JP MULLIN, CEO of Mantra, said that he planned to burn all his token allocation of 772,000 OM in response to criticisms concerning the recent collapse and allegations of initiates of the project.
His statement follows three days of surveillance after the Mantra token (OM) plunged more than 90% compared to its recent summit, annihilating $ 5 billion in value. Mullin made the declaration via X on April 15. He responded to a member of the community who had suggested that the Mantra team should delay his next token unlocking, originally to start in April, as a long -term commitment.
Mullin replied by clarifying that team tokens do not start to acquire before 2027, 30 months after the launch of the Mantra channel in October 2024. He added that he intended to burn the entire team allowance and left the community to the community to decide if he returned to the future.
The affirmation sparked a debate. The founder of Crypto Bancers, Ran Neuner, said that this approach “would be a mistake”. In his opinion, strong incentives are important to keep the motivated project teams. Mullin replied that he was referring to his personal allowance and that the objective was to rebuild confidence after the accident. He also launched the idea of placing the tokens in a community -controlled mechanism instead of burning them.
Mullin had previously shared a screenshot showing its 772,081 OM Jalon on Fluxtra, noting that it was “100% dotted” on the platform. The total 300 million OM OM allocation is locked until April 2027. According to Mullin, the restoration of the value of the OM token is the absolute priority of the project, with strategies such as the buyouts and token burns on the table.
The situation also intensified after the online swindle investigator Coffeezilla published a summary of his interview on Youtube with Mullin. He said that the Mantra team had sold 25 to 45 million dollars in over the counter, with a discount of 30 to 50%, and then used 5 to 10 million dollars to buy OM. Coffeezilla argued that it was a form of price manipulation, which Mullin denied.
The accident itself, according to a report of April 15 by Crypto.News, was aggravated by low liquidity and forced liquidations. The depth of the market on OM increased from $ 290 million to only $ 473,000. About $ 21 million in long positions were liquidated on OKX alone. The OM token remains under high pressure, trading at $ 0.7479 at the time of the press, down 88% in the last 7 days.
