Mantra Under Scrutiny Following the Collapse of Its OM Token

Mantra is under scrutiny following the recent collapse of its OM token, which experienced a sharp decline on April 13. The fallout has raised questions about potential insider trading

Mantra, a blockchain project, is currently at the center of a heated debate following the collapse of its OM token. The token experienced a sharp decline on April 13, leading to speculation of insider trading, especially concerning Laser Digital, a strategic investor in Mantra.

In a statement released on April 14, Laser Digital, the crypto division of Nomura-backed firm Point72, strongly denied allegations that it transferred large quantities of OM tokens prior to the token's crash.

"Laser has no involvement in the recent price collapse of $OM," the firm asserted in a post on X (formerly Twitter). "Assertions circulating on social media linking Laser to 'investor selling' are factually incorrect and misleading. The wallets mentioned belong to other entities, not Laser."

The situation is further complicated by the actions of other investors. According to reports, Shane Shin, a founding partner at Shorooq Partners, received 2 million OM tokens just hours before the token's price plummeted.

However, a spokesperson for Shorooq stated that neither the firm nor its partners sold any OM tokens in the period leading up to the incident, adding that Shorooq is a long-term believer in Mantra and its ecosystem.

As for Mantra’s management, they have remained silent on the implications of the token's collapse or its impact on the recently announced $109 million Mantra Ecosystem Fund, leaving investors and stakeholders in the dark.