This brief matters far beyond this single case.
Using wire fraud to retroactively impose unwritten "norms" on Ethereum validators is not law - it's regulation by prosecution. That violates due process, chills open-source development, and misunderstands Ethereum's design as a permissionless, incentive-driven system - not a platform with terms of service.
If new rules are needed for novel tech, they must come from lawmaking, not creative indictments after the fact. Anything else turns builders into defendants by surprise.
Grateful to @fund_defi for standing up for clarity, fairness, and the rule of law in DeFi. Ethereum grows by transparent rules, not fear.
2/ “Although the Government apparently believes that the Defendants’ conduct violated the norms of how Ethereum validators should behave, it cannot point to any law or regulation that enacts such a norm into law. Instead, it tries to use the wire-fraud statute to get around that problem by claiming that anyone who acts as an Ethereum validator implicitly certifies that they will comply with the Government’s favored norms. That is an astonishing contention, and it amounts to a clear effort to impose new, retroactive rules on Ethereum software developers under the guise of the wire fraud statute.”
Read our full brief at the link below:
https://t.co/9M0m5U3nyD
1/ On Friday, DEF filed an amicus brief in US v. Peraire-Bueno to make the point that the DOJ’s novel theory of wire fraud violates the defendants’ Due Process rights.
Our brief argues that due process “requires the government to impose new rules on novel technologies through lawmaking, not prosecutions.”
The DOJ’s regulation-by-criminal-indictment approach to software developers needs to end.
This would be a great time for the government to take a look in the mirror and strongly consider a graceful step back from this case. Leave this dispute to the civil courts.
This was always a confused case pushed by a previous admin that hated all things crypto and just wanted to win precedents to expand regulatory scope. The crypto mandate of the current DoJ is very different and focused on clear fraud. The case no longer makes sense, and it’s time to let it die.
The “victims” were highly sophisticated sandwich mev bots that themselves were stealing millions from ordinary traders. The only reason they lost money to low carb crusader was because they were outsmarted, and in their own greed risked more money than they could afford to lose. The exploit was only possible because they were literally trying to steal from what they thought was a retail trader.
Two out of three of the “victims” wouldn’t even enter the United States to testify because they were worried about their own legal risk. The third, David Yakira, played a man’s game and paid a man’s price. But when outplayed, had the audacity to cry to the police, after years of outright defrauding hundreds of millions from retail traders.
Taxpayers have already wasted far too much money on this trials attempt to protect extractive sandwich bots. The convictions if anything would harm ordinary retail crypto traders. None of this aligns with the current administrations crypto policy objectives. We have a perfectly fine civil system if the private parties want to litigate on their own dime.
If the DOJ really wants to end "regulation by prosecution" it must drop these cases:
Tornado Cash
Samourai Wallet
Peraire-Bueno (The "MEV brothers")
We haven't talked about that last one before. Here's the gist and what's at stake.
“El resultado ha sido demoledor para Kamala: ni la han votado los latinos, ni las mujeres, ni los afroamericanos. ¿Será porque todos ellos están más preocupados por la realidad cotidiana que por la agenda woke y el dogma de lo políticamente correcta?
https://t.co/W0awD0AeLg
The Greater Barcelona Area holds the promise of becoming a thriving metropolis, a world class talent magnet, able to propel the knowledge economy by generating a prosperous and egalitarian society whilst providing a high quality of life for all its citizens. (1)
Jaume Peraire: “El transport aeri és un dels èxits més destacables de l’enginyeria”
L’enginyer de camins i catedràtic d’Aeronàutica i Astronàutica del @MITAeroAstro i 'alumni' de l'@EscolaCaminsUPC, ha estat investit doctor #honoriscausaUPC.
https://t.co/6BaHzAjmi5
A bizarre and troubling event: Andreu Mas-Colell, an eminent economist, may face huge fines for his alleged role in Catalonia's referendum on independence. A who's who of international economists has written in his defense https://t.co/ytRa5MBQnG
On the issue of a Scottish independence referendum, First Minister Nicola Sturgeon says supporters “can't simply be told there is no democratic route to seeking the future we want for our country”.
Follow the latest - https://t.co/7bYqMufDxA