Founder and CEO of mantra John Patrick Mullin began unable to move 150 million of his mantra (OM) tokens in preparation for sending them to a burn address in an attempt to restore the value of the token by tightening the supply.
Mantra announced On April 21 the unstaking process began, and completed on April 29, at that point Mullin’s Mantra (About) The tokens will be sent to the burn address and permanently deleted from the moving supply.
Mullin said it was a “first step in rebuilding trust in the community, but far away.”
Mantra said it also talks to “key ecosystem partners” about burning an additional 150 million OM to bring the total burning amount to 300 million.
By 150 million fewer OM, the total mantra supply will decrease by 1.67 billion, and the number of staked tokens will decrease by more than 26% from 571.8 million OM to 421.8 million OM.
The returns will also boost: “This strategic combustion will lower the bonded ratio from 31.47% to 25.30%, resulting in an increase in staking APR,” Mantra said.
Token Burn initiative complies with OM price collapse
Two days after Mantra’s fast 90% price collapse On April 13, Mullins posted to X that he intended to burn all the staked tokens that he provided to the main Genesis of the blockchain in October. Vested “team token” should be locked starting in 2027.
He also ran an X poll about the proposed burning of his tokens, with alternate options such as expanded vesting or unlocking tokens in milestones – as a “check of temperature of people’s thoughts.”
The polls attract nearly 9,000 votes at the time of writing, and many commentators criticized an attempt to reverse the course of the purnor’s promise.
The combustion is connected to an “OM token support plan” announced by the mantra following the price crash, which will also feature a buyback token. Mullin said the buyback program was “well.”
Related: How Mantra’s Om token collapsed in 24 hours of excitement
Mantra din released A tokenomics dashboard to increase transparency as they aim to regain community trust.
At the time of writing, the price of OM remains to drop around 90% from its cost of $ 6.30 earlier in April, the trade below $ 0.55.
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