According to The Block, the OM token of MANTRA, a Layer 1 blockchain project focused on real-world assets (RWA), fell by about 10% between 01:20 and 02:20 Beijing time this morning, and then suddenly plummeted from $5.21 at the time to about $0.50 currently (as of the media's press release), plummeting by 90% in just 90 minutes. Before the Telegram group for the public could be accessed, community leader Dustin McDaniel downplayed the team's selling allegations, stating that he was not aware of them yet. At 04:51 in the morning, MANTRA's X account updated that the sharp decline was caused by reckless liquidation and had nothing to do with the project itself. Co founder John Patrick Mullin mentioned that large OM investors have been subjected to large-scale forced liquidation in CEX and stated that they are currently dealing with it. Previously, MANTRA was accused of controlling a significant proportion of the token's circulation and supply, attempting to manipulate the token price. Mullin responded by saying, "OM token has been circulating since August 2020, longer than most skeptics in the cryptocurrency field
Some investors pointed out that DeFiLlama data shows that the MANTRA protocol TVL is only about $13 million, while its fully diluted token valuation is as high as $9.5 billion, which may be a risk signal. In addition, Insomniac, the head of governance at Castle Labs, discovered that three wallets have recently transferred millions of dollars in OM tokens to OKX and Binance. One wallet received approximately $36 million in OM tokens from Binance on March 21 and transferred about 4.3 million tokens to OKX on Saturday, suggesting a possible sell-off.
