Mango Markets exploiter arrested by FBI on fraud charges. Stole crypto worth over $100 million

Calling his attack legal on Mango Markets, Avraham Eisenberg has been arrested by FBI in Puerto Rico.

It’s a relief to the crypto community after Avraham Eisenberg, the man behind stealing over $100 million from the Solana based DeFi platform Mango Markets was arrested by the Federal Bureau of investigation in Puerto Rico.

As per the complaint filed with the Southern District of New York, Avraham Eisenberg has been charged with two frauds i.e commodities fraud & commodities manipulation in line with his involvement in the recent hack of the Mango exchange.

On Oct 11, his team attacked the platform by manipulating the data from the price oracle. Doing so allowed them to take out under-collateralized crypto loans worth $100 million.

As per records, the hackers stole $50 million USDC, $26.7 million mSOL, $24 million SOL & around $14.7 million MNGO tokens.

On Oct 12, a day after the hack, Mango Markets tried negotiating the deal with Avraham Eisenberg to recover the loss of funds.

On Oct 15, Mango was able to recover $67 million from the exploit after the team agreed to pay nearly half the stolen money to his team.

Things were going pretty nice for Eisenberg until he started bragging about exploiting the crypto exchange, stating everything publically about the exploit and calling it a “highly profitable trading strategy & legal in the eyes of the market”.

He ran out of luck when he tried the same strategy on AAVE protocol, by taking out $40 million loans by executing short sales. He lost heavily since the price moved against his predictions.

On Dec 26, Avraham Eisenberg was arrested by FBI in Puerto Rico. He was engaged in what the FBI called “intentional and artificial manipulation” of the price of Digital assets on Mango exchange.

Due to his withdrawals, depositors on Mango markets lost most of their money stored on the exchange. He will soon appear for trials in the court.

The Latest Crypto Headlines: