Sarao, who was arrested by U.K. authorities in April , amassed a nearly £30 million fortune. But rather than snapping up a luxury Mayfair bachelor pad, still lived with his parents in a three bedroom house on a nondescript street in suburban London.
His lawyers are likely to argue against extradition on the grounds of his recently diagnosed severe Asperger's Syndrome, a form of autism which often affects people with high intelligence and can lead to difficulty communicating and interacting with other people. They may also argue that Sarao's conduct, as it is described in U.S. court filings, does not amount to a criminal offence in the U.K.
If forced to go to the U.S., he will face 22 counts of fraud and commodity manipulation, carrying a maximum of 380 years in jail. The U.S. is generally viewed as a harsher environment for white collar crime than the U.K.
Sarao, who was released on bail last month after months in a U.K. prison, has previously said in court he is only guilty of being good at his job.
He is accused of a practice known as "spoofing", where a trader tricks other people in the markets by executing large orders they don't intend to follow through. This is often associated with the sometimes controversial practice of high frequency trading.
In emails allegedly from Sarao and released by the U.S. Department of Justice earlier this month, the trader talks about "spoofing" the market and about other people "breaking all these rules".
"If I am short I want to spoof it [the market] down, so I will place join offer orders," he is supposed to have written in a February 2009 email. "I want to put these join offer orders in the system much like a normal order but they are only seen when the market bid is taken out, or when the market goes offered."
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