MANTRA burns 150 million OM tokens on April 29 as part of a strategic recovery plan. This move aims to reduce the total supply, increase staking APR, and restore investor confidence after OM’s dramatic collapse last week.
The burned tokens were originally allocated to the core team and contributors during the October 2024 mainnet launch. They have been staked to secure the network and are now in the process of being unstaked. Once unstaking completes on April 29.
What Is MANTRA?
MANTRA is a Layer 1 blockchain purpose-built for real world asset (RWA) tokenization. Powered by the Cosmos SDK, MANTRA bridges traditional finance with decentralized infrastructure. The platform enables compliant tokenization of assets like real estate, commodities, and securities.
As a permissionless network, MANTRA provides developers and institutions with advanced compliance tools, modular architecture, and cross-chain capabilities. These features position it as a foundational player in the future of decentralized finance.
MANTRA also holds a VASP license issued by the Dubai Virtual Asset Regulatory Authority (VARA). This allows the protocol to operate as a regulated exchange, broker, and investment manager in the virtual asset space.
Backed by partnerships with Google Cloud and DAMAC Group, MANTRA was once ranked among the top five RWA protocols before its token’s sharp downturn. A $109 million ecosystem fund—supported by Laser Digital and Shorooq Investors—further fuels its mission to onboard tokenization projects and expand its utility.
MANTRA Launches 150 Million OM Token Burn
In a bold step toward transparency and recovery, MANTRA has confirmed a 150 million OM token burn set for April 29. The announcement came from CEO and founder John Patrick Mullin following OM’s shocking price crash just a week earlier.
This burn targets OM tokens previously allocated to MANTRA’s team and core contributors. These tokens were staked for network security after the project’s mainnet launched in October 2024. Unstaking is already in progress and will complete before the burn date.
All 150 million OM will be sent directly to the burn address:
mantra1qqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqqcg2my8.
On-Chain Verification Ensures Transparency
The MANTRA team emphasized verifiability. Community members can monitor token movements and unstaking activity using these three public wallet addresses:
- CE0E166DED4F267B22F16D011A7F511FFDDB4AADB31A2FE6A0E6E81690E339AA
- DFB6C3DDFFDC09B9B2A16175401D8B7DB81C79C774203E17859694FA9D8C79C5
- 7D056D17F2A57A27E807FB9F12E739B24306FC7B8B651B27622A022EC18EFD5D
After the burn, OM’s total supply will drop from 1.82 billion to 1.67 billion. The amount of staked OM will fall from 571.8 million to 421.8 million. As a result, the bonded ratio will decrease from 31.47% to 25.30%, increasing the staking APR for OM holders.
Community Support and Potential Second Burn
The initial burn is only the beginning. MANTRA is in talks with ecosystem partners to burn an additional 150 million OM. If approved, the total burn could reach 300 million OM, or roughly 16.5% of the total supply.
This aggressive deflationary strategy aligns with the community’s wishes. A poll conducted by Mullin on X (formerly Twitter) showed 81% of over 8,000 respondents supported immediate burning of team tokens.
OM Token Price Crashed Over 90% in One Day
On April 13, the OM token suffered one of the most dramatic collapses in recent DeFi history. The token plummeted over 90% in just a few hours, erasing more than $5 billion in market value. The event sent shockwaves through the crypto community.
While some accused the project of internal manipulation, MANTRA’s CEO blamed the crash on reckless liquidations from centralized exchanges. He denied allegations of a rug pull and insisted the team had not sold any tokens during the crisis.
However, data from Arkham Intelligence revealed that 43.6 million OM—worth approximately $227 million—had been moved to exchanges prior to the collapse. This discovery intensified community skepticism and triggered widespread backlash.
Rebuilding Trust Through On-Chain Action
In response, the MANTRA team opted for immediate action. By burning $82 million worth of OM tokens allocated to themselves, they aim to demonstrate their commitment to transparency, accountability, and long-term growth.
The move marks a strategic shift. Instead of defensive public statements, MANTRA is taking on-chain measures to stabilize its tokenomics and prove its integrity.
Still, the decision has its critics. Crypto Banter founder Ran Neuner argued that removing team incentives could harm future project motivation and delivery. While the token briefly surged on burn news, it soon dropped 3%, with current price hovering near $0.52.
What’s Next for MANTRA?
Despite the turbulence, MANTRA’s roadmap remains ambitious. Its $109 million fund will help stabilize OM’s value, fund protocol development, and support third-party tokenization projects. The team also plans to leverage institutional relationships to regain momentum.
As a licensed, regulation-compliant Layer 1 chain for RWA tokenization, MANTRA continues to occupy a niche few others can fill. If it can recover community trust and follow through with promised burns, it may still reclaim its leadership spot in the RWA sector.
