SEC Settles Charges with Mango Markets

The US Securities and Exchange Commission (SEC) has resolved a case against Mango DAO, Blockworks Foundation, and Mango Labs LLC for their participation in the unregistered sale of cryptocurrency assets on the Mango Markets platform.

The enforcement action by the agency focuses on the sale of MNGO governance tokens and claims that these entities did not comply with federal securities laws, resulting in investors being deprived of crucial legal protections.

According to the SEC, Mango DAO, a decentralized autonomous organization, and Blockworks Foundation, a company based in Panama, raised over $70 million through unregistered offers and sales of MNGO tokens starting in August 2021.

These tokens, which were marketed as governance tokens for the Mango Markets platform, were sold to hundreds of investors globally, including US investors.

The SEC asserts that the unregistered offerings stripped investors of registration protections under federal securities laws.