Community Members of OM Vent Their Fury Towards Mantra, Threatening Legal Actions Following Response
Furious OM Community Slams Mantra Over Price Crash
It's a bitter start to the week for Mantra's OM investors, as the token's value plummets a staggering 90%. Analysts are pointing fingers at insider trading, scam activity, and untrustworthy team members. In response, Mantra defends itself with an official message, causing uproar within the community.
Mantra's Tumble: A Community's Disappointment
Mantra began as a promising Layer 1 blockchain, vowing to revolutionize the real-world asset industry (RWA) and enhance the future of finance. Instead, OM holders are left reeling from losses due to suspected insider trading and market manipulation. Some savvy analysts saw the red flags early and pulled out before the crash, warning of a lack of transparency, misleading tokenomics, and delayed community airdrops.
Despite the backlash, Mantra swiftly responds to the community with an official statement. The post downplays the 90% price crash, labeling it as a result of reckless liquidations with no connection to the project. The team denies any involvement, promising to share more details soon.
However, the community remains skeptical, tracing many wallets to team members and strategic partners involved in the massive OM sell-off. This triggered a chain reaction of panic selling, leading to the drastic price drop.
Legal Action: Fuming Investors Strike Back
Mantra's response has the community fuming with fury, disillusionment, and disbelief at the team's desperate attempt to save face. Long-time OM investors, who invested millions, are now faced with losses totaling a fraction of their initial investment. This investor, who poured $3.5 million into the project, is devastated to see his investment plummet to a mere $200,000. He accuses the project of exploiting the community and expects the team to take responsibility and address the situation. If Mantra fails to do so, he threatens to take legal action.
Crypto Market | Cryptocurrency | MANTRA | OM | Price Crash
Enrichment Data:
Overall:
The OM token, native to the MANTRA project, suffered a dramatic price crash in April 2025, plummeting over 90% within hours and erasing $5 to $8 billion in market capitalization, previously at a high of $6 billion[2]. The sudden collapse sparked comparisons to past infamous crypto collapses, such as Terra (LUNA), showcasing severe market turmoil for OM[2].
Investigation into Insider Trading and Scam Activity
- MANTRA CEO John Patrick Mullin publicly denies any insider trading or token dumping by team members. He states that all tokens held by the team, advisors, and the foundation remained locked during the crash period, suggesting no direct evidence of insider selling[2].
- The crash was officially attributed to cascading liquidations on a centralized exchange with very low liquidity over the weekend, rather than deliberate manipulation or fraudulent activity[2].
- However, the scale and speed of the crash have led to skepticism and comparisons to other crypto collapses, where lack of transparency and potential undisclosed risks were factors[2]. No confirmed reports of scam activity or insider trading connected to MANTRA have been reported from available sources[2].
Lack of Transparency Concerns
- Despite the founder’s statements, the absence of listings on major South Korean exchanges at the time and limited local trading activity may have contributed to opaque market conditions, obscuring full insight into trading behaviors and liquidity sources[2].
- The project has been described as structurally volatile, with its rapid previous gains possibly masking underlying weaknesses in tokenomics or market depth[2].
- No detailed public audit or investigation conclusion has been shared by regulatory bodies or independent experts regarding any wrongful conduct or mismanagement by the MANTRA team in relation to the crash.
Current and Future Outlook
- Since the crash, OM has rebounded approximately 60% from its lowest levels, trading around $0.315 with a market cap near $306 million as of early June 2025, signaling a partial recovery but still far from its previous highs[2].
- Price forecasts from crypto analysts suggest a moderate upward trend through mid to late 2025, predicting $0.75 in summer and early fall 2025, indicating cautious optimism about the project's prospects despite past volatility[5].
In essence, the OM token's price crash was sudden and severe, but Mantra's leadership denies insider trading or scam involvement, attributing the plunge to market dynamics under low liquidity conditions[2][5]. The transparency concerns remain, with no definitive evidence of fraudulent conduct uncovered to date[2][5].
- The cryptocurrency market has been questioning the transparency of the MANTRA project following the 90% crash in the value of the OM token, with some analysts suspecting insider trading and market manipulation.
- As a result of the crash, long-time investors who invested millions in MANTRA are seeking accountability, threatening legal action if the team does not address the concerns of the community.
- Despite Mantra denying any involvement in the price crash and labeling it as a result of reckless liquidations, many in the community remain skeptical, tracing some wallets to team members and strategic partners involved in the massive OM sell-off.
