OM Token’s Sudden Collapse: Is There a Role for Exchanges?

Updated

April 15, 2025

Gambar OM Token’s Sudden Collapse: Is There a Role for Exchanges?

Jakarta, Pintu News – On April 13, the crypto market was shocked by the loss of billions of dollars in market value due to the price crash of the OM token, a utility token from the Mantra ecosystem. Within an hour, OM plummeted 98%, from nearly $6 to just $0.40, before recovering slightly and trading around $0.7941. The token’s market capitalization plummeted by 88.85% to $679 million.

Main Causes of Collapse

Sherpas, OMies, and broader crypto community,

First off, the team and I greatly appreciate the support that we have received over the past several hours, which we believe is a testament to the strong support MANTRA has among its investors and community.

We have determined that…
— JP Mullin (🕉, 🏘️) (@jp_mullin888) April 13, 2025

John Mullin, co-founder of Mantra, revealed that the collapse was triggered by “reckless position closures” by centralized crypto exchanges. According to him, the timing and depth of the collapse indicate a very abrupt closing of account positions without sufficient warning or notice.

Mullin added that this incident occurred during hours when market liquidity was low, which suggests negligence or even possible market manipulation by the centralized exchange. Mullin emphasized that Mantra’s team was not involved in causing this collapse.

“The MANTRA Chain Association, core advisors, or MANTRA investors who sold the tokens are not involved. The tokens are still locked and follow the published vesting period. OM Tokenomics is intact, as we shared last week in our latest token report,” Mullin said. Their token wallet address can also be viewed online.

Speculation and Community Reaction

Specifics Mullin? We are not in 2016 crypto. Which exchanges? how many accounts? what triggered the closure? blaming "them" entirely often signals PR stunt or it shows OM is run by a very unexperienced team that your whole faith is “in others hands”. Do better for the community…
— Maja (Maya) Vujinovic (@mvparadigm) April 13, 2025

Maja, a veteran in the crypto space, criticized Mullin’s non-specific accusations. “Where are the specifics, Mullin? We are not in the 2016 crypto era. Which exchanges? How many accounts? What triggered the closure? Blaming ‘them’ entirely is often a PR ploy or shows that the OM team is very inexperienced… It has to be better for the community and this space,” Maja said.

The wider crypto community has expressed similar discontent, with some users pointing out that the $OM collapse follows a familiar pattern of systemic repositioning by influential players who not only understand market mechanics, but also the trust architecture underpinning investment decision-making.

Analysis and Recovery Potential

This shit repeats. Never ends. Bunch of trapped holders hoping for recovery after founder's tweet. First time witnessing such event as a sideliner and realizing how dumb I was. Damn this space.
— Husi (@hussyshah1) April 14, 2025

Prior to the collapse, blockchain analysis firm Spot On Chain had reported unusual whale movements. Despite the chaos, a small percentage of investors saw this as potential.

Despite OM’s drastic drop in value, its trading volume increased by over 3000%, indicating a surge in token purchases at lower prices. This influx suggests that while many lost large sums, there are also those betting on OM’s recovery.

Conclusion

The OM token’s sudden collapse raises many questions about the role of centralized crypto exchanges in market dynamics. Further investigation and transparency from all parties involved will be crucial to restoring investor confidence and ensuring the stability of crypto markets in the future.

Also Read: Ripple (XRP) Movement and Potential Correction: What Crypto Investors Need to Watch Out for?

That’s the latest information about crypto news today. Get more information about crypto academy from beginner to expert level only at Pintu Academy and enrich your knowledge about the world of crypto and blockchain.

Follow us on Google News to get the latest information about crypto and blockchain technology. Enjoy an easy and secure crypto trading experience by downloading Pintu Crypto via Google Play Store or App Store now.

Experience web trading with advanced trading tools such as pro charting, various order types, and portfolio tracker only at Pintu Pro. Click Register Pintu if you don’t have an account or click Login Pintu if you are already registered.

*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Trading crypto carries high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying andselling Bitcoin and other crypto asset investments are the responsibility of the reader.