MANTRA announces the burning of 150 million OM – The plan to reduce supply and officially increase staking yield is launched
After a shocking plunge that caused the OM token to 'evaporate' over 90% within a month and a 15-for-1 split in just 2 hours, MANTRA – a Layer-1 blockchain dedicated to Real World Assets (RWA) – announced a decisive step to soothe the community: burning all 150 million OM allocated for the development team, expected to be completed by 29/04/2025.
This move not only demonstrates a commitment to transparency but also an effort to promote sustainable ecosystem development and create new growth incentives for the investor community.
🔥 Details of the token burn process
Amount of tokens burned: 150 million OM
Token origin: Allocation for the Team & Core Contributors
Current status: Tokens are in the process of unstaking since the mainnet in October 2024
Completion date for unstaking and burning: 29/04/2025
On-chain burn address: mantra1qqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqcg2my8
#MANTRA indicates that all unstaking and burning activities will be conducted openly and transparently. Users can track the progress through 3 verified wallet addresses on the blockchain:
CE0E166DED4F267B22F16D011A7F511FFDDB4AADB31A2FE6A0E6E81690E339AA
DFB6C3DDFFDC09B9B2A16175401D8B7DB81C79C774203E17859694FA9D8C79C5
7D056D17F2A57A27E807FB9F12E739B24306FC7B8B651B27622A022EC18EFD5D
Direct impact on the system
After burning 150 million $OM , MANTRA's total supply will sharply decrease from 1.82 billion to 1.67 billion tokens. At the same time, the amount of OM being staked on the network will also decrease from 571.8 million to 421.8 million OM. This will result in the bonded staking ratio (i.e., the ratio of locked tokens to total supply) dropping from 31.47% to 25.30%.
The decrease in the bonded ratio directly affects the ecosystem: as staking rewards will be shared among fewer people, the APR (Annual Percentage Rate) across the network will increase. This creates a strong incentive for users to continue staking OM, contributing to network security and maintaining blockchain stability. In the long term, this adjustment makes MANTRA more attractive to both old and new investors.
🔄 Can another 150 million OM be burned?
MANTRA reveals it is in discussions with key partners in the ecosystem about the possibility of burning an additional 150 million OM. If approved, the total amount of tokens burned will reach 300 million OM – a significant number, equivalent to nearly 17% of the current total supply.
This will be a strong catalyst for regaining investor trust, while also laying the foundation for the long-term recovery of the MANTRA ecosystem.
⚙️ What is MANTRA Chain?
MANTRA is a Layer-1 blockchain aimed at tokenizing real-world assets (RWA) with a legal compliance mechanism built-in from the core. This platform provides:
Modern technology modules
Cross-chain interoperability features
Permissionless mechanism friendly to both developers and financial institutions
MANTRA currently holds a VASP license issued by the Dubai Virtual Assets Regulatory Authority (VARA), allowing it to operate as:
Virtual asset exchange
Brokerage services
Investment management services
📉 OM price has not recovered
Although the news of token burning may have a positive connotation, the price of OM has yet to show a significant recovery, currently trading around 0.58 USD, down about 17% in the last 7 days and has 'vanished' more than 90% in the past month.
This lack of volatility may reflect cautious sentiment from investors following the recent 15-for-1 split of OM. However, if the token burn goes smoothly and staking APR improves significantly, trust in MANTRA may soon be restored.
📌 Contact with the crypto market in general
In the context of many crypto projects seeking to reduce supply to support token prices, MANTRA's proactive burning of hundreds of millions of OM could serve as a prime example of a supply-demand balancing strategy.
If the results are positive, Binance users who are staking or monitoring RWA projects may consider MANTRA as a noteworthy option in their long-term investment portfolio, especially as APR increases and community trust is restored.
⚠️ Risk warning
The cryptocurrency market always carries high risks and is not suitable for all investors. All investment decisions should be based on thorough personal research. Always be cautious with price fluctuations and policies from the project.