MANTRA Blames Centralized Exchanges for OM Token Crash

In Brief:

MANTRA says OM's 70% crash was triggered by sudden forced liquidations on CEXs.

The event occurred during low-liquidity hours, sparking claims of negligence or manipulation.

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Layer 1 project MANTRA has issued an official statement addressing the OM token's sudden 70% crash earlier today. According to the team, the steep decline was not due to internal token movements or project-side activity, but rather the result of reckless forced liquidations initiated by centralized exchanges.

In a blog post, MANTRA pointed to sudden position closures during the low-liquidity Asian morning hours. The project suggests that these liquidations may have been triggered without adequate warning, raising concerns of either gross negligence or deliberate market manipulation.

“The token economics of OM remain unchanged, and no investor or advisor has sold tokens,” the team clarified. They emphasized that all token allocations remain locked under their previously announced vesting schedules.

The incident has reignited discussions around the power centralized exchanges hold over token markets, especially during low-volume periods, and the need for better oversight and transparency in liquidation processes.

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