MIT students stole $25M in seconds by exploiting ETH blockchain bug, DOJ says

vrighter , 27 days ago

"code is law" That's the whole point of cryptocurrency shit.

So if the software gave the money to them, they can't possibly have stolen it. By definition, they were lawful.

BrikoX OP Mod , 27 days ago

I'll give you that argument as to wire fraud charges, since the whole charge is so broad that it can apply to anything, but the conspiracy to commit money laundering charge is undisputed. Dudes even did searches about that...

ech , 27 days ago

The brothers' online search history showed that they studied up and "took numerous steps to hide their ill-gotten gains," the DOJ alleged. These steps included "setting up shell companies and using multiple private cryptocurrency addresses and foreign cryptocurrency exchanges" that specifically did not rely on detailed "know your customer" (KYC) procedures.

They also researched the "very crimes charged in the indictment," the DOJ said. Among search terms found in the brothers' history during the planning phase of the alleged scheme were phrases like "how to wash crypto" and "exchanges with no KYC." Later, seemingly attempting to prepare for any legal consequences from the scheme, the brothers allegedly searched for things like "top crypto lawyers," and "money laundering statute of limitations," and "does the United States extradite to [foreign country]."

Smart enough to hack the blockchain, but still too dumb to crime.

I'm not exactly sympathetic of crypto-bros, particularly ones using bots that got exploited, but these two dummies don't seem great either. Maybe this will at least set some precedent for regulating this shit show. Probably not, though.

Tar_alcaran , 27 days ago

Wait, how is this a crime? Every crypto bro I know proclaims that whats on the ledger is truth. Code is law, etc etc.