TL;DR
- Mantra will burn 150 million OM tokens belonging to its founder on April 29, aiming to reduce supply and adjust staking rewards.
- The project is in talks with other ecosystem members to burn an additional 150 million tokens, though there’s no confirmed date for this second phase yet.
- The total supply will drop to 1.67 billion OM, and the staking ratio will fall to 25.30%, increasing rewards for those who keep their tokens locked.
Mantra has confirmed it will burn 150 million OM tokens held by its founder, John Patrick Mullin. These tokens were part of the allocation designated for the project’s core team and key collaborators. The goal is to reduce the total supply and adjust how staking rewards function. The burn will be completed on April 29, once the current unlock period ends.
Mantra Negotiates Additional Token Burn
The initiative also involves discussions with other Mantra ecosystem participants to eliminate another 150 million tokens. If completed, the total reduction will reach 300 million OM. Although there’s no set timeline for this second stage, the company stated that negotiations are ongoing.
Mullin’s allocation has been locked since October 2024, when it was used to reinforce network security during the mainnet launch. Mantra has publicly shared the unlock transaction identifiers and confirmed the tokens will be sent to a burn address once the process is finalized.
The immediate effect will be a drop in OM’s total supply, from 1.82 billion to 1.67 billion tokens. The amount in staking will fall from 571.8 million to 421.8 million, lowering the staked ratio from 31.47% to 25.30%. This change will increase rewards for users who continue staking their tokens.
OM Token Shows No Clear Recovery
OM is currently trading around $0.54, after dipping to a low of $0.50. The collapse wiped out over 90% of the token’s value, leading to widespread suspicion that it was part of a scam. However, the team attributes the crash to a one-off panic event.
Despite the announcement, OM’s trading volume and open interest remain low. The token has yet to show clear signs of recovery, though some traders still view it as a speculative asset with rebound potential.
