The decentralized autonomous organization (DAO) that manages the Solana (SOL)-based crypto exchange Mango Markets is approving a proposed reimbursement deal that arose from the exploit of the platform.
Earlier this month, Mango Markets claimed that an attacker manipulated the price of the Mango (MNGO) utility token and then took out a loan worth around $100 million, leaving the network with a negative balance.
Shortly after, Mango offered a deal, subject to the governance board’s approval, for the attacker to return less than half of the exploited funds. The DAO eventually approved with 191,888,153 votes for the proposed reimbursement of $42 million in USD Coin (USDC).
“Transfer 42,000,000 USDC to Developer Council Multi-sig to cover reimbursements to Mango v3 depositors, unneeded USDC will be sent back to the treasury by next week.”
Crypto trader Avraham Eisenberg has stepped forward as the person behind the exploit, but he claims that the incident is not a hack but a trading strategy that took advantage of the protocol’s loopholes.
“I believe all of our actions were legal open market actions, using the protocol as designed, even if the development team did not fully anticipate all the consequences of setting parameters the way they are.”
At time of writing, MNGO is trading for $0.0209.
Check Latest Coin Values at CoinPrice.Watch
Disclaimer: Opinions expressed at BitcoinLinux are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. BitcoinLinux does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is BitcoinLinux an investment advisor. Please note that BitcoinLinux participates in affiliate marketing.
Featured Image: Shutterstock/Heri Yusuf
The post Mango DAO Unanimously Approves $42,000,000 Reimbursement Proposal appeared first on BitcoinLinux.