#Mango Markets is shut down.#
Hot Topic Overview
Overview
Mango Markets, a decentralized exchange on Solana, announced it will cease operations on Monday. The event stems from a $110 million exploit that occurred in October 2022 and a settlement demand from the U.S. Securities and Exchange Commission (SEC) against Mango Markets. The SEC’s settlement requires Mango Markets’ governance DAO to destroy its MNGO tokens and delist them from all exchanges, rendering most of Mango Markets’ lending economically infeasible. Mango Markets’ DAO voted to shut down the exchange and phase out Mango v4 and Boost.
Ace Hot Topic Analysis
Analysis
Mango Markets announced it will be shutting down operations on Monday, primarily due to two factors: Firstly, the United States Securities and Exchange Commission (SEC) settlement proposal against Mango Markets, which required its governance DAO and organization to destroy its MNGO tokens and delist them from all exchanges. Secondly, a Mango Markets DAO proposal that rendered most of the exchange’s lending “economically unviable” and is set to take effect on Monday, January 13th, at 8:00 PM UTC. Mango Markets, a Solana-based decentralized exchange, suffered a notorious $110 million exploit in October 2022. The incident put Mango Markets in a precarious position, and the combined blow of the SEC settlement proposal and the DAO proposal ultimately led to its closure. The shutdown of Mango Markets also reflects the increasing regulatory scrutiny within the DeFi industry and the limitations of DAO governance mechanisms in responding to unforeseen events.
Public Sentiment · Discussion Word Cloud
Public Sentiment
Discussion Word Cloud
Classic Views
Mango Markets will gradually shut down due to the $110 million exploit in October 2022, as well as the requirements of its SEC settlement agreement.
The SEC settlement agreement requires Mango Markets' governance DAO to burn its MNGO tokens and delist them from all exchanges.
A DAO proposal to make most of the exchange's lending "economically unviable" led to its closure.
The closure of Mango Markets will result in a gradual shutdown of Mango v4 and Boost, as most lending on Mango will no longer be economically viable in the future.