US prosecutors question the arguments on monetary policy in the Ethereum vulnerability case.

The U.S. prosecution opposes the introduction of cryptocurrency policy arguments in the lawsuits against Anton Peraire-Bueno ( and James Peraire-Bueno ). The brothers are accused of using maximal extractable value ( MEV ) bots to attack Ethereum, allegedly leading to a $25 million attack in April 2023. In a recent filing with the U.S. District Court for the Southern District of New York, the prosecution opposed the amici curiae brief submitted by the cryptocurrency advocacy organization Coin Center. The brief could potentially influence the jury's verdict, leading to an acquittal for the defendants. The prosecution argues that such policy discussions should be handled by Congress rather than the court, emphasizing that the court's focus should be on whether the evidence presented at trial is sufficient for a rational jury to find the defendants guilty. The defense team for the Peraire-Bueno brothers countered that Coin Center's brief provides a unique perspective that helps the court understand the prosecution's theory. They argued that the government's position implies that any deviation from blockchain protocol norms in economic activities could lead to federal criminal liability. The defense criticized this theory as being contrary to common sense and legal precedent. The case is set to begin on October 15, drawing significant attention from the cryptocurrency industry due to its potential implications. The brothers face charges of conspiracy to commit wire fraud, money laundering, and conspiracy to receive stolen property. The prosecution alleges the Peraire-Bueno brothers used MEV bots to manipulate transaction orders on the Ethereum blockchain, effectively executing “high-speed bait trading” to steal digital assets. In contrast, the defense insists that the so-called victims are “sandwich bots” and that the brothers were merely employing a trading strategy. The trial is currently in its 11th day and is expected to last until November. If convicted… the Peraire-Bueno brothers could face up to 20 years in prison for each charge. This case has garnered widespread attention from industry leaders and advocacy groups.