Mantra DAO to Burn $160M in OM Tokens, Half of Which Comes from Founder, Amid 90% Price Drop

Mantra DAO (OM) is executing a significant token burn strategy to restore investor confidence after a catastrophic price collapse. On April 13, 2025, OM's value plummeted over 90% within an hour, erasing approximately $5.5 billion from its market capitalization.

In response, CEO John Patrick Mullin has initiated the unstaking of 150 million OM tokens, valued at around $82 million, with plans to burn them by April 29. Additionally, discussions are underway with ecosystem partners to burn an extra 150 million tokens, aiming to reduce the total supply by 300 million OM tokens.

This move follows a series of burns, including 21.229 million OM tokens worth $132 million on April 2, bringing the total tokens burned to over 84 million, valued at approximately $524 million. Despite these efforts, the project's reputation has been marred by allegations of insider trading and market manipulation, with accusations directed at a group known as the "Kabal team" for executing a massive token dump.

The OM token's price remains volatile, currently trading at $0.534066, reflecting ongoing market skepticism . While the token burn strategy aims to enhance scarcity and potentially increase staking returns, the project's ability to regain investor trust and recover its market position remains uncertain.