The US Securities and Exchange Commission (SEC) has reached a $700,000 settlement with Mango DAO and Blockworks Foundation over alleged securities violations. The charges pertain to the sale of over $70 million in unregistered MNGO tokens on the Mango Markets platform, beginning in August 2021. Both entities were also accused of acting as unregistered brokers by soliciting and facilitating securities transactions.

Jorge G. Tenreiro, Acting Chief of the SEC's Crypto Assets and Cyber Unit, emphasized that the label "DAO" does not exempt entities from registration requirements. The settlement includes the destruction of MNGO tokens and a ban on their trading.