Mantra Restructures, Cuts Staff After OM Token Collapse
Mantra is restructuring and cutting staff due to a sharp collapse in its OM token and unsustainable costs.Summary
Mantra, a blockchain project focused on real-world assets (RWAs), is undergoing a significant restructuring, including staff layoffs, to achieve a leaner, more capital-efficient structure after experiencing its most difficult year.
The restructuring follows a severe collapse of its native OM token, which peaked near $9 in February 2025 before plummeting to around $0.59 by mid-April, remaining 99% below its high. Mantra's CEO, John Patrick Mullin, attributed the initial crash to aggressive leverage policies on centralized exchanges, calling for reassessment of how leverage is applied to native tokens.
Mullin acknowledged accountability for the decisions, stating that Mantra’s cost base became unsustainable amid prolonged market pressure. The layoffs disproportionately affected support functions like business development and marketing, as the company narrows its focus to core execution. This follows earlier measures taken after the token crash, such as validator decentralization and burning 150 million staked OM tokens.
(Source：Cointelegraph)