Brothers arrested in alleged $25M crypto fraud scheme: DOJ

Federal authorities have arrested a pair of brothers for allegedly hatching an elaborate scheme to steal millions of dollars worth of cryptocurrency. This case is the first of its kind, authorities said.

The U.S. Department of Justice (DOJ) on Wednesday charged James Pepaire-Bueno, 28, of New York, and his younger brother Anton Peraire-Bueno, 24, of Boston, with wire fraud, wire fraud and conspiracy to commit a crime. money laundering accuses them of using the Ethereum blockchain to steal $25 million from unsuspecting traders.

A pair of brothers from New York and Boston were arrested on Wednesday for allegedly stealing $25 million worth of the Ethereum cryptocurrency.

The unsealed indictment stated that the brothers studied mathematics and computer science at “one of the most prestigious universities in the country” and used the skills they developed in their education to fraudulently gain access to pending transactions. The pair are then accused of using various methods to alter these transactions, transfer the crypto to themselves, and cover their tracks.

NYC POLICE’S SEARCH FOR SUSPECTS IN CRYPTO-FOR CASH DEAL GOT BAD

Authorities said Pepaire-Buenos planned the plan for months and it took just 12 seconds to pull off the robbery. The indictment alleges that after the stolen cryptocurrency came into their possession, the brothers rejected numerous requests for the return of the assets.

Federal authorities have charged a pair of brothers from New York and Boston for allegedly using the Ethereum blockchain to steal from victim traders.

Damian Williams, U.S. Attorney for the Southern District of New York, said the suspects “allegedly used their specialized skills and training to deface and manipulate the protocols relied upon by millions of Ethereum users worldwide,” noting that “this alleged scheme is novel and novel.” “He’s never been charged before.”

READ ON THE FOX BUSINESS APP

FBI WARNING DRIVERS AGAINST TOLL SCAMS TARGETED VIA TEXT MESSAGES

Williams added: “But as the indictment makes clear, no matter how sophisticated the fraud or how new the techniques used to accomplish it, the career prosecutors of this office will be relentless in pursuing those who attack the integrity of entire financial systems.”

The brothers were scheduled to appear separately in court Wednesday afternoon in their respective cities before U.S. Magistrate Judge Paul G. Levenson of the District of Massachusetts and U.S. Magistrate Judge Valerie Figueredo of the Southern District of New York.

If convicted, they each face up to 20 years in federal prison on each count.

Original article source: Brothers arrested for alleged $25 million crypto scam: DOJ