Crypto Trials Need Clearer Explanations of DeFi and Its Rules

The recent mistrial in the case of _United States v. Peraire-Bueno_ highlights the complexity and confusion surrounding decentralized finance (DeFi) and its legal interpretations. The jury faced the difficult task of determining whether the actions of the Peraire-Bueno brothers, who profited from exploiting Ethereum sandwich bots, amounted to wire fraud or money laundering. Unlike more straightforward cases, the nature of these alleged crimes is deeply entwined with the technical functioning of blockchain and its consensus rules, which many jurors found challenging to understand. The prosecution relied on analogies to traditional betting and casinos, while the defense argued that applying human qualities to code is illogical. Ultimately, the jury expressed their confusion and fatigue, leading the judge to declare a mistrial. Observers note that a clearer explanation of the rules governing Ethereum is essential for jurors to make informed decisions in such complex cases, emphasizing the need for more straightforward legal contexts when dealing with crypto-related trials.

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