You know how the crypto world is always buzzing with news? Well, MANTRA just dropped a bombshell – a massive token burn announcement! They’re planning to permanently remove 150 million OM tokens from circulation. And get this, they might even double it with another 150 million token burn, potentially wiping out a whopping 300 million OM tokens!

OM Price Slumps After Token Burn Announcement

According to their official announcement, the CEO and Founder, John Patrick Mullin, is personally burning his entire 150 million team token allocation. This is a promise he made to the community just last week, showing he’s serious about shaking things up.

Now, you’d think news like this – a huge reduction in supply – would send prices soaring, right? Surprisingly, the OM token price hasn’t reacted as expected. In fact, it’s taken a bit of a dip. Recent data shows OM is down about 5% in the last 24 hours, currently trading around $0.5437. This adds to a much larger slide of 91% over the past month. Despite this downturn, CoinGape analysts are suggesting we could see a potential rebound of 50% from these lows.

The token burning process is already underway. MANTRA has started by unstaking 150 million OM from the Team and Core Contributor allocation. These tokens were initially staked back at the mainnet launch in October 2024 to help secure the network. They’re keeping things transparent by providing transaction hashes for everyone to verify. The unstaking process is expected to wrap up on April 29, 2025. After that, these OM tokens will be sent to a burn address and effectively vanish forever.

MANTRA is really emphasizing transparency throughout this token burn initiative, making it easy for the community to follow every step. They’ve shared specific technical details so we can all track the process. The unstaking of those initial 150 million tokens is underway and you can follow along using the three transaction hashes they’ve included in their announcement.

Just to recap why this is happening: those tokens were originally staked back when the mainnet launched in October 2024, crucial for getting the network up and running securely. The timeline is clear: unstaking finishes by April 29, 2025, and immediately after, all 150 million tokens are headed straight to the burn address – goodbye tokens!

MANTRA Plans An Additional 150 Million Token Burn

But wait, there’s more! MANTRA isn’t stopping at 150 million. They’ve also announced plans to provide full verification once the initial burn transaction is complete. Plus, they’re in talks with key partners in their ecosystem to potentially burn an additional 150 million OM tokens. This would double the impact, bringing the total burn to a massive 300 million OM, significantly reducing the overall supply.

This token burn is set to have a big impact on MANTRA’s tokenomics and how staking works. According to their blog post, this 150 million OM burn alone will reduce the total token supply from 1.82 billion OM to 1.67 billion OM. That’s a significant 8.2% chunk of tokens being taken out of the picture.

And it’s not just the total supply that’s affected. The burn will also change the staking dynamics within the network. By removing these tokens from the staked supply, the total staked tokens will drop to 421.8 million OM.

This adjustment will cause the network’s bonded ratio to decrease, moving from 31.47% down to 25.30%. Now, why is this important for stakers? Because a lower bonded ratio actually means a higher staking APR – Annual Percentage Rate. So, for those staking OM, this could be good news in the long run.

It’s worth noting that MANTRA has seen some rough patches recently, including a notable price crash. Even crypto giant Binance weighed in on the token’s recent struggles.