This NewYork case is about Eisenberg a trader aged 28 years, fraud with the Crypto Mango Market users in October 2022. He was arrested in Puerto Rice in December 2022 for commodities fraud, manipulation, and deceiving the Mango Market with a fraud of $110 million.
A hearing on Wednesday is scheduled regarding the case where 12 Jurors will listen to the statements of both sides. His mother and the two family members are present in the court proceedings. One witness rested the case before the trial.
He is a single expert witness and a secret service agent who now turned into a Crypto Investigation consultant. He gave his testimony on Monday and Tuesday.
After 2 days, Jeremy Sheridan states the validity of Avi Eisenbergs’ trade and whether his borrowings are merely borrowings according to the Mango market codebase or some illicit act to deceive people.
However, the court found his theories and arguments, unreasonable and unacceptable due to inadequate knowledge of the Mango Market Codebase.
Prosecutors argued on the statements given by attorneys by unveiling the illegal act of Avi Eisenberg engaged in manipulating the market by trading on huge sums of Mango to inflate the prices by over 1000% for future profits.
Prosecutors also hold him responsible for deceiving the platform and draining the market with $110 Million in several cryptocurrencies through the Borrow function.
On Wednesday, Prosecutors denied Avi Eisenberg as the borrower but denoted him as a theft who scammed the market with $110 million. He offers $67 million to the Decentralized Autonomous Organization (DAO) in exchange for promises to cover the criminal offense and not to drown the rest of the funds.
The case was largely clear from Eisenberg’s side as the defender of the case Brian Klein provided a supportive explanation. He added that Eisenberg is a successful trader who complied with a righteous trading strategy that adhered to the Mango Market Protocol.
Brian Klein pointed out the fact that the Mango Market itself is reckless in presenting proper terms and conditions. There’s only an alert on a site that signifies “at your own risk”. Klein favors by simply commenting that Eisenberg just used the site and made money. There should be no legal offense imposed on him.
“That’s How the Crypto market works”, Brian Klein included.
Before the scandal, Eisenberg’s internet search history shows searches like “elements of fraud, statute of limitations market manipulation, etc”. He also files a petition against someone in the federal court for manipulating the price of WAVES.
He is aware of his illegal mindset that’s why after being exposed to the scam he ran off to Israel. Also, he makes internet searches such as “FBI supervision, list of Israel expulsion, Otisville prison, etc”
“That’s How a fraudster plans”, the prosecutor concluded.
On Wednesday, The defender of Eisenberg answered the prosecutor that his client didn’t run to Israel but hid from the threats given by Mango Market users. He files the case against Circle and Ascendx, a Romanian exchange after his funds are frozen to get back the money and to return to the US because he knows he isn’t a criminal.
The prosecutor denied and argued that he filed the case after he was exposed as a deceiver. That’s why he tried to deal with Mango Market DAO giving them an offer to waive the liability and move back to the US. In the end, the prosecutor concluded that “manipulation, fraud, and lies are criminal offenses even if they happen virtually.
If the evidence proves to be against Avi Eisenberg on three counts, he has to face imprisonment of 20 years.
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