MANTRA and Laser Digital Deny Role in OM Token Collapse

MANTRA’s Mullin Defends Project After OM Tumbled 90%

John Patrick Mullin, co-founder of MANTRA, addressed the token collapse in a blog post, saying the incident was allegedly triggered by forced closures on centralized exchanges, which allegedly acted without warning, causing steep price action during illiquid hours.

In the blog post, Mullin emphasized that neither MANTRA’s team, its association, advisors, nor investors were responsible for the market activity, noting that all tokens remain locked under published vesting schedules. The statement accuses centralized exchanges of negligence or opportunistic trading, stressing that such discretionary actions can harm both token projects and investors.

Mullin stated:

To be clear, this dislocation was not caused by the team, the MANTRA Chain Association, its core advisors, or MANTRA’s investors selling tokens.

While the team said it values these partnerships, they call for greater accountability and oversight. Mullin added that OM’s tokenomics are unchanged, with wallet addresses publicly available, reinforcing transparency and ongoing commitment to the project’s structure. A community discussion was announced for later Monday to address investor concerns.

Nomura’s Laser Digital, an investor in the OM token, also issued a public statement rejecting claims of involvement in the sell-off. The firm labeled the speculation as “factually incorrect and misleading,” asserting that it did not deposit OM tokens to the OKX exchange and that wallets alleged to be linked to Laser were not under its control.

Laser emphasized that its OM holdings remain locked and that it has no interest in destabilizing the project. The firm reiterated its commitment to supporting the projects it backs and called for greater transparency in the wake of misinformation.

OM’s price collapse on Sunday wiped out an estimated $5 billion in market value, prompting widespread investor alarm and social media speculation. Critics alleged insider selling and compared the incident to previous high-profile crypto failures like Terra’s LUNA, though the project MANTRA and Nomura’s Laser both deny any active involvement. OM is down 88.4% at 10 a.m. EDT, trading for $0.714 per coin at press time.