What 6B Lost on OM Taught Us About Tokenomics? Early on April 14th 2025, the price of OM plummeted from over 6 to just 0.60 within hours—wiping out more than 6 billion in market capitalization. The collapse dealt a significant blow to investors, especially given that Mantra was previously regarded as one of the leading projects in the Real World Asset (RWA) narrative. The resulting liquidity crunch triggered a cascading effects across the ecosystem, as OM had been widely used as collateral—revealing layers of hidden leverage not immediately visible on-chain. The situation has drawn comparisons to the LUNA collapse and its leverage spiral. The question now is: Will history repeat itself? Timeline of the Incident Between November 2024 and April 2025, OM experienced a more than 5x rally, fueled by the rising RWA narrative and growing speculation around the return of a Trump administration, which many believed would usher in a more favorable regulatory environment. Mantra Chain positioned itself as an RWA-focused infrastructure platform, offering developer modules and toolkits built on the Cosmos SDK. This surge in price and narrative strength propelled OM into the spotlight, making it one of the top-performing tokens during that period and drawing significant attention from crypto investors. Unfortunately, the gains were swiftly erased in a matter of hours following a sharp and coordinated sell-off. According to LookOnChain, at least 17 wallets deposited over 40 million OM (valued at over 200 million at the time) into centralized exchanges—equivalent to approximately 4.5% of the circulating supply. Shortly after these deposits, OM experienced a steep price drop, exacerbated by low market liquidity, which amplified the price impact. The sell-off triggered a wave of cascading liquidations. Due to the presence of hidden leverage....(Continue reading for free here: https://pro.tokenomist.ai/2504-om-read-more)