Mantra CEO Plans to Burn 300 Million Team Tokens to Restore Community Trust

Jakarta, Pintu News – A drastic step was taken by Mantra’s CEO, John Mullin, following the sudden collapse of Mantra’s token price on April 13, 2025. In a bid to restore community and investor confidence, Mullin announced his intention to burn the team’s entire token allocation – a total of 300 million OM. The move is in the spotlight as it involves nearly 17% of the total token supply and reflects an extraordinary effort in addressing the crisis of confidence in the cryptocurrency world.

Chronology of OM Token Price Crash

OM tokens were previously trading at around USD 6.30, but experienced a sharp drop to a low of USD 0.52, wiping more than USD 5.5 billion off its market capitalization. The drop was triggered by a series of massive liquidations across exchanges, including OKX and Binance, both of which denied involvement in market manipulation.

Despite rumors that Mantra’s team controlled 90% of OM’s total supply, the company denied these allegations. They stated that the main cause of the downfall was “reckless liquidation” and not the actions of the internal team. This worsened the market perception, which in turn triggered a drastic response from the CEO.

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Token Burning Plan and Community Response

The tokens planned to be burned have a value of approximately USD 236 million or the equivalent of Rp3.96 trillion at the current price (USD 0.78). The tokens were previously allocated to the team and core contributors, and were scheduled to be locked until the period between April 2027 and October 2029. With this decision, John Mullin hopes that the community can objectively reassess his future contributions.

Some communities have welcomed this initiative as a form of accountability and commitment. However, there were also some critics, such as Crypto Banter founder Ran Neuner, who mentioned that long-term incentive burning could damage the team’s spirit in building the project. To accommodate the various views, Mullin suggested that the final decision of token burning be done through a decentralized voting mechanism.

Recovery Strategy and Use of Ecosystem Funds

Mantra has set up an ecosystem fund of USD 109 million (approximately IDR 1.83 trillion) that is planned to be used for buybacks and additional token burns to stabilize prices. This is part of a post-crisis recovery strategy aimed at reducing supply pressure and strengthening the value of OM tokens in the market.

In an interview with Cointelegraph, Mullin also promised to publish an official statement (post-mortem) that transparently explains the cause of the price crash. This is done as a form of responsibility and a first step to rebuilding the trust that has been eroded among users and investors.

Challenges and Expectations for the Mantra Project Going Forward

The Mantra project focuses onreal-world asset tokenization, an emerging sector in the cryptocurrency ecosystem. However, falling prices and concerns over transparency have cast doubt on the viability of the project.

If the token burn does take place and stabilization measures are successfully executed, Mantra has a chance to turn things around and regain support from the market. However, the main challenge remains how to maintain team morale in the absence of token incentives, as well as proving that the project structure is capable of weathering a long-term crisis.

Conclusion

John Mullin’s move to burn the team’s 300 million tokens is a response rarely seen in the cryptocurrency world. Despite the pros and cons, it shows the seriousness of restoring Mantra’s reputation and stability. The success of this strategy relies heavily on continued transparency and strong community support in the face of difficult times.

Also Read: XRP: Key to the Future of Global Financial Infrastructure

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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.

Reference:

• Cointelegraph. Mantra CEO to Burn 300 Million Team Tokens. Accessed April 16, 2025.
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