Real-world asset project Mantra plans to create a comprehensive burn program for its OM token, CEO John Mullin said in an X post Wednesday.
Mullin was responding to a post which said he was planning to burn his team’s tokens to win back the trust of the community after OM abruptly lost over 0% of its value on Tuesday.
“To be 100% clear, I am stating that I am burning MY team tokens, and we will create a comprehensive burn program for other parts of the OM supply,” he wrote.
Token burns refer to the process of permanently removing a proportion of a cryptocurrency’s supply from circulation in order to increase the value of the tokens that remain.
OM fell from over $6 to under $0.45 in a matter of hours on no sudden catalyst.
Mullin blamed the drop on exchanges closing OM positions, but not everybody was buying this explanation. OKX founder Start Xu referred to the incident as “a big scandal.”
OM trades at around $0.81 at the time of writing, 87% lower than its price prior to Tueday’s events.