MANTRA buybacks have kicked off with a new $25 million allocation, aiming to restore investor confidence and OM price after the token’s $5 billion market cap wipeout in April.
Summary
- MANTRA announced OM buybacks with a new $25 million allocation.
- The first MANTRA buyback tranche targets approximately 110 million OM tokens at current valuations, roughly 10% of the circulating supply, and will be executed transparently on major exchanges.
- The announcement follows CEO Mullin’s April pledge after the token’s sharp price crash from $6 to below $0.5 and a wipeout of over $5 billion in its market cap.
MANTRA (OM) has announced an additional $25 million minimum funding commitment to launch its first round of strategic OM token buybacks.
The fresh tranche of capital comes on top of the $20 million investment from Inveniam, which was announced earlier this month to advance its RWA blockchain in the UAE and U.S. While Inveniam’s funding advances the underlying institutional framework, the new $25 million allocation is earmarked specifically for repurchasing OM tokens from the open market.
MANTRA buyback program begins today, August 27, and will be carried out transparently over several months across major centralized exchanges. Independent trading firms will place recurring buy orders at or near market prices. Once purchased, the tokens will be withdrawn as ERC-20 assets, migrated to MANTRA’s mainnet, and staked with its validator set.
At current valuations, MANTRA’s first buyback tranche targets approximately 110 million OM tokens, representing roughly 10% of the circulating supply.
MANTRA buyback initiative fulfills Mullin’s earlier statement in April, when he pledged a token buyback after OM’s price plunged from over $6 to below $0.50, wiping out more than $5 billion in market cap.
“This buyback program is a pivotal moment for MANTRA. It is not merely a financial transaction but a signal of confidence from our existing partners and key stakeholders. Through the repurchasing of OM on the open market, we reinforce our belief in the long-term utility of the token, support our vision for the ecosystem and return value to token holders,” John Patrick Mullin, CEO and Founder of MANTRA said.
Can MANTRA buybacks spark OM recovery after April’s crash?
MANTRA buyback announcement has revived the OM token, with its trading volume surging over 200% in the past 24 hours. OM is currently priced at $0.2305, facing immediate resistance at $0.25, which aligns with the 50-day SMA. OM price was sharply rejected there yesterday.
The mid- and long-term outlook remains bearish, as OM continues to trade below both the 50-day and 100-day SMAs. Short-term momentum also favors the downside, with the 7-day EMA still below the 20-day EMA. A close above the 7-day EMA and 20-day EMA could signal a potential recovery attempt, but a decisive move past the 50-day EMA with follow-through would be required to confirm a broader trend reversal.
