US police arrest MEV engineer connected to alleged $1.2 million rug

The reason behind the arrest, which happened on March 20, remains unknown as of press time. However, ZachXBT, the on-chain sleuth who called attention to the situation, claims the development could be tied to an earlier rug pull allegedly masterminded by Robb.

Notably, the saga began in December 2023 when ZachXBT spotlighted Robb’s alleged fraudulent activities. According to his disclosure, Robb orchestrated a sophisticated scheme, swindling over $1.2 million from eleven unsuspecting individuals.
The victims had invested in various Miner Extractable Value (MEV) bots, which Robb claimed would soon be operational. However, instead of delivering on his promises, the on-chain sleuth claims Robb vanished with investors’ funds.

Moreover, the excuses for the delays ranged from COVID-related setbacks to health issues, exchange glitches, and even alleged extortion. Meanwhile, the frustrated investors sought multiple avenues to recover their funds, with some working with ZachXBT to get justice.

Interestingly, the sleuth revealed last December that Robb had a checkered past. In 2002, he pleaded guilty to a $4 million scam, defrauding investors and using the ill-gotten gains to indulge in frivolities. Moreover, in 2007, he was sentenced to three years for fraud after stealing from over ten victims in Colorado.

Shortly after ZachXBT’s disclosure in December 2023, Robb threatened legal action against him, noting that he still plans to launch the MEV project. The recent arrest comes three months after the alleged $1.2 million rug case came to limelight.

The crypto community now awaits the release of court documents to shed light on the specifics of Robb’s arrest. While the exact charges remain undisclosed, the evidence points squarely at the alleged rug pull.

The crypto scene has been a hotbed for these scams amid a scarcity of ample regulatory efforts. Data confirms that scammers stole a whopping $295 million from over 300K victims in 2023.