Mango Markets Set to Resume Crypto Trading

Developers behind the shuttered decentralized crypto exchange Mango Markets​ say they're pushing forward with a relaunch of the project – even as the U.S. Securities and Exchange Commission (SEC) alleges the project's native token, MNGO, is a security.

The SEC's labeling of the token raises knotty problems about whether Mango Markets' "version 4" can proceed without facing regulators'wrath. The SEC hasn't alleged wrongdoing by Mango. But the agency previously accused MNGO trader Avraham Eisenberg, who drained $116 million from the exchange in October, of securities market manipulation.

Mango founder Daffy Durairaj pledged to proceed with the software upgrade that will restart Mango Markets, the once-popular venue for trading, borrowing and lending cryptocurrencies on Solana. It went dark in October after Eisenberg drained Mango and its customers of crypto worth $116 million.

MNGO, a crypto governance token that grants its holders voting rights over Mango Markets' operations, "was offered and sold as a security," the SEC said, noting it is investigating "other securities law violations" alongside the Eisenberg case. That ominous pledge could have major implications for Mango Markets' U.S. team if the SEC decides to sue.

(Source: CoinDesk)