MANTRA ($OM) is a blockchain project focused on tokenizing real-world assets (RWA) to build a secure and compliant financial ecosystem for institutions and developers. On April 13, 2025, the crypto market was rocked by a dramatic event as MANTRA’s $OM token crashed over 90% in just a few hours, with some reports noting a staggering 98% drop.
This collapse wiped out approximately $6 billion from MANTRA’s market capitalization, marking one of the most severe shocks in recent crypto history.
MANTRA’s $OM Token Falls – Key Causes
- Automated liquidations from leveraged positions in the derivatives market, amid heightened market volatility.
- Panic-driven sentiment, exacerbated by other incidents like the Bybit hack.
- Allegations of the MANTRA team “dumping” tokens surfaced, but the team denied this, attributing the crash to “reckless external liquidations.” Some X posts discussed 4 wallets transferring funds to the dev team before the crash, but this lacks clear evidence.
MANTRA responded via X on April 14, 2025, pledging to investigate while reassuring that the project remains fundamentally strong. Before the crash, MANTRA had made strides with initiatives like Fireblocks integration, a $108 million ecosystem fund, and preparations for a $OM GenDrop. However, the incident has shaken community trust, spiking trading volumes due to panic selling.
CZ’s Take (Binance)
CZ, former Binance CEO, commented on the situation on X, suggesting that exchanges (CEX and DEX) should ditch listing processes and allow all tokens to be traded, letting traders decide for themselves, highlighting the need for transparency and freedom in the market.
For recovery, MANTRA must provide clarity on the incident and push forward with its development plans. The community awaits official updates from @MANTRA_Chain to assess the project’s long-term prospects.
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