OM Token Crashes 90% — MANTRA Blames ‘Reckless’ CEX Moves as Top Exchanges Investigate
On April 13, 2025, the OM token witnessed an unprecedented crash, plummeting by over 90% in a matter of hours. The dramatic drop, which erased billions in market capitalization, has left many in the cryptocurrency space in shock. According to Mantra DAO, the organization behind the OM token, the collapse was the result of “reckless” moves by centralized exchanges (CEXs), and the event prompted an investigation by several major platforms.
The Rapid Decline of OM Token
The OM token, which had been trading near $6 per unit, saw its value collapse to as low as $0.57 in a short 24-hour period. This extreme price drop sent shockwaves through the crypto community, causing widespread panic among investors who had been holding the token for its perceived growth potential. With its market capitalization sinking by billions, the OM token quickly became one of the most discussed topics in the cryptocurrency world.
This sudden crash was not the result of any internal problems within Mantra DAO itself, but rather, it appears to have been caused by external factors linked to CEX platforms. These exchanges are central players in the cryptocurrency ecosystem, providing platforms for users to buy, sell, and trade digital assets like OM.
MANTRA’s Official Response: CEX Moves Under Scrutiny
In a public statement, Mantra DAO blamed “reckless” actions by centralized exchanges for the OM token’s dramatic fall. According to the DAO, the crash was caused by an unexpected and large-scale token dump that occurred across several CEX platforms. These exchanges, which hold significant influence over token liquidity, were reportedly slow to react and address the issue, leading to a cascading effect on the token’s price.
Furthermore, Mantra DAO pointed to a lack of proper oversight by the exchanges, accusing them of failing to halt the rapid sell-off, which exacerbated the situation. The accusations have raised serious concerns about the role CEXs play in token price manipulation and market stability.
Investigations Begin: Top Exchanges Look into the Incident
In response to the crash and the accusations from Mantra DAO, multiple top exchanges have begun conducting their own investigations into the matter. Industry leaders such as Binance, Coinbase, and Kraken have confirmed that they are reviewing their trading data to understand what led to the massive sell-off. Some have even halted OM token trading temporarily as a precautionary measure while the investigations unfold.
The outcome of these investigations could have long-term implications for the relationship between decentralized projects like Mantra and centralized exchanges. It could lead to greater transparency and stricter regulations regarding how exchanges manage token listings and trading activities.
The Future of OM Token and Market Reactions
As the investigations continue, OM token’s price has slowly begun to recover from its lowest point, though it still remains far below its previous high. Investors who were impacted by the crash are now seeking answers, and many are questioning whether the token will ever regain its previous value.
The broader cryptocurrency market is also reacting to the event, with many traders and investors becoming more cautious about token investments. Trust in centralized exchanges may take a hit if these investigations uncover wrongdoing, potentially leading to a shift towards decentralized exchanges (DEXs) where control is more in the hands of users rather than centralized entities.
Conclusion: What Lies Ahead for OM Token?
The crash of the OM token by over 90% has raised significant questions about the role of centralized exchanges in the cryptocurrency market. Mantra DAO’s accusations of reckless behavior and market manipulation are serious, and the ongoing investigations by top exchanges will likely provide more clarity on what happened.
As the dust settles, the future of OM token—and similar projects—may hinge on greater regulatory oversight and improved trading practices within the cryptocurrency ecosystem. For now, the crypto community watches closely, hoping that this incident leads to positive changes that will prevent such events in the future.
YOU MAY ALSO LIKE
Learning Resources
