On April 13, 2025, the crypto world attended another brutal token crash while OM, the token fueling the Mantra Rwas ecosystem, dropped by 90%, annihilating more than $ 5 billion of market value and causing many investors. Although the CEO of Mantra, John Patrício Mullin, attributed the accident to “massive forced liquidations” of large OM positions on centralized exchanges.
The sudden dive of the tokens has left investors and experts rushing to give meaning to the situation, even if no operating or hacking report has been confirmed.
Has the collapse of Mantra been a coincidence or a perfectly staged dumping ground?
The mantra was designed as a layer 1 blockchain focused on filling Tradfi and challenge through real assets (RWAS) such as obligations and real estate. His utility token, OM, was used for gas, governance, jalitude and access to Rwas to Tokenized. The recent token sale started during low liquidity negotiation hours and accelerated quickly due to a liquidation chain of lever -effects. In a few hours, OM went unexpectedly from $ 6.3 to $ 0.5.
However, the signs of cracks and fragility in the project have already surfaced for months. The Mantra team had faced charges to lack transparency in their community project management. The team would have had access to more than 90% of the tokens supply, made various over -the -counter offers to sell tokens to investors at reduced prices and have repeatedly changed their distribution plans and their allocation for token tasks to their users.
The data on the chain also revealed that between April 7 and the time of the accident, approximately 17 portfolios discharged 43.6 million OM (approximately $ 227 million) in Binance and OKX, which represented approximately 4.5% of the total token supply in circulation. As the sales pressure significantly exceeded the purchase pressure of this period, the wave of sales sparked a liquidation cascade due to illiquidity, with more than $ 71 million in OM positions liquidated in a few minutes.
Binance had also issued pop-ups of suspicious activity to its users of spot, because the tokenomics of Mantra had undergone substantial modifications, which has increased its supply in recent months. These developments have raised suspicions of strategic dumping and not forced liquidations as a cause of sales to many users.
Mantra collapse against terra
The collapse of the 2025 mantra had striking similarities with the collapse of Luna de Terra in 2022. Many chain speculation, a rapid spiral of slowing down prices and suspicious team activities. However, the OM case seemed different because it has always positioned itself as a blockchain focused on compliance and focused on RWA. With tokenized real estate, the DEFI tools lined up by KYC and the infrastructure targeting regulatory integration, OM had acquired a reputation for one of the most credible tokens in the RWA space and reached a summit of all time of $ 9.04 in February 2025. The centralized OM offer and the thin liquidity were probably the reason for the accident and this situation left a breach of the breach of investors RWA industry.
Tracy Jin, the COO of Mexc, stressed that this Crash OM can resemble the Died-Vu for anyone who experienced Luna's collapse.
“The opacity and concentration of assets in the hands of a limited number of people have led to a disaster. No sudden catalyst, no major operator, low liquidity and a domino of forced liquidations. Especially when more recent tokens start to puncture their weight. What makes OM different is a bit institutional. Billion Partnership Witchac, and a story around regulatory compliance gave OM an air of legitimacy, “
The implications for the Rwa \ the Crash OM industry arrives at a time when Rwas's tokenization is gaining momentum as a safer alternative to traditional obligations, with tozazized gold exceeding a market capitalization of 2 billion dollars and a total locked value of Rwas struck a record of $ 11 billion in Q1 of 2025 AMID Increased commercial volatility triggered by geopolitics. Many considered the mantra as a leader in this emerging space, which makes OM's collapse a reputation for Rwa's broader story.
“The biggest problem is confidence. When a token, this high level rushes without a clearly smoking pistol, the collaboration of the community remained together of conspiracy threads from data on the chain. OM collapse is an alarm clock for the institution. The RWA approach itself, ”added Tracy Jin.
For investors and manufacturers, OM collapse is a reminder that institutional polishing and compliance wraps cannot replace transparency and decentralization as the main requirements for the success of any project. The concentration of control of supply in the hands of a few privileged people builds only a fragile system which can collapse as a pack of cards at any time.
In the wake of OM's collapse, investors focused on RWA may need to review the bases to understand who controls the offer, what are the liquidity maintenance mechanisms and how transparent leadership is when things go south. Because even in a world that tokensing active active world, confidence remains the most precious currency of all.
The potential of Rwa Tokenized remains undeniable, although investors will take this path with more caution after this situation.
