The year is about to end, but the downtrend in the crypto market is yet to be ended this year. 2022 was full of fraud, crashes, and hacks, and the Mango Markets exchange is a new addition to the list. At least $110M has been taken by an investor from the exchange with no intention to return it. The U.S. authorities have filed criminal cases against the person, and he was arrested last night.
Mango Market exchange and the fraud
On Oct. 11, Avraham Eisenberg and his team allegedly inflated the price of the Mango token and then took a loan worth $110M from the exchange, according to the complaint filed against Eisenberg by the FBI. The New York Court published the complaint to the public on Dec. 27, which shook the whole crypto market.
The complaint says that Eisenberg is to face cases of commodities fraud and commodities manipulation. The story started on Oct. 11 when he and his friends manipulated the price of the Mango native token, and it inflated by more than 1300%. When the price hit an all-time high, Eisenberg and his team took massive loans from the platform giving more than $110M hitch to the platform.
The next day the Mango Markets exchange started negotiations with Eisenberg and his team for returning the funds. The team did not reply immediately, but after three days, on Oct. 15, they agreed to return $67M back to the platform.
The complaint says that due to the fraud, not only did the Mango Markets exchange face loss, but the rest of the…
