Mantra CEO to burn 300M OM tokens after crash. CEO John Patrick Mullin has pledged to burn the team’s 300 million OM tokens to restore investor confidence after Mantra’s OM token crashed 90% on April 13, 2025, dropping from $6.30 to $0.52 and erasing over $5.5 billion in value.
Here’s what you need to know about this DeFi drama:
Why the Crash Happened
- Mullin blames “reckless liquidations” by centralized exchanges during low-liquidity hours, not insider selling.
- On-chain data sparked allegations of insider dumps, which Mantra denies, citing locked team tokens.
Mantra CEO to Burn 300M OM Tokens – The Token Burn Plan:
- Mullin will burn 300 million OM tokens (~16.88% of supply, worth $236M at ~$0.78), locked until 2027-2029.
- A community vote will decide the burn’s fate, with Mullin open to earning tokens back if Mantra recovers.
Recovery Efforts
- Mantra’s $109M Ecosystem Fund will fund buybacks and burns to stabilize OM’s price.
- A transparency report and post-mortem will address community concerns.
Mixed Reactions
- Some applaud Mullin’s sacrifice, but critics warn it could weaken team incentives.
- OKX’s CEO called it a “scandal,” urging on-chain scrutiny.
Currently trading at ~$0.75, $OM shows a slight recovery. Mantra, a leader in real-world asset tokenization, aims to rebuild trust with this bold move. Will it spark a comeback?
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