Trader Is Charged in Alleged $110 Million Crypto Manipulation Scheme

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Trader Is Charged in Alleged $110 Million Crypto Manipulation Scheme
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A trader faces criminal charges for allegedly manipulating the decentralized exchange Mango Markets and draining more than $110 million of cryptocurrency

A man who authorities say publicly admitted to manipulating trading on decentralized exchange Mango Markets and draining more than $110 million of cryptocurrency is now facing U.S. criminal and civil charges.

Mr. Eisenberg remained in police custody on Thursday and will be arraigned Feb. 14, when he would be asked to enter a plea. Brian Klein, a lawyer representing Mr. Eisenberg and a partner at law firm Waymaker LLP, said they are trying to work out a bail package with the prosecutors.Our Morning Risk Report features insights and news on governance, risk and compliance.The Securities and Exchange Commission and the Commodity Futures Trading Commission filed parallel civil charges against Mr.

Mr. Eisenberg allegedly used an account he controlled on Mango Markets to sell a large amount of perpetual futures for MNGO tokens and used another account on the exchange to purchase those same futures. He allegedly artificially pumped up the price of MNGO on three different digital asset exchanges that Mango Markets used to determine the value of the derivative contracts. Mr.

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