Following the shocking 92% price crash of the OM token on April 13, the MANTRA team has released an official statement addressing community concerns and clarifying key points:
1. No Insider Dumping:
The MANTRA team firmly denies any involvement in the sell-off. According to them, no tokens belonging to team members or advisors were sold during the event—all remain securely locked.
2. Sell-Off Originated from ERC-20 Holders:
The sharp decline stemmed from the legacy ERC-20 version of OM, fully distributed to the public since 2020 and held by over 123,000 wallets. These tokens are no longer controlled by the MANTRA team.
3. What Triggered the Crash?
The team attributes the crash to OM tokens used as collateral on exchanges. During a low-liquidity period (around 2am HKT), falling prices caused positions to be forcibly liquidated.
This created a domino effect:
Initial liquidations pushed prices lower
This triggered further liquidations
Resulted in a rapid, self-reinforcing downward spiral
4. Limited Impact from New OM Token on MANTRA Chain:
Only a small portion of the new OM supply (on MANTRA Chain) was involved. Around 53% of the total 1.81 billion OM tokens are in circulation—92% of which are ERC-20, indicating that the crash was largely limited to the older version.
Next Steps:
MANTRA has committed to ongoing investigation and increased transparency. While this statement sheds light on the situation, questions remain. Can OM recover from this? Time will tell.
Reminder: Always do your own research and manage risk wisely in volatile markets.
