereum
Two brothers, former MIT students, charged in $25 million crypto theft that took just seconds – DL News
- Two brothers meticulously planned the exploit, the DOJ says.
- Attack on Ethereum blockchain called first of its kind.
Two brothers who studied mathematics and computer science at MIT have been accused of hacking the Ethereum blockchain to steal $25 million in crypto in 12 seconds.
The U.S. Department of Justice said the exploit by brothers Anton Peraire-Bueno, 24, and James Peraire-Bueno, 28, was believed to be the first of its kind, “because they manipulated and tampered with the process and protocols by which transactions are validated and added to the Ethereum blockchain.
U.S. Attorney Damian Williams said the brothers’ “plan calls into question the very integrity of blockchain.”
Both were accused with conspiracy to commit wire fraud, wire fraud and conspiracy to commit money laundering.
Validators
When a validator is selected on the Ethereum blockchain, the indictment states, they have approximately 12 seconds to complete the process.
The brothers developed a complex four-step plan and established a series of Ethereum validators through concealed identities and shell companies during their months of preparation for the April 2023 exploit, when they drained 25 million dollars in blockchain funds, according to the indictment. .
After obtaining the money, the two men refused requests for restitution and took steps to hide the stolen funds, according to the indictment.