Six years in prison and $47M restitution sought in Mango Markets case
U.S. federal prosecutors have requested a prison sentence of six and a half to over eight years for Avraham “Avi” Eisenberg, convicted of exploiting Mango Markets for $110 million in 2022.
In an April 22 court filing, prosecutors urged District Judge Arun Subramanian to impose a sentence between 78 and 97 months, highlighting the seriousness of Eisenberg’s offenses, including wire fraud, commodities fraud, and commodities manipulation.
“This sentence is necessary to, among other things, appropriately reflect the gravity of the defendant’s crimes, promote respect for the law, deter the defendant from future criminal activity, and protect the public,” prosecutors stated.
Eisenberg’s actions led to the effective closure of Mango Markets, a decentralised exchange that launched in August 2021 and announced its shutdown in January 2024.
Eisenberg was arrested in December 2022, and his sentencing has been delayed several times due to the complex nature of the case, according to his legal team.
During his April 2024 trial, Eisenberg’s defense claimed that he had employed a legal trading strategy, but the court convicted him of fraud and manipulation.
Eisenberg returned approximately $67 million of the stolen funds after the attack, but retained over $40 million following a community governance vote.
In a victim impact statement filed on April 22, Mango Markets requested the court to order $47 million in restitution, arguing that returning the misappropriated funds is essential to addressing the harm caused.
“Although Eisenberg’s attack cannot be undone, the return of the funds he misappropriated is critical to righting his wrong,” read the statement from Mango Markets.
“No amount of money will fix the damage that Eisenberg has caused to Mango Markets’ reputation and the suffering his avarice caused, but returning the money Eisenberg made off with will at least help,” the exchange emphasised, highlighting the lasting damage to its reputation.
The sentencing hearing is set for May 1, 2025, where the court will determine both the prison term and the restitution amount, according to filings and statements from the involved parties.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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