MANTRA CEO Burns 150M OM Tokens in Major Deflationary Move
A bold strategy to restore trust after token crash aims to permanently remove 300M OM from circulation and boost staking incentives.
In a significant move towards restoring community trust and stabilizing its token economy, John Patrick Mullin, founder and CEO of MANTRA, has initiated the permanent burn of his entire 150 million OM token allocation. The action, which follows through on a commitment made last week, is a strategic step to reinforce transparency after OM's dramatic price crash on April 13, 2025.
“This is about accountability, community, and a long-term vision for a decentralized financial future,” Mullin stated in a recent blog post.
Strategic Token Burn: Details and Execution
According to official project communications, the unstaking process began earlier this week and is scheduled to complete by April 29, 2025. These tokens were initially staked during MANTRA Chain’s mainnet launch in October 2024 to help secure the network infrastructure.
Once the process concludes, the tokens will be permanently sent to the burn address:
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This move will reduce total OM supply from 1.82 billion to 1.67 billion tokens.
To ensure transparency, three transaction hashes related to the unstaking have been publicly shared, enabling full onchain verification of the process. Upon final confirmation, MANTRA has promised to publish a detailed burn verification report.
Crash Aftermath and Industry Scrutiny
The token burn follows a devastating flash crash on April 13, during which OM lost over 90% of its value within one hour, wiping approximately $6 billion off its market cap. The sell-off was reportedly triggered by a $40 million token deposit into OKX by a wallet allegedly tied to the team, leading to widespread speculation and panic.
Concerns around insider selling, airdrop delays, and excessive token concentration fueled mass liquidations across exchanges. While the burn has been welcomed as a gesture of goodwill, OM’s price remains volatile, still over 90% down from its pre-crash value.
Toward a 300 Million OM Burn Goal
In addition to Mullin’s individual burn, the MANTRA team is in active discussions with ecosystem partners to coordinate a second burn of an additional 150 million OM.
If successful, the combined 300 million OM token burn will further reduce the total supply to 1.52 billion, with a market impact estimated at $174 million at current prices.
This would mark one of the most aggressive deflationary measures in the crypto space this year.
For full details, read the official MANTRA announcement.
Impact on Staking and Tokenomics
The burn will reduce staked OM tokens from 571.8 million to 421.8 million, leading to a decrease in MANTRA Chain’s bonded ratio from 31.47% to 25.30%.
This shift will increase onchain staking APRs, providing enhanced incentives for long-term participants and reinforcing the platform’s decentralized finance goals.
Once the second phase of the burn is confirmed, the token supply will reflect a notable shift in OM’s tokenomics, aiming to align with the broader industry trend toward transparent and deflationary mechanics.
