Mantra Chain Cuts Staff After 90% Token Crash

Mantra Chain, a prominent Layer-1 blockchain focused on tokenizing real-world assets, has announced a major restructuring. As part of the restructuring plans, the platform is reducing staff across several departments. The decision follows a challenging year in 2025, marked by a prolonged downturn in the crypto market, during which the native OM token lost over 90% of its value on April 13, 2025. 

The crash caused the loss of billions of dollars in market value within just a few hours. CEO John Patrick Mullin emphasized that streamlining the workforce is crucial to building a leaner, more efficient organization after a challenging year in 2025. The token now trades around $0.08, which is a 99% drop from its peak of about $9 in February 2025. 

Mantra Undergoes Major Restructuring

The layoffs primarily impact the business development, marketing, human resources, and support functions. Meanwhile, the core engineering and development teams remain largely unaffected. The decision aims to maintain the technical capacity required for ongoing RWA development. 

CEO Mullin expressed sincere regret for the employees affected by these changes. He praised their contributions to establishing Mantra as a recognized leader in the sector prior to the challenges faced last year. The decision to restructure was reached after several months of internal discussions. 

During this time, the team recognized that cutting non-essential spending alone would not address the unsustainable cost structure that had developed during the 2024-2025 expansion phase. By making the announcement public on X, Mantra seeks to demonstrate accountability and establish a foundation for sustainable growth in 2026. 

The OM Crash

On April 13, 2025, the price of OM plummeted dramatically from approximately $6.30 to below $0.50 in just a few hours. This sudden drop was caused by forced sales on centralized exchanges during a period of extremely low trading volume. As a result, the market value decreased by around $5 billion to $6 billion. 

Mantra’s leadership explained that the drop resulted from external market dynamics and exchange actions, rather than any internal misconduct or a rug pull. Subsequent efforts to restore confidence included a voluntary burning of 150 million OM tokens by Mullin himself.

Meanwhile, ongoing tensions with OKX regarding token migration persist, even as the project completes the deprecation of ERC-20 OM It is alo preparing for a chain upgrade to the new $MANTRA token with a 1:4 split scheduled for March 2026. Despite these significant challenges, Mullin remains committed to core initiatives in real-world asset tokenization.

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