On September 28, the U.S. Securities and Exchange Commission (SEC) announced settlement charges against Mango DAO and Blockworks Foundation, accusing both entities of offering and selling unregistered “MNGO” tokens, according to official news.
The SEC also filed charges against Blockworks Foundation and Mango Labs LLC, alleging unregistered brokerage activities involving the offer and sale of various crypto assets as securities on the Mango Markets platform.
According to the SEC’s complaint, starting in August 2021, Mango DAO, a decentralized autonomous organization (DAO), and Panama-based Blockworks Foundation conducted unregistered sales of MNGO tokens, which served as governance tokens for the Mango Markets platform. These sales raised over $70 million from global investors, including those in the U.S.
Both entities have agreed to settle with the SEC, accepting its injunction and order. They will jointly pay a civil penalty of nearly $700,000, destroy all MNGO tokens, remove MNGO from trading platforms, and cease any future offers or sales of MNG tokens.
