Why Did Mantra ($OM ) Crash? Allegations of Massive Token Dump Spark Crypto Scandal

From 5 dollar to 0.5

In a devastating blow to investors, Mantra (OM) has seen its token price collapse by over 90% in the past 24 hours, plunging to $0.58. The crash has wiped out an estimated $3.5 to $4.5 billion in market capitalization, sending shockwaves through the cryptocurrency community.

Allegations of Team Dumping Trigger Market Collaps

According to multiple reports circulating on social media, the crash was allegedly caused by the Mantra project team dumping their token allocation, which is said to have made up around 90% of the circulating supply. These claims, if true, suggest a deliberate and large-scale sell-off by insiders.

Further fueling concerns, users report that the official Mantra Telegram group has been deleted, cutting off a key channel of communication during the crisis. This has left many investors in the dark, sparking outrage and calls for accountability.

"One of the Biggest Scams in Crypto"?

Crypto analysts and community members are calling this event one of the most significant scandals in recent memory. Some are comparing it to the Terra Luna collapse, dubbing it “Terra $LUNA V.2” due to the magnitude of value lost and the speed at which it unfolded.

Allegations are emerging that the team manipulated token prices and controlled the supply to enable over-the-counter (OTC) sales at inflated prices. These actions, if verified, could constitute market manipulation and investor fraud.

The swift and unannounced nature of the dump, which reportedly unfolded in under an hour, has left thousands of investors unable to react in time. Furious community members are now calling for investigations and legal action, with some demanding that the team behind Mantra be held criminally responsible.

As the crypto world reels from this collapse, investors are demanding transparency and answers. For many, the incident serves as a sobering reminder of the risks still present in the decentralized finance space.