SEC Charges Solana DeFi Platform Mango Markets for Unregistered Token Sales; Entities to Pay $700K, Destroy Tokens

Sep 27, 2024, 07:00 PM

The U.S. Securities and Exchange Commission (SEC) has charged Mango Markets, a Solana-based decentralized finance platform, along with Mango DAO, Blockworks Foundation, and Mango Labs, for unregistered offers and sales of the platform's "MNGO" governance tokens and acting as unregistered brokers. The entities have agreed to settle the charges by paying a $700,000 penalty, destroying their MNGO tokens, and requesting the removal of MNGO tokens from trading platforms. Mango Markets had raised $70 million through the sale of MNGO tokens without proper registration. The SEC identified MNGO tokens as securities.