On April 14, the founder of MANTRA responded to the OM crash incident on social media, stating that this market imbalance was not caused by the team, MANTRA Chain Association, its core advisors, or MANTRA's investors selling tokens, nor was it due to Binance; it was caused by improper forced liquidations by other CEXs. The full response is as follows:
First of all, the team and I would like to express our gratitude for the support we have received in the past few hours, which demonstrates that MANTRA has a strong support base among its investors and community.
We have identified that the volatility in the OM market was triggered by improper forced liquidations imposed by centralized exchanges on OM account holders. The timing and depth of the crash indicate that the exchange abruptly initiated position liquidations without sufficient warning or notification.
This event occurred during low liquidity hours on Sunday evening UTC (early morning Asia), indicating at least negligence on the part of the exchange, and possibly intentional market manipulation.
Centralized exchange partners play a crucial role in providing liquidity for projects like ours. While we work closely with them, they still exercise a significant degree of discretion. When this discretion is exercised without appropriate internal and external oversight, market imbalances like the recent one can occur, harming both the project and the investors.
It needs to be clarified that this market imbalance was not caused by the team, MANTRA Chain Association, its core advisors, or MANTRA's investors selling tokens. The tokens remain locked and follow the announced unlocking schedule. As we shared in our latest token report last week, the tokenomics of OM remains unchanged. Our token wallet addresses are online and visible.
MANTRA is a project that has experienced multiple market cycles and continues to operate. While other projects have stopped building, we are still moving forward. This time is no exception. Our recent series of announcements shows this—from becoming the first decentralized finance protocol licensed by Dubai VARA to various integrations and plans that will expand and strengthen our ecosystem, we remain committed to serving the community and will persist in the long term.
In the coming hours, we will hold a community connection event on platform X to further discuss these events. Please do not click on any scam links or accounts claiming to be related to MANTRA. All official communications will only be published through my personal account or MANTRA's main X account.