CEO John Patrick Mullin Outlines Strategy Following OM Token Collapse
In the wake of a dramatic market crash that saw Mantra (OM) plummet from $6.30 to below $0.50 — wiping out over $5.5 billion in market capitalization — CEO John Patrick Mullin has proposed a bold measure to rebuild investor trust: burning his personal allocation of OM tokens.
The proposal follows a notable rebound in the token’s price, which has surged 30% in the past 24 hours, signaling early signs of recovery and renewed market interest.
Radical Move: Burning Team Tokens
In a post shared on X (formerly Twitter), Mullin announced his intention to burn his team tokens to demonstrate long-term commitment and accountability.
> “I’m planning to burn all of my team tokens, and when we turn it around, the community and investors can decide if I have earned it back,” he wrote.
According to Mullin, the team’s allocation includes 300 million OM tokens, representing 16.88% of the 1.78 billion total supply. These tokens are currently locked under a vesting schedule, with the cliff period ending in April 2027 and full vesting to complete by October 2029.
Initially, the burn would apply only to Mullin’s personal share, currently totaling 772,000 OM tokens. He added that he is also considering reallocating the tokens to a community-controlled dispersal mechanism as an alternative approach.
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Industry Reactions: Is a Token Burn the Right Move?
While some praised the gesture, others expressed concern. Crypto Banter founder Ran Neuner cautioned against the plan, arguing that team incentives are critical for motivation.
> “This would be a mistake. We want teams that are highly incentivized. Burning the incentive may seem like a good gesture but it will hurt the team motivation long term,” Neuner stated.
Instead, he suggested that rebuilding the project and delivering real value would more effectively restore confidence.
Mullin acknowledged the concerns but stood by his proposal, clarifying that any broader decisions would involve community input and transparency.
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Upcoming Initiatives and Transparency Commitments
To further bolster trust, Mullin revealed that Mantra will soon publish a comprehensive post-mortem report detailing the causes behind the crash. In addition, the team plans to announce a token buyback and supply burn initiative following the report’s release.
Responding to allegations of a pump-and-dump scheme, Mullin strongly denied any wrongdoing. He stated that no team-held tokens have been sold, and all allocations remain locked as previously disclosed in a transparency report.
> “We don’t have leverage positions on exchanges. We don’t do that,” Mullin said in a recent interview.
He also confirmed that the Mantra Chain Association conducted over-the-counter (OTC) agreements totaling $25–$30 million to fund business operations, but emphasized that these tokens remain locked and vesting has not begun.
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OM Token Price Recovery
Despite the recent controversy, OM’s price has shown resilience. According to BeInCrypto, the token has rallied by 30% in the last 24 hours, reaching $0.78 at press time.
While it remains far from its all-time high, the recovery offers a glimmer of hope that investor sentiment may be stabilizing — especially if the project delivers on its promises of transparency and accountability in the coming weeks.
Conclusion
Mantra’s CEO is taking decisive steps to regain trust following one of the most significant crashes in the platform’s history. Whether the proposed token burn and forthcoming initiatives will be enough to restore confidence remains to be seen — but early market reactions suggest the community is at least willing to listen.
