What the Trial Related to a MEV Bot Exploit Means for the Industry

Opening arguments in the criminal trial for two brothers allegedly responsible for using maximal extractable value (MEV) bots to perpetuate a multimillion-dollar exploit kicked off on Wednesday.

Anton and James Peraire-Bueno appeared in a New York courtroom as US attorneys and defense lawyers presented different narratives around the alleged crypto scheme, which resulted in about $25 million being removed. 

According to reporting from Inner City Press, attorneys for the US government claimed the brothers “tricked their victims” by committing a “high-speed bait and switch.” However, defense attorneys said the “victims here were sandwich bots,” adding that the Peraire-Bueno duo employed a trading strategy and claimed that the profits were not illegal, so there was no related money laundering. 

“Yes, they off-ramped the crypto,” said the brothers’ defense attorney, Katherine Trefz, in opening arguments. “They brought it into the US and paid tax on it: $6 million. Before they were arrested in their homes. This is a complicated case.”