{"id":22391,"date":"2025-04-16T15:01:39","date_gmt":"2025-04-16T15:01:39","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=22391"},"modified":"2025-04-16T15:01:39","modified_gmt":"2025-04-16T15:01:39","slug":"mantra-post-om-token-crash-statement-leaves-key-questions-unanswered","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=22391","title":{"rendered":"Mantra post-OM token crash statement leaves key questions unanswered"},"content":{"rendered":"
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\"Mantra<\/p>\n

Troubled decentralized finance (DeFi) platform Mantra released an official statement addressing the reasons for a 92% flash crash of its OM token on April 13.<\/p>\n

An April 16 announcement titled \u201cStatement of Events: 13 April 2025\u201d reiterates<\/a>\u00a0that the crash did not involve\u00a0any token sales by the project itself<\/a>, and the Mantra team remains fully functional and continues investigating the incident.<\/p>\n

Although Mantra CEO John Mullin previously said that the team was preparing a post-mortem, the new statement offered few new details about the reasons behind the rapid movement of OM tokens to exchanges and the subsequent liquidation cascade.<\/p>\n

\"Mantra<\/figure>\n

Limited circulation of mainnet OM tokens<\/h2>\n

The post also reiterated that there are two types of OM tokens, with one being Ethereum-based (ERC-20<\/a>) and the other running on Mantra\u2019s mainnet.<\/p>\n

\u201cThe incident almost exclusively involved ERC-20 OM, as ERC-20 OM represents virtually the entire liquid market,\u201d Mantra said in the statement.<\/p>\n

\"Mantra<\/figure>\n

Launched in August 2020, the original ERC-20 OM token has a fixed supply of 888.8 million OM, with 99.9% of these tokens being in public circulation as of April 15.<\/p>\n

However, Mantra mainnet OM tokens had only 77.5 million in circulation after the Mantra Chain minted an equivalent amount of OM in October 2024.<\/p>\n

Mantra\u2019s conclusions<\/h2>\n

Additionally, the post mentions a divergence in OM spot prices on OKX and Binance. The discrepancy began around 6:00 pm UTC, around an hour before the OM token\u2019s crash, according<\/a> to CoinGecko.<\/p>\n

Among its conclusions, Mantra stated that further information from its exchange partners will \u201cprovide more clarity on these events, adding:<\/p>\n

\u201cWe invite our centralized exchanges partners to collaborate on providing more clarity on trading activities during this time.\u201d<\/p><\/blockquote>\n

The Mantra team confirmed that it is preparing a support plan for OM that includes both a token buyback and a supply burn. No timeline for the rollout of this plan was provided.<\/p>\n

Related: <\/strong><\/em>Mantra CEO plans to burn team\u2019s tokens in bid to win community trust<\/strong><\/em><\/a><\/p>\n

As previously reported by Cointelegraph, OKX CEO Star Xu called Mantra<\/a> a \u201cbig scandal\u201d in a post published hours following the crash. Mantra CEO Mullin also said Binance is the biggest holder<\/a> of the OM token, citing Etherscan records<\/a>.<\/p>\n

Cointelegraph contacted the Mantra team for further comment on the April 16 statement but did not receive a response by publication time.<\/p>\n

Magazine: <\/strong><\/em>Memecoins are ded \u2014 But Solana \u2018100x better\u2019 despite revenue plunge<\/strong><\/em><\/a><\/p>\n