{"id":21919,"date":"2025-04-14T06:18:08","date_gmt":"2025-04-14T06:18:08","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=21919"},"modified":"2025-04-14T06:18:08","modified_gmt":"2025-04-14T06:18:08","slug":"mantra-says-one-particular-exchange-may-have-caused-om-collapse","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=21919","title":{"rendered":"Mantra says one particular exchange may have caused OM collapse"},"content":{"rendered":"
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\"Mantra<\/p>\n

The team behind real-world tokenized asset blockchain Mantra says its native token\u2019s sudden 90% plunge was caused by exchanges forcibly closing positions without notice, with one currently unnamed exchange potentially to blame.\u00a0<\/p>\n

On April 13, Mantra (OM<\/a>) price dropped from $6.30 to below $0.50<\/a>, rapidly shedding over 90% of its $6 billion market cap.<\/p>\n

\u201cWe have determined that the OM market movements were triggered by reckless forced closures initiated by centralized exchanges on OM account holders,\u201d Mantra co-founder John Mullin wrote<\/a> in an April 13 statement on X.<\/p>\n

\u201cThe timing and depth of the crash suggest that a very sudden closure of account positions was initiated without sufficient warning or notice,\u201d he added.\u00a0<\/p>\n

\"Cryptocurrencies,
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Source: <\/em>John Mullin<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

\u201cThat this happened during low-liquidity hours on a Sunday evening UTC, early morning Asia time, points to a degree of negligence at best, or possibly intentional market positioning taken by centralized exchanges.\u201d<\/p>\n

Mullin told<\/a> an X user they believe one exchange \u201cin particular\u201d was to blame but said they were still \u201cfiguring out the details.\u201d He told others that the centralized exchange in question wasn\u2019t Binance.\u00a0<\/p>\n

Mantra has an upcoming community connect on X, where Mullin says the team would share more information.<\/p>\n

\"Cryptocurrencies,
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Source: <\/em>John Mullin<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

Some traders allege the token collapse was a rug pull<\/a>, while others are speculating<\/a> the Mantra team had used their tokens as collateral to take out a massive loan from a centralized exchange<\/a> and the team fell prey to a loan risk parameter change, then a margin call.<\/p>\n

Mullin denied these theories in follow-up X posts, saying<\/a>, \u201cThe team did not have a loan outstanding\u201d and haven’t orchestrated a rug pull.\u00a0\u00a0<\/p>\n

\u201cTokens remain locked and subject to the published vesting periods. OM\u2019s tokenomics remain intact, as shared last week in our latest token report. Our token wallet addresses are online and visible,\u201d Mullin said.<\/p>\n

\"Cryptocurrencies,
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Source: <\/em>John Mullin<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

The price of OM staged a minor recovery in the aftermath of the price collapse, briefly returning above $1, but it is back down and currently trading around $0.7894, according<\/a> to CoinGecko.<\/p>\n

The token hit an all-time high of just under $9 on Feb. 23 and is now down over 91% from that figure. <\/p>\n

\"Cryptocurrencies,
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Source: <\/em>Star Xu<\/a><\/p>\n<\/figcaption><\/figure>\n

Millions of Mantra tokens moved in the week prior to collapse\u00a0<\/h2>\n

Blockchain analytics platform Spot On Chain said<\/a> in an April 14 post to X that some OM whales moved 14.27 million tokens to the crypto exchange OKX three days before the crash. In March, the same whales picked up 84.15 million OM for $564.7 million.<\/p>\n

\u201cNow, after a brutal 90% drop, their remaining 69.08 million OM is worth just $62.2 million, putting their total estimated loss at a staggering $406.3 million,\u201d Spot On Chain said.<\/p>\n

\u201cHowever, they may have hedged the position elsewhere, and it\u2019s possible they contributed to the sharp drop.\u201d<\/p>\n

\"Cryptocurrencies,
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Source: <\/em>Spot On Chain<\/em><\/a><\/p>\n<\/figcaption><\/figure>\n

At the same time, blockchain analytics platform Lookonchain said<\/a> that since April 7, at least 17 wallets deposited 43.6 million OM into crypto exchanges, representing 4.5% of the circulating supply.\u00a0<\/p>\n

Related: <\/strong><\/em>Mantra unveils $108M fund to back real-world asset tokenization, DeFi<\/strong><\/em><\/a><\/p>\n

In January 2025, Mantra and investment conglomerate DAMAC signed a $1 billion deal<\/a> to tokenize the investment conglomerate\u2019s various assets.\u00a0<\/p>\n

Meanwhile, Mantra announced on Feb. 19 that it had received a virtual asset service provider license<\/a> from Dubai\u2019s Virtual Assets Regulatory Authority.<\/p>\n

Magazine: <\/strong><\/em>Illegal arcade disguised as \u2026 a fake Bitcoin mine? Soldier scams in China: Asia Express<\/strong><\/em><\/a><\/p>\n