CEO Mantra Denies Insider Selling and Outlines Recovery Plan for OM Token After 90% Drop

The CEO of Mantra, John Mullin, addressed the recent collapse of the OM token during the AMA session. The value of the token fell sharply from $0.73 to a low of $0.52 on April 13, raising concerns in the community about the possibility of insider trading and transparency in Mantra's operations. Mullin denied the accusations that Mantra's major investors, including Laser Digital, sold a large amount of OM tokens before the price fell. He emphasized that the company and its partners were not involved in any insider trading activities. "The Mantra Association, our major investors, our advisors—no one sold at all," Mullin stated. Blockchain analysis from Arkham Intelligence showed that wallets linked to Laser Digital had transferred millions of OM tokens to exchanges, but Laser Digital denied any involvement in the transactions, calling these claims misleading. Mullin also dismissed claims that Mantra controls 90% of the OM token supply, which have been circulating on social media. He pointed to a community transparency report published last week, which lists all the tokens held by Mantra and details the various wallets. He speculated that much of the selling pressure came from an unnamed exchange that had used OM tokens as collateral. When the exchange liquidated positions, it caused a wave of sell orders, contributing to a sharp fall in the token price. Mullin also discussed the Mantra Ecosystem Fund (MEF) worth 109 million dollars, launched in collaboration with investors such as Laser Digital and Shorooq Partners. This fund aims to support the broader ecosystem, and Mullin stated that it will continue to invest in the recovery of the OM token. MEF includes contributions in both OM tokens and dollars, and Mullin reassured the community that the company will remain committed to the long-term growth of the ecosystem. Regarding suspicious transactions, Mullin mentioned the involvement of wallets linked to Shorooq Partners, another investor in MEF. A wallet linked to Shane Shin of Shorooq received a transfer of OM tokens before the collapse, but Shin denied any involvement in the sale of the tokens. He clarified that it was a transaction from one wallet to another, not a sale transaction to an exchange. Mullin concluded by emphasizing that Mantra focuses on addressing the situation transparently. The company is in the early stages of developing a plan to restore the OM token, which may include potential buybacks and token burns.