TLDR:
- Avraham Eisenberg sentenced to 52 months in prison for possession of child sexual abuse material
- Eisenberg was previously convicted for a $110 million exploit of Mango Markets in 2022
- Judge considering granting a retrial on the crypto-related fraud charges
- Prosecutors found over 1,200 images of child sexual abuse material on his devices
- He will face 5 years of probation after release with strict monitoring requirements
Avraham “Avi” Eisenberg, known for exploiting the decentralized finance protocol Mango Markets in 2022, has been sentenced to 52 months in prison on charges related to child sexual abuse material. The sentencing took place on May 1 in the US District Court for the Southern District of New York.
Judge: He has autism, and 1274 items of CSAM material, including of a young corpse. [3 victim statements read] I Sentence uou to 52 months.
Defense: We request Otisville.
Story coming— Inner City Press (@innercitypress) May 1, 2025
The prison term stems from Eisenberg’s guilty plea to possession of child sexual abuse material, which was discovered on his devices following his arrest for the Mango Markets exploit. This case is separate from his crypto-related fraud charges.
Judge Arun Subramanian ordered Eisenberg to serve his time at FCI Otisville, a medium-security facility located about two hours from Manhattan. The judge emphasized that a prison sentence was necessary for general deterrence in cases involving such material.
Following his prison term, Eisenberg will face five years of probation with strict conditions. These include installing monitoring software on all electronic devices and completing a drug outpatient program.
The child abuse material case proceeded faster than Eisenberg’s fraud case related to the Mango Markets exploit. In October 2022, Eisenberg manipulated price oracles to drain approximately $110 million from the decentralized exchange.
The Crypto Fraud Case
Eisenberg was arrested by FBI officials in Puerto Rico in December 2022 on charges of commodities fraud and manipulation related to the Mango Markets incident. A jury later found him guilty of wire fraud, commodities fraud, and commodities manipulation in April 2024.
Throughout legal proceedings, Eisenberg maintained that his actions were legitimate. He claimed the exploit was done through “legal open-market actions” and not a cybercrime, but rather a “successful and legal trading strategy.”
Statement on recent events:
I was involved with a team that operated a highly profitable trading strategy last week.
— Avraham Eisenberg (@avi_eisen) October 15, 2022
His defense team filed a motion for acquittal in September 2024, which prosecutors strongly opposed. They argued Eisenberg was correctly convicted based on thorough evaluation of extensive evidence.
During the May 1 hearing, Judge Subramanian indicated there was a “non-zero chance” he would grant a motion for retrial on the Mango Markets-related charges. However, he noted that the bulk of any sentence would relate to the child sexual abuse material charge.
The Mango Markets incident had severe consequences for the platform. The exchange’s native token, MNGO, plummeted 52% within 24 hours of the exploit, forcing the team to suspend deposits.
Details of the Charges
According to court documents, prosecutors discovered that between 2017 and 2022, Eisenberg had downloaded 1,274 sexually explicit images and videos of children. The material included content depicting toddlers and infants as young as two months old, as well as images showing sadistic violence against children.
In their sentencing submission, prosecutors requested that Eisenberg serve between 6.5 and 8 years in prison, emphasizing the seriousness of his offenses. They also noted that Eisenberg was well aware his crypto trading actions were illegal, pointing out that he had previously filed a lawsuit against someone else for crypto-related market manipulation.
Prosecutors further highlighted that Eisenberg fled to Israel once his identity as the Mango Markets attacker was revealed, indicating consciousness of guilt.
Eisenberg’s defense team attempted to attribute his actions to his strict religious upbringing and “struggles to conform to social norms.” They described him as a “fundamentally decent person” who had difficulty adapting to jail life.
The case reflects the increasing likelihood of prosecution for hackers and cybersecurity exploiters who target crypto platforms and users. Law enforcement agencies continue to pursue those responsible for malicious attacks in the digital asset space.
Following the Mango Markets exploit, Eisenberg claimed he had negotiated a settlement for the return of user funds, stating that the exchange’s insurance fund had failed to cover the shortfall.
The current status of the Mango Markets platform remains uncertain, as the exploit had long-lasting effects on user trust and platform stability.
