MANTRA, a layer-1 blockchain focused on real-world asset (RWA) tokenization, has declared substantial layoffs in the wake of a challenging year in 2025. This initiative is part of a broader restructuring strategy aimed at improving capital efficiency and sharpening the company”s focus on core operations. As reported, the native token OM was valued at approximately $0.076 at the time of this announcement.
John Patrick Mullin, the chief executive officer and founder of MANTRA, described the layoffs as one of the most difficult decisions the company has faced. This restructuring effort follows a tumultuous period for the OM token, which plummeted from its peak of $8.5 in February 2025 to its current lows. The sharp decline was triggered by a catastrophic flash crash that saw the token”s value drop over 90%, resulting in billions lost in market capitalization due to forced liquidations and market manipulation on centralized exchanges.
The restructuring is set to predominantly affect non-core functions, including business development, marketing, and human resources. Mullin emphasized that the strategic overhaul aims to create a leaner organization, thereby enhancing operational efficiency and ensuring disciplined execution as the company prepares for a rebound in 2026. He acknowledged the difficult circumstances leading to this decision, citing “incredibly unfortunate and frankly unfair events” that have made their cost structure unviable in light of current market conditions.
Despite these setbacks, the MANTRA team remains optimistic about the future and is eager to leverage past achievements. Mullin expressed confidence in the potential of the MANTRA Chain to foster innovation and drive adoption in the RWA sector. By streamlining operations and reallocating resources towards essential priorities, the company aims to enhance its ability to deliver products effectively as it seeks a pathway toward profitability and sustainability.
However, the announcement has sparked mixed reactions within the community, with some applauding the transparency of the decision, while others voiced concerns over the layoffs. Mullin reassured stakeholders that he is committed to the project and plans to share more about the company”s refined priorities and operational strategies in the upcoming weeks.
As of January 14, 2026, the OM token managed to reach intraday highs of $0.082, indicating some recovery, albeit from significantly lower levels.
