This weekend, the worth of the MANTRA token (OM) misplaced 90% of its $6 billion market cap, a collapse that, in keeping with its CEO, was the work of centralized exchanges initiating “reckless forced closures” and never a rugpull.
MANTRA is a real-world asset (RWA) undertaking that signed a billion-dollar cope with Dubai builders to tokenize varied belongings, together with actual property and knowledge facilities.
As its value dropped, X customers speculated that MANTRA insiders might have rugpulled the token and claimed that its telegram chat was deleted in the course of the drop.
Nonetheless, MANTRA CEO John Patrick Mullin refutes these claims. Mullin denied any notion of insider promoting and offered a hyperlink to the still-online MANTRA telegram chat, claiming that its bot briefly shut it down after detecting spam.
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Who’s accountable?
Mullin attributes OM’s drastic value drop to “reckless forced closures initiated by centralized exchanges on OM account holders” with out warning. He additionally suggests, with out giving names, that one trade might be accountable and that it probably doesn’t start with a “C” or a “B.”
Mullin additionally stated the timing of the incident throughout low liquidity hours “points to a degree of negligence at best, or possibly intentional market positioning taken by centralized exchanges.”
Alphanonce reported that Mullin addressed the incident at RWA Summit, claiming, “Large investors using $OM as collateral were liquidated,” and {that a} “post mortem” is coming quickly.
Each Binance and crypto funding agency Laser Digital have distanced themselves from OM’s token fallout. Lookonchain additionally notes how 5 hours earlier than the collapse, $12.6 million price of OM was despatched to a pockets linked to enterprise capitalist Shane Shin. This sum is now price roughly $1.6 million.
Crypto sleuth ZachXBT was additionally not impressed with one among MANTRA’s public addresses, whereas Wu Blockchain highlighted how MANTRA has lied about FTX investments previously.
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