MANTRA will burn 300 million OM tokens in a major effort to restore investor confidence and improve the tokenomics of the protocol. The initiative comes after the OM token price plummeted by more than 90% in mid-April.
Currently, 150 million OM tokens are being unstaked, with the process expected to complete by April 29. These tokens will then be sent to a dedicated burn address and permanently removed from circulation.
Token Burn to Support Ecosystem Stability
According to MANTRA developers, this move is intended to rebuild community trust and enhance the protocol’s economic structure. The team is also in active discussions with ecosystem partners to coordinate the additional burn of another 150 million tokens.
If successful, the total number of burned OM tokens will reach 300 million. This will reduce the total supply from 1.82 billion to 1.67 billion OM, and decrease the amount staked in the network from 571.8 million to 421.8 million OM.
Impact on Staking and Supply
The reduced token supply is expected to increase staking rewards over time, making it more attractive for long-term holders. MANTRA stated that this burn initiative is part of a broader plan to stabilize the OM ecosystem and respond transparently to recent price turbulence.
The community will be able to track the burn events on the blockchain, with MANTRA publishing transaction hashes for full transparency.
