Mantra token plummets 90% in sudden crash

(OM) quotes dropped from around $6.30 to below $0.50, erasing more than $5.7 billion in market capitalization. After a brief rebound, the token is trading near $0.64

The price of MANTRA (OM) has plummeted by 90% in a sudden crash. The token's quotes dropped from around $6.30 to below $0.50, leading to a reduction in market capitalization of more than $5.7 billion. After a brief rebound, the token is trading near $0.64, with its market cap now reduced to $623 million.

The strong move down in the price of the OM token began on April 13.

"Team needs to address this or $OM looks like it could head to zero. Biggest rug pull since LUNA/FTX??," wrote one user with the nickname Gordon.

According to an investor with the pseudonym Sjuul, Mantra developers controlled about 90% of OM's total supply. Among other reasons, this was causing trust issues in the community. According to him, the team:

*lied to the community about the project's progress, and

*engaged in insider trading by selling tokens to investors at a discount.

"There were rumors that OM had made private deals with investors, offering tokens at huge discounts - some at 50% off or even more," the investor noted.

Onchain analysts have confirmed large OM transfers in the last few days to OKX and Binance exchanges.

A wallet labelled as @LaserDigital_ deposited over $41M worth of $OM into OKX just 2 days ago.$OM price has dumped 90% in the last few hours 🤯 This wallet received the majority of its $OM holdings from GSR over a year ago! Address: 0xB37DBDec19737d52cDC8fD969B92bAA9e044f26A pic.twitter.com.

Meanwhile, Mantra DAO co-founder John Mullin commented:

"We have determined that the OM market movements were triggered by reckless forced closures initiated by centralized exchanges on OM account holders. The timing and depth of the crash suggest that a very sudden closure of account positions was initiated without sufficient warning or notice."

Mantra CEO John Patrick Mullin assured:

JP Mullin (CEO of @MANTRA_Chain) remarks at BTCON RWA Summit today on $OM price action overnight

• No exploit or hack

• No active selling from MM or investors

• Large investors using $OM as collateral were liquidated, which caused drastic price action

• Post mortem…

He confirmed that the collapse in quotes was caused by large-scale liquidations of positions with OM as collateral. Regarding the large token transfers, Mullin noted that they relate to interactions with the bridge via "basket wallets."

"We are here and will not go anywhere," emphasized the co-founder of the project.

ZKsync suffers $5 million token theft

The ZKsync security team has identified a compromise of an admin account through which roughly $5 million worth of ZK tokens were collected - these were unclaimed balances after an airdrop.

The ZKsync security team has identified a compromised admin account that took control of ~$5M worth of ZK tokens — the remaining unclaimed tokens from the ZKsync airdrop. Necessary security measures are being taken. All user funds are safe and have never been at risk. The ZKsync…

Against the backdrop of the incident, the rate of ZK fell by 17%, but the price has since partially recovered from the fall.

A bit later, the researchers found that the account in question (0x842822c797049269A3c29464221995C56da5587D) controlled the three contracts responsible for airdrop distribution.

Update: the investigation has revealed that the account that was the admin of the three airdrop distribution contracts had been compromised. The compromised account address is 0x842822c797049269A3c29464221995C56da5587D. The attacker called the sweepUnclaimed() function that…

According to their calculations, the transaction increased the number of tokens in circulation by ~0.45%. The experts emphasized that the incident affected "exclusively contracts for airdrop distribution; all tokens to be issued have already been issued." Thus, re-exploitation of the vulnerability is impossible.

The attacker still holds the bulk of the funds at this address.

Lastly, the project reported collaborating with experts from the Security Alliance and encouraged the attacker to reach out to return the funds to avoid legal repercussions.

Oklahoma rejects proposal to create a Bitcoin reserve

The Oklahoma House of Representatives' Strategic Bitcoin Reserve (SBR) bill failed to win approval in the Senate Select Committee.

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