Who Was to Blame for Mantras 90% Crash, According to the Companys CEO?
The steep collapse sparked widespread speculation about insider activitybut the projects CEO, John Patrick Mullin, says centralized exchanges are to blame.
Real-World Asset Project Hit by Forced Liquidations
MANTRA, a real-world asset (RWA) platform that recently announced billion-dollar tokenization deals in Dubaicovering real estate and data centers, saw its native token OM undergo a massive drawdown. As the token price crashed, X (formerly Twitter) users speculated that insiders may have rugpulled investors, pointing to a deleted Telegram group as part of the alleged cover-up.
Mullin quickly responded to the claims, denying any wrongdoing and sharing a link to the projects still-active Telegram. He explained the channel had been temporarily taken down by a bot due to spamnot deleted.
This was not a rugpull. The drop was caused by reckless forced closures initiated by centralized exchanges on OM account holders, Mullin stated at the RWA Summit, according to Alphanonce.
Whos to Blame?
While Mullin didnt name specific exchanges, he hinted that the platform responsible for the forced closures likely doesnt begin with a C or a B. He further alleged that the liquidation occurred during low-liquidity hours, which could indicate either gross negligence or deliberate market manipulation.
Collateral Damage and Suspicious Wallet Activity
Mullin claimed that large investors using OM as collateral were liquidated without warning, triggering a cascade effect. He also promised a full post-mortem to clarify the incident.
Blockchain analysts, however, remain skeptical. According to Lookonchain, $12.6 million worth of OM was transferred to a wallet connected to venture capitalist Shane Shin just five hours before the collapse. That amount is now worth around $1.6 million.
Crypto sleuth ZachXBT criticized the transparency of MANTRAs public wallet addresses, and Wu Blockchainresurfaced earlier allegations that MANTRA misrepresented investment ties with FTX.
Binance and Laser Digital Distance Themselves
Both Binance and Laser Digital (the digital asset arm of Nomura) have denied any current involvement in OM or responsibility for the price collapse.
As the dust settles, the crypto community is waiting for clarity from Mullins promised post-mortem. Until then, skepticism around MANTRAs internal operations and token mechanics is likely to persist.
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