MANTRA co-founder John Patrick Mullin has proposed a comprehensive overhaul of the OM token’s economics following the project’s severe token price collapse in April 2025, which wiped out over 85–90% of OM’s market value within about an hour and erased more than $5–6 billion in capitalization. The crash was widely linked to a combination of prior tokenomics changes that increased circulating supply and inflation, aggressive leverage and liquidation dynamics on centralized exchanges, and large transfers of OM to trading platforms by major holders. In the immediate aftermath, Mantra insisted that team, advisor, and investor tokens remained locked under existing vesting schedules and that no internal party sold during the crash, while blaming “reckless forced closures” of leveraged positions on exchanges during low-liquidity hours for triggering the cascade. Against this backdrop, Mullin is now calling for a “total tokenomics refresh” that keeps all existing OM allocation percentages intact but revisits core parameters such as vesting, emissions, and inflation in an effort to restore confidence and better align long‑term incentives. This push comes alongside broader restructuring and decentralization measures, including a live tokenomics dashboard, public wallet tracking, and an accelerated plan to reduce internal validators and onboard more external partners, aimed at making governance and risk management more transparent. The revamped tokenomics framework is expected to be put to a community governance vote around Christmas, positioning holders to directly decide how OM’s supply schedule and unlock dynamics should evolve after one of the Real‑World Asset sector’s most visible breakdowns.

AI-generated background, compiled from web sources — not editorial content.

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