MANTRA (OM), the basic token of Mantra Blockchain, was designed to token the actual assets with regulatory regulations, and lost more than 90% in just a few hours due to dramatic collapse on Sunday.
The rapid stagnation reduced more than $ 52.5 billion from the market cap, which recorded one of the most severe drops of one day in this year’s encryption.
Mantra (OM) prices suddenly take their nose
On Sunday, April 13, MANTRA (OM) plunged from $ 6.3 to $ 0.42, losing more than 94% of the market value within a few hours.
The collision itself was serious, but the root cause was not the project or the team’s failure, Mantra’s team said on Sunday.
John Patrick Mullin, CEO, said that the steep price drop was caused by the “reckless forced closure” of the centralized exchange during the low liquid time, not internal sales.
Mullin stressed that OM tokens were locked and that the project token in the project was not changed.
“Tokens are shared in the latest token report, and OM’s token mix remains intact and remains depending on the published investment period. Our token wallet address can be viewed online.”
CEX liquidation is not uncommon.
According to CoingLass data, Mantra (OM) ‘s sudden collisions have triggered more than $ 7.8 million in liquidation over the last 24 hours.
CEX liquidation is not rare in encryption. Especially when the leverage position is closed during the activation period. This often causes sudden and extreme price fluctuations.
Such a sharp decline is rare, but it is not unprecedented. Other tokens have experienced similar collisions during the market downturn, and are often worsened by forced liquidation and margin transactions.
MANTRA’s actual assets are faced with frustration.
The recent drop in prices occurs in a few months after MANTRA moved to the actual asset (RWA) tokenization, including $ 1 billion partnership with Dubai -based large company DAMAC.
In February, this project also has a VARA license that can be legally operated by the United Arab Emirates and aims to increase demand for blockchain driving real estate investment solutions.
Last year, the Hong Kong Court ordered six individuals related to Mantra DAO and insisted that they had misused DAO assets. The defendant insisted that assets are not personally owned.
Why this is important
This collision emphasizes the vulnerability of the external market for the encryption project. For mantra, this frustration challenges the location in the RWA tokenization space and can have a greater impact on the blockchain -based RWA investment solution.