Mantra CEO Promises To Destroy Team Tokens Following OM Coin Crash To Regain Community Confidence
John Mullin, the CEO of the distributed record initiative Mantra, has committed to incinerating the entire crypto token allocation belonging to the team in an effort to restore trust within the community after the significant drop of the Mantra (OM) coin on April 13.
In a message shared on X on April 16, Mullin stated, “I’m intending to burn all of my team tokens, and when we recover, the community and investors can determine if I have earned them back.”
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Mantra Set Aside 300 Million OM Tokens for Team and Key Contributors
Mantra had earlier designated 300 million OM tokens—approximately 16.88% of its total supply of about 1.78 billion—for its team and essential contributors.
These tokens, presently valued at roughly $236 million based on the current price of OM at $0.78, were initially locked and set for distribution between April 2027 and October 2029. Before the crash, their worth was approximated at $1.89 billion.
OM’s value fell drastically from around $6.30 to as low as $0.52, resulting in a loss of over $5.5 billion in market valuation, according to CoinGecko.
While some community members commended Mullin’s action as a courageous expression of accountability, others voiced concerns that it could diminish the team’s long-term motivation to develop the real-world asset tokenization platform.
Crypto Banter founder Ran Neuner criticized the action, declaring, “Burning the incentive may appear to be a commendable gesture but it will adversely affect the team’s motivation in the long run.”
Mullin proposed that a decentralized community vote might eventually determine the destiny of the 300 million team tokens.
This would be a misstep. We need teams that are well incentivized. Burning the incentive may look like a nice gesture but it will impact team motivation negatively over time.
My recommendation;
Just continue building.
— Ran Neuner (@cryptomanran) April 15, 2025
Following the crash, Mullin noted that the Mantra team is already developing recovery strategies, including utilizing its $109 million Mantra Ecosystem Fund for possible OM buybacks and crypto token burns.
Mantra has categorically refuted allegations of insider trading or holding 90% of OM’s token supply. The project blamed the crash on “reckless liquidations,” not any actions taken by the team.
The exchanges OKX and Binance, where the majority of OM trading took place before the downturn, also denied any wrongdoing. They attributed the issues to an October tokenomics revision and extreme price fluctuations that prompted the large cross-exchange liquidations that occurred on April 13.
Binance is aware that $OM, the native crypto token of MANTRA, has undergone significant price fluctuations. Our preliminary findings suggest that the events from the past day stem from cross-exchange liquidations.
Since October of last year, Binance has enacted multiple…
— Binance Customer Price floor (@BinanceHelpDesk) April 14, 2025
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Mantra’s Collapse Stimulates New Concerns Regarding Decentralized finance Hype and Transparency
The abrupt downfall of Mantra (OM) on April 13, which obliterated 90% of its value and lost $6 billion in trading market capitalization, has rekindled discussions surrounding trust, governance, and sustainability within the decentralized finance (Decentralized finance) arena.
The crash transpired without any verified hacks or security violations, shaking confidence in hype-driven Decentralized finance initiatives.
Mantra, once ranked among the top five Real World Asset (RWA) protocols with ambitious objectives to tokenize tangible assets, experienced its coin plummet from over $6 to $0.40 within a single day.
“Transparency is a term that can be used liberally – especially in this sector. But I’m going to invoke it. We will do everything possible to provide accurate, prompt information as soon as it’s available and verified. This is a duty to our community we… https://t.co/B3pJyPaOwm
— MANTRA | Tokenizing RWAs (@MANTRA_Chain) April 15, 2025
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Key Takeaways
- Mantra CEO John Mullin committed to incinerating the team’s 300 million OM tokens in order to regain the community’s confidence following the sudden collapse.
- The coin crash resulted in a loss of over $5.5 billion in value, provoking worries about hype-driven Decentralized finance projects and the transparency of governance.
- Mantra refutes claims of insider trading and is formulating recovery strategies, including potential buybacks from its $109 million ecosystem fund.
The post Mantra CEO Vows To Burn Team Tokens After OM Crypto token Collapse To Earn Back Community Trust appeared first on 99Bitcoins.
