Decentralized finance (DeFi) platform Mantra has referred to as for industry-wide cooperation to cut back investor dangers within the aftermath of its OM token crash.
On April 30, Mantra published its newest replace for the reason that sudden collapse of its OM token, claiming that the incident was “greater than Mantra.”
“Liquidation cascades might occur to any venture within the crypto {industry},” Mantra CEO John Mullin warned within the submit, pointing to the function of “aggressive leverage positions” on exchanges as a broader menace to investor security.
“We’re cooperating with main exchanges to enhance market stability, and we’re calling on the remainder of our {industry} to offer enter on how trade insurance policies can reduce — or proceed to allow — insurance policies that create threat to buyers,” the replace states.
Progress contains governance enhancements
Apart from calling international centralized exchanges to overview their leverage insurance policies, Mantra listed just a few key options following the OM crash.
The primary level involved governance enhancements to the Mantra chain with a concentrate on decentralization. Mantra has pledged to speed up its validator diversification efforts by winding down inside validators and including extra assist companions.
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“By the tip of Q2 2025, we’ll have decreased inside validators by half and onboarded 50 complete exterior companion validators,” the replace states.
Moreover, the replace talked about that Mantra has burned 150 million staked OM tokens, completely eradicating them from the entire provide.
To reinforce transparency, Mantra has launched a real-time dashboard that includes tokenomics information. It has additionally begun alpha testing a brand new Ethereum Digital Machine-compatible testnet referred to as Omstead, geared toward bettering technical resilience.
The submit highlighted that the Mantra chain continued working with out interruption in the course of the value drop, even with transaction volumes at all-time highs.
Cointelegraph contacted Mantra and exchanges, together with Binance and OKX, for remark relating to Mantra’s industry-wide name to motion, however didn’t obtain a response by publication.
It is a creating story, and additional info shall be added because it turns into obtainable.
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