Mantra Plans to Burn $160 Million in OM Tokens After Price Crash
Mantra, a platform for real-world asset tokenization, plans to burn up to 16.5% of its total supply (300 million OM tokens) valued at approximately $160 million to enhance staking rewards after discussions with partners.
- The bonded ratio will decrease from 31.47% to 25.30%.
- 150 million OM tokens, worth about $80 million, belong to founder John Patrick Mullin and are part of his staked allocation since October 2024.
- The burn process requires unstaking and will conclude by April 29.
- The OM token experienced a 90% price drop on April 13, resulting in over $5 billion loss in market value, attributed to "reckless liquidations" by exchanges.
- Mantra's platform enables tokenization of real estate and commodities for compliant investments.
- In January, Mantra partnered with DAMAC Group to tokenize $1 billion in assets, boosting the OM token's value.
- Despite the burn announcement, OM's price fell by 3.3% in the last 24 hours, reflecting decreased investor confidence.