$OM In just 30 minutes, the price collapsed by more than 90%. Some people lost about 15 million US dollars. It can be called the LUNA of this cycle. Last month, we were still discussing whether to short OM in the group. We didn’t expect the collapse to come so quickly. So how did all this happen? I read @AltCryptoGems’ post and found out, so I will try to translate this post as briefly as possible and what lessons we need to learn from it.

1/ First of all, OM is in the RWA track. I believe that those who have been in the circle in the past year have more or less heard of RWA, and OM can be called the god coin in the past year. The price has risen from about $0.03 in 2023 to $9 on February 23, 2025, an astonishing increase of 300 times!

2/ So why did it suddenly collapse?
Because a wallet said to be connected to the @MANTRA_Chain team suddenly deposited 3.9 million OM tokens on the OKX exchange.
This has attracted widespread attention from the community. Often, a sudden deposit of a large amount of a project's tokens on an exchange is a precursor to a decline.
Moreover, the team is said to control 90% of the supply of OM tokens, which can also explain why it can be pulled so strongly.

3/ There has actually been a trust issue in the community over the past year.
for example:
The team has allegedly been using market makers to artificially keep prices up.
The team has also quietly changed the token’s economic model.
The team has also been delaying the promised community airdrop.
All of the above has put the community in a state of tension.

4/ So when a large number of OM tokens were recharged to OKX, smart people had already started selling and people were generally worried.
They are right to worry.
The collapse began soon after.

5/ What’s worse is that the OM team is said to have done over-the-counter transactions and sold OM to investors at a 50% discount to the market price, or even lower!

6/ So when the price dropped by more than 50%, even OTC traders started to lose money and started to sell as well, which eventually triggered a domino effect.
Price drop
Panic selling
Leverage is liquidated
Continue to fall
The final drop reached 90%!

7/ OM is a replica of Luna, and its market value evaporated by more than 5.5 billion US dollars in 30 minutes!
Anyone who has experienced the collapse of Luna will probably understand it well. It was a doomsday scene. Countless Korean investors suffered huge losses, and some even jumped off buildings!
What impressed me most was a news report that a Korean investor put all his fortune on $Luna. After the crash, he shot his wife and children, and then committed suicide.

8/ What lessons have we learned from this? (This is Bluestar’s thinking)
1. If a copycat coin reaches about 10 billion yuan in market value and has increased by hundreds of times in the exchange, don’t buy it! Because there is not much room for upward movement!
2. Before buying any coin, especially when you want to make a large position, do research first, and even consult people you approve of. Several of my friends lost millions on copycats and millions on AI memes because they didn’t do in-depth research!
3. Be skeptical of any project party. All project parties have motives to do evil! It’s just a matter of whether the benefits are big enough! Especially when the project party refuses to make a promise, be careful!
4. You must place the stop-profit and stop-loss orders in advance! Some people must have made a lot of money on OM, but if you don’t take good protection, it’s all in vain. On the contrary, if you place a stop-loss order and stop loss at a loss of 20%, you won’t wake up and find that the loss is more than 90%!

9/ If you think this translated post is helpful for you to understand the ins and outs of the OM collapse, please like, forward and comment on it. I hope you are not on the sinking ship of OM. I also wish all the bosses who like, forward and comment on it will make a fortune in 2025.