The crypto market just witnessed another jaw-dropping collapse. Mantra (OM), once hailed as a promising real-world asset (RWA) token, has lost more than 90% of its value in just 24 hours.
From Soaring to Sinking in a Day
Only days ago, Mantra boasted a 640% gain over 12 months. At its peak, the token enjoyed a market cap of around $6 billion. But that number has now plunged to just $485 million.
This sharp decline has raised serious concerns within the crypto space. Mantra’s recent momentum was fueled by big moves, including a VASP license from Dubai’s VARA, positioning it as a compliant RWA ecosystem. Yet, the token’s unexpected free fall has left many wondering if these ambitious plans will still hold up.
What is Mantra?
Mantra emerged as the second major RWA token after Chainlink. It aimed to build a compliant end-to-end platform for asset tokenization and trading.
The company also recently launched the Mantra Ecosystem Fund (MEF)—a four-year global initiative to support RWA and DeFi projects. MEF promised OM token grants and capital investments focused on lending, trading, derivatives, and infrastructure.
Additionally, Mantra struck a $1 billion tokenization deal with DAMAC Group, covering sectors like real estate, hospitality, and data centers.
Community Reacts to the Collapse
As the price collapsed, many in the crypto community voiced suspicions.
A research analyst known as Choze compared the event to the Terra Luna crash of 2022, tweeting:
That alone wiped out roughly $3.5 billion in market value.
Another community member, TrimBot, called it “pure market manipulation.”
Attempts to contact Mantra through its official website were unsuccessful. It remains unclear if the site was temporarily down or deliberately disabled.
More on MEF: Mantra’s Growth Engine
Despite the crisis, CEO Patrick Mullin recently emphasized MEF’s role in blockchain innovation.
“With MEF, we’re not just writing checks—we’re building a strategic on-ramp for the next wave of blockchain innovation,” Mullin said earlier this month.
He added that the fund provides capital, infrastructure, and regulatory support for blockchain founders worldwide.
MEF is backed by notable capital partners like Laser Digital, Amber Group, Shorooq Partners, Brevan Howard Digital, and DAMAC, among others.
What’s Next for Mantra?
Right now, the future looks uncertain. The project’s bold vision and deep-pocketed partnerships could help it recover—but trust is fragile in crypto. The token crash, coupled with a lack of communication, may have lasting damage on Mantra’s credibility.
As the dust settles, investors are waiting for an official response—and hoping this isn’t a repeat of past crypto disasters.
