The decentralized finance platform Mantra has urged industry-wide cooperation to protect investors following the recent crash of its OM token. The company addressed the crisis during the TOKEN2049 event in Dubai.
The past fortnight has seen Mantra working on a plan of recovery in the areas of decentralization, transparency, and stability. In a significant announcement of its own governance overhaul, the company set out to cut down internal validators and onboarded external ones.
Mantra is set to reduce its internal validator share by 50%, with a goal of getting to 50 external validators by the end of the second quarter of 2025. Mantra also rolled out a live dashboard that tracks token data in real-time in response to the price drop.
OMSTEAD testnet marks new development milestone
The dashboard continues to be operational and is set to receive upgrades in the weeks ahead. The company also honored a commitment to burn 150 million OM tokens, taking supply down for good.
Even in the face of the crash, Mantra Chain remained operational and handled a record-high number of transactions. Mantra Chain’s new testnet, OMSTEAD, has gone live in the Alpha version. This launch is a demonstration of ongoing efforts to establish a more robust and resilient blockchain.
Liquidation cascades risk bringing down not only its platform but the entire crypto industry, Mantra maintained. It cautioned that policies of high leverage ran the risk of creating greater instability unless reined in.
The company is currently collaborating with major exchanges to design more secure trading environments. It also urged other firms to participate in the development of improved standards of investor protection.
Mantra charts a transparent path to recovery
The group reaffirmed that recovery will be long-term and will take effort. They pledged to act openly and accountably and to establish systems that eliminate the possibility of similar incidents in the future. They believe that these measures will restore trust in the protocol and the entire crypto space.
Mantra has a Layer 1 blockchain that tokenizes real-world assets. It is licensed by Dubai’s VARA to be a Virtual Asset Service Provider. Mantra has the permission to conduct exchange, broker-dealer, and investment services under regulation from the license.
With defined objectives and continuous evolution, the site aims to win back trust and reinstate long-term value. The company thanked members of the community who provided feedback and contributed to the recovery effort.
