In just two hours on April 13, 2025, Mantra’s Aboriginal tokens lost more than 90% of its value – a crash echoing the infamous Luna crash and is now one of the worst price crashes in crypto history.
Regarding spell, this is a layer 1 blockchain project with OM as a local token. In February 2025, OM experienced a parabolic rally, soaring from $5 to a peak of $8.99.
From promising projects in Asia to a Luna-style collapse
According to CoinMarketCap and TradingView, OM fell nearly 94% from $6.33 on the evening of April 13 to $0.40 in less than two hours.
As a result, the market value of the spell evaporated by nearly $5.5 billion, falling from $6 billion to just $500 million.
“I haven’t seen such a collapse of speed and scale since Luna collapses,” a trader told X.
OM crashes within 2 hours – Source: Coingecko
Data on the chain shows that before the crash, personal wallet transferred about 3.9 million OM tokens to the OKX exchange. Now, the community suspects that the wallet belongs to the insider of the project.
Additionally, according to a report by Beincrypto, the Spell Team participated in an undisclosed over-the-counter (OTC) deal, allegedly selling tokens at up to 50% off compared to market prices.
Lookonchain commented: “The mantra has a highly concentrated token allocation structure that accounts for more than 85% of the total supply held by teams and strategic investors. Internal selling can easily trigger a domino effect.”
Who lowered the price $approximately?
Before $approximately At least 17 wallets have stored 43.6 million in car crashes (since April 7) $approximately($227 million at the time) exchange, accounting for 4.5% of the revolving supply.
According to Arkham’s tag, 2 of the addresses are related to laser numbers.
Laser digital is a strategic… pic.twitter.com/zb8yaprpso
– lookonchain (@lookonchain) April 14, 2025
The incident sparked a strong backlash against the spell team. Some social media users began to dig into the team’s past, noting that Wublockchain had previously warned that some key members of the project were allegedly associated with online gambling platform 21pink.
Wublockchain warns of Mantra Dao risks in 2021. It consists of several core members of the online gambling platform 21pink. OM once mistakenly claimed that it had received an investment from FTX, but FTX later denied the information. https://t.co/n1seacx7a5
– WU Blockchain (@WublockChain) April 14, 2025
It also claimed that the mantra once said it had received investment from FTX, and later stated that it was later publicly denied by the now-defunct exchange.
“It’s not our fault”: 94% of the spell point after the collapse of OM is in communication
Shortly after OM’s dramatic plunge, Spell co-founder John Patrick Mullin issued a public statement trying to calm the community.
Posted on his personal account, Mullin firmly denies any involvement from the core team, the spell chain association or internal investors. He stressed that all tokens are locked under the publicly disclosed attribution plan and that all wallets related to the project are completely transparent and traceable.
Mullin claims that centralized exchange (CEXES) triggered forced liquidation during a period of low market liquidity, especially on Sunday UTC.
“The time and depth of drops point to unexpected locations closed without any warning or prior notice. This incident underscores the lack of supervision of centralized exchanges and may reflect intentional attempts to dominate the market,” Mullin said.
He added: “We are actively working with our communication partners – entities with significant control. However, when such power is abused, such incidents will continue to occur.”
Mantra also announced the Community AMA on X to further clarify the incident. The project warns users to avoid clicking suspicious links because scammers are trying to take advantage of the situation.
It is worth noting that Binance, one of the world’s largest cryptocurrency exchanges and the current marketplace for OM, issued a formal statement confirming that it is closely monitoring the ongoing developments surrounding the spell. In today’s notice, Binance said it could suspend transactions, downgrade the token or take other risk management measures to protect users if it detects serious violations related to transparency or false list disclosures.
In view of price volatility, liquidity disruptions, and unresolved issues, analysts urge investors to trade with caution to avoid unnecessary financial risks.
This dramatic collapse also triggered an unexpected ironic twist, dragging a completely unrelated project to a similar name – Manta, into the firefight. Manta’s co-founder publicly clarified that due to similar names, their projects have no affiliation with the spell after the spread.
in conclusion
The team attributed the crash to external liquidation, but chain activity and OTC transaction reports have raised suspicion from the community.
Mantra’s path forward is under scrutiny and trust in transparent, rapid communication and structural reform. It is unclear whether this marks a temporary setback or the beginning of a deeper disbandment.
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