This Week in Crypto: From Mantra's Crash to Grayscale's Altcoin Expansion

This week in crypto recorded several key events across various ecosystems that will continue shaping the industry.

This week in crypto saw several key events unfold across various ecosystems, shaping the industry landscape. From major partnerships to investment decisions and scam allegations, here is a roundup of some of the notable crypto news.

Mantra’s Power Token Loses $90 Billion as Liquidity Fiasco Plays Out

Mantra’s powering token lost 90% of its value in a matter of days amid allegations of insider dealing and liquidity fragility.

The lifeline: Mantra’s native token, OM, lost 90% of its value in a matter of days as liquidity dried up and traders bailed out of their positions. Once hailed as a rising star in the RWA (real-world asset) narrative, OM’s collapse wiped out over $5.5 billion in value.

Reports revealed a disturbing pattern of concentrated wallet activity and low liquidity pools, which made OM highly vulnerable to sudden exits. On-chain sleuths identified one trader whose aggressive selling triggered a cascade of liquidations.

This highlights the risks of low-float, high-hype tokens in an illiquid market environment.

“This was due to an entity(s) on the Binance perpetuals market. That’s what triggered the entire cascade. The initial drop below $5 was triggered by a ~1 million USD short position being market-sold. This caused over 5% of slippage in literal microseconds. That was the trigger. This seems intentional to me. They knew what they were doing,” the analyst stated.

Pi Network’s Chainlink Integration Surrounded by Fresh Scam Claims

Pi Network recorded strong optimism this week as its native Pi Coin surged by double digits. BeInCrypto reported the surge was sparked by the announcement of a key integration with Chainlink.

They pitched this strategic collaboration as a gateway to real-world utility. Specifically, it positioned Pi closer to the broader DeFi and smart contract ecosystem. However, the euphoria proved short-lived.

Market sentiment quickly soured as analysts began comparing Pi Network and the recently collapsed OM token.

Allegations suggest that, like the OM token, Pi coin lacks full clarity around circulating supply, wallet distribution, and centralized control. To some, these are potential red flags in an increasingly regulation-sensitive industry.

“The OM incident is a wake-up call for the entire crypto industry, proof that stricter regulations are urgently needed. It also serves as a huge lesson for the Pi Core Team as we transition from the Open Network to the Open Mainnet,” wrote Dr Altcoin.

Pi coin reversed gains within days, falling 18% from its weekly high. At the time of writing, PI was trading at $0.6112, up by a modest 0.7% in the past 24 hours, according to CoinGecko.

Grayscale Expands Scope With 40+ Tokens in Sight for 2025

Institutional investor interest in altcoins is heating up again, with Grayscale leading the charge. The digital asset manager unveiled its updated list of assets under consideration for the second quarter (Q2) of 2025.

The list spans various sectors, including DePIN, AI, modular blockchains, and restaking. Among the notable tokens being eyed are SUI, STRK, TIA, JUP, and MANTA.

This signals Grayscale’s recognition of both retail and institutional appetite for diverse assets beyond Bitcoin and Ethereum.

The expansion into 40 coins signals Grayscale’s recognition of both retail and institutional appetite for diverse assets. However, inclusion in the list does not guarantee a fund launch. It only indicates Grayscale’s active research.

Earlier this month, Grayscale reshuffled its top 20 list of altcoins by market exposure. Several older names were dropped, while newer narratives like Solana-based DePIN and Ethereum restaking plays were pushed to the forefront.

What Is Known So Far About XRP and SWIFT Partnership

There was speculation this week about a possible partnership between Ripple’s XRP and banking giant SWIFT in crypto.

This narrative arose from a misinterpreted document. A series of cryptic social posts furthered the speculation, which some took as confirmation of collaboration between the global payments network and the XRP ledger.

However, BeInCrypto’s reporting on the matter debunked the rumors. While Ripple has long pursued banking institutions and SWIFT has shown openness to blockchain innovations, there is no verified partnership between the two.

SWIFT’s public-facing projects around tokenization and digital asset settlement do not feature XRP.

Despite the debunking, the rumors sparked an important conversation about XRP’s long-term positioning. The token remains a top-10 asset and a favorite among retail investors who are banking on utility-driven price appreciation.

With Ripple’s legal battles with the SEC nearing resolution and international CBDC partnerships in the works, the project is far from irrelevant.

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