Following the sharp decline of its OM token earlier this month, Mantra—a platform focused on tokenizing real-world assets—is preparing to burn up to 16.5% of its total token supply. The initiative, valued at approximately $160 million, is aimed at revitalizing staking incentives and regaining investor confidence.
The proposal involves burning 300 million OM tokens from the current 1.8 billion supply, lowering the bonded ratio from 31.47% to 25.30%. A confirmed portion of 150 million tokens, worth around $80 million, belongs to Mantra founder John Patrick Mullin. The rest comes from “ecosystem partners,” though specific identities weren’t disclosed in Monday’s update.
These tokens are part of Mullin's original team allocation and have been staked since Mantra’s network launch in October 2024. The burn process, requiring unstaking, has already started and will be completed by April 29 when the tokens are sent to the burn address.
"The process of unstaking 150 million tokens from the Team and Core Contributor bucket has now begun," the Mantra team confirmed.
This move follows OM’s devastating 90% price drop on April 13, which wiped out over $5 billion in market cap within hours. Exchanges attributed the crash to “reckless liquidations,” as panic spread among investors.
Mantra allows users to digitize and invest in real-world assets such as real estate and commodities. Its OM token powers transactions and governance on the network.
Earlier this year, Mantra joined forces with the UAE’s DAMAC Group to tokenize $1 billion worth of assets, including properties and data centers—a move that initially sent OM prices soaring over 400% in 2024.
Despite the token burn announcement, OM has slipped 3.3% in the last 24 hours, signaling ongoing concerns about investor trust.
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