🔥 Massive Token Burn to Boost Staking Rewards

📉 In response to a dramatic 90% price drop on April 13, 2025, which saw OM's value plummet from approximately $6.32 to $0.49

In response to a 90% price drop that saw OM plummet from approximately $6.32 to $0.49 on April 13, 2025, Mantra DAO announced plans to burn up to 300 million OM tokens.

This includes a confirmed burn of 150 million tokens from founder John Patrick Mullin’s staked allocation. The move aims to reduce the total supply from 1.82 billion to 1.67 billion OM, ultimately increasing staking rewards by lowering the bonded ratio from 31.47% to 25.30%.

“In response to the recent market downturn, which saw a rapid decrease in token price and resulted in a significant portion of the community feeling undervalued, Mantra DAO has decided to take immediate action to mitigate the impact of market fluctuations and better align the ecosystem for long-term growth,” said Mullin.

He added that the decision to burn up to 300 million tokens was reached through extensive discussions with the community and internal teams, and the goal is to ensure a sustainable and thriving ecosystem for the long term.

Mantra DAO is also implementing several measures to enhance governance and transparency. Plans are in place to reduce internal validators by half and onboard 50 external partner validators by the end of Q2 2025, aiming for greater decentralization of validator nodes.

Moreover, a real-time dashboard has been introduced to provide the community with up-to-date tokenomics data, fostering transparency and engagement.

The launch of OMSTEAD, an Ethereum Virtual Machine-compatible testnet, is currently in its alpha phase, focused on enhancing the platform’s technical resilience for broader adoption.

Despite these efforts, OM’s price remains significantly below its all-time high of $8.99, trading around $0.44 as of May 11. The token’s market cap has also experienced substantial volatility, with a notable flash crash in April wiping out approximately $5 billion in market value.

Mantra attributes this to aggressive leverage positions permitted by exchanges, leading to a cascade of liquidations when a cryptocurrency experiences a rapid price drop.

In other developments, Mantra DAO has announced a partnership with DAMAC Group, a leading UAE-based real estate conglomerate, to tokenize $1 billion in assets.

This collaboration will focus on integrating various asset classes, including real estate, hospitality, and data centers, into the blockchain ecosystem.

Mantra DAO has also partnered with Google Cloud, which will become the largest validator of the Mantra blockchain, enhancing trust and visibility for the platform.

This partnership builds on Mantra’s existing efforts to develop a compliant and decentralized platform for RWA tokenization, aiming to bridge the gap between traditional finance and Web3.