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  • Mantra’s OM Token Plunges 90%: What Caused the Crash and What Comes Next?

    Mantra’s OM Token Plunges 90%: What Caused the Crash and What Comes Next?

    Key Takeaways

    • Mantra’s OM token dropped over 90% within hours, sparking shockwaves across the crypto space.
    • The Mantra team blamed forced liquidations by centralized exchanges, not project issues.
    • Over $50 million in OM futures were liquidated, with open interest plummeting.
    • The selloff reignited fears of market manipulation and drew comparisons to past collapses like Terra (LUNA).
    • Despite the crash, Mantra highlights strong fundamentals and major partnerships moving forward.

    What Happened?

    In the late hours of Sunday through early Monday (April 14, 2025), Mantra’s OM token experienced a devastating 90% crash, plunging from over $6 to just $0.40 in a matter of hours. The sharp decline occurred without a clear catalyst, raising concerns across the crypto market and fueling conspiracy theories about behind-the-scenes manipulation.

    Forced Liquidations by Centralized Exchanges?

    John Patrick Mullin, Mantra co-founder, pointed to “reckless, forced closures” of OM positions by centralized exchanges as the likely cause. He stated that there were no technical or fundamental issues with the project.

    “We have determined that the OM market movements were triggered by reckless forced closures initiated by centralized exchanges on OM account holders,” Mullin said on X (formerly Twitter).

    Mantra’s official account echoed the sentiment:

    “We want to be clear: this was not our team. Today’s activity was triggered by reckless liquidations, not anything to do with the project. We’re investigating and will share more soon.”

    Over $50M Liquidated – Futures Market Shaken

    More than $50 million in long OM futures positions were liquidated during the crash, marking a historic liquidation event for the token. Open interest collapsed from around $345 million to $130 million, signaling a rapid exit from leveraged positions.

    Community Divided: Parallels to Terra’s Collapse

    The OM crash drew instant comparisons to the infamous Terra (LUNA) collapse of 2022. Although the situations differ, the sudden, unexplained price movement during low-liquidity trading hours brought back unsettling memories.

    The crypto community remains divided. While many rallied behind Mantra, others voiced skepticism in response to Mullin’s posts, questioning the explanation and calling for transparency.

    OKX’s Star Xu Calls for Transparency

    Adding to the controversy, OKX founder Star Xu weighed in on a report highlighting over $220 million in OM token deposits to exchanges just before the crash. Xu responded:

    “It’s a big scandal to the whole crypto industry. All of the onchain unlock and deposit data is public, all major exchanges’ collateral and liquidation data can be investigated. OKX will make all of the reports ready!”

    His statement hints at industry-wide investigations into potential misconduct or coordinated selling.

    Mantra’s Real-World Asset Vision Remains Intact

    Despite the market panic, Mantra continues to position itself as a leader in the tokenization of real-world assets (RWAs) such as real estate, infrastructure, and commodities.

    In January 2025, Mantra announced a landmark partnership with the DAMAC Group, a UAE-based conglomerate, to tokenize over $1 billion in assets, including real estate developments, data centers, and hospitality properties.

    OM acts as the utility and governance token powering the Mantra ecosystem and RWA-based transactions.

    Conclusion: Market Shaken, But Project Fundamentals Solid

    The OM crash is a stark reminder of the volatility and opacity that still plague the crypto industry. While the project’s fundamentals appear intact, the event underscores the need for greater transparency, decentralized risk controls, and improved exchange accountability.

    As investigations unfold, investors are urged to stay informed, manage risk wisely, and watch for further developments.

  • Argentine Stablecoin Market Skyrockets as Currency Controls Are Lifted

    Argentine Stablecoin Market Skyrockets as Currency Controls Are Lifted

    In a bold economic move, Argentina has officially begun dismantling its long-standing currency control system, triggering a surge of activity in the nation’s stablecoin markets. Within hours of the announcement, trading volumes on local crypto exchanges doubled, highlighting the growing role of digital assets in Argentina’s volatile financial ecosystem.

    The End of the “Cepo”: A New Era for Argentine Currency Policy

    The Argentine government recently unveiled sweeping reforms aimed at liberalizing the foreign exchange market. These include the gradual removal of the infamous “cepo”—a series of currency controls implemented to curb capital flight and stabilize the peso.

    Under the new regime, the peso will be allowed to trade within a controlled band, with minor monthly adjustments. These changes are part of a broader plan to stabilize the economy, improve transparency, and encourage foreign investment, while curbing inflation and reducing the demand for black-market U.S. dollars.

    A Digital Response: Stablecoin Volumes Explode

    The announcement sent shockwaves through the crypto space, with stablecoin trading volumes experiencing a dramatic spike. In the immediate aftermath of the news, major local exchanges saw a 100% increase in trading activity. Initially, this surge was driven by panic selling, as users rushed to offload digital dollars such as USDT (Tether) and USDC in anticipation of market swings.

    However, by the following day, the trend had shifted. Demand for stablecoins rebounded sharply as Argentine users rushed to re-enter the market, viewing digital dollars as a safe haven amid economic uncertainty. This sudden pivot pushed exchange rates for stablecoins higher, reflecting increased confidence in their utility as a store of value.

    On some platforms, buy orders significantly outpaced sell orders, indicating a return of bullish sentiment. On others, the volatility continued, driven by speculation and differing outlooks on the peso’s future.

    Crypto as a Hedge Against Uncertainty

    For many Argentines, stablecoins offer more than just convenience—they represent financial stability. In a country where inflation has repeatedly eroded purchasing power and traditional banking systems often fail to meet people’s needs, digital dollars have become a popular alternative.

    The lifting of currency controls has created uncertainty in traditional markets but reaffirmed the importance of decentralized finance (DeFi) and digital assets. Many users, including both individual investors and small businesses, are now turning to stablecoins as a hedge against further devaluation of the peso and potential financial turbulence in the coming months.

    What Comes Next?

    While the removal of currency restrictions signals progress toward economic normalization, it also introduces short-term volatility. Traders are now closely watching how the peso responds to its new floating regime, and whether the government will maintain the delicate balance needed to prevent further inflation.

    In the meantime, the stablecoin market is likely to remain highly active. The recent surge in trading activity may be just the beginning of a longer-term trend, as Argentines increasingly embrace digital dollars as part of their everyday financial toolkit.

    Final Thoughts

    Argentina’s shift in currency policy marks a pivotal moment for both its economy and the crypto ecosystem. As traditional financial structures evolve, stablecoins are emerging as vital tools for protection and flexibility in uncertain times. With adoption on the rise and market dynamics shifting rapidly, all eyes are now on Argentina’s next steps—and how its people continue to harness the power of digital finance.

  • Ethereum in Free Fall: ETH Short ETFs Top 2025 Performance Charts

    Ethereum in Free Fall: ETH Short ETFs Top 2025 Performance Charts

    Ethereum’s Price Drops Sharply – Short ETFs Dominate the Year

    Ethereum (ETH), the world’s second-largest cryptocurrency by market capitalization, is struggling in 2025. While long-term holders cling to hopes of a recovery, short sellers are seeing massive gains. Short ETFs betting against Ethereum have become the best-performing ETF products of the year.

    Bloomberg senior ETF analyst Eric Balchunas highlighted this development on April 9, 2025, via X (formerly Twitter):

    “The best performing ETF this year is the -2x Ether ETF $ETHD, up 247%. #2 is the other -2x Ether ETF. I was sure it would be $UVIX (2x VIX), but that’s #3. Brutal.”
    – Eric Balchunas (@EricBalchunas)

    What Are Ethereum Short ETFs, and Why Are They Surging?

    Short ETFs are financial instruments designed to profit from declining asset prices. Leveraged inverse ETFs, such as $ETHD and $ETHU, aim to deliver twice the inverse daily return of Ethereum. That means a 10% drop in ETH could result in a 20% gain for these ETFs.

    Ethereum’s massive drop in 2025—from $3,300 in January to about $1,500 in April—has driven these short products to record returns. With performance gains of over 240%, they currently top ETF leaderboards globally.

    Ethereum Hits 5-Year Low Against Bitcoin – What’s Driving the Crash?

    Ethereum has been in a downward spiral since its all-time high of nearly $4,800 in November 2021. In April 2025, ETH is trading at its lowest level in over five years compared to Bitcoin, raising serious concerns about its long-term position in the crypto market.

    Key Factors Behind Ethereum’s Poor Performance:

    • Macro headwinds: High interest rates and regulatory uncertainty are scaring off institutional investors.
    • Rising competition: Blockchains like Solana, Avalanche, and various Layer 2 rollups offer faster and cheaper alternatives.
    • Stagnant development: Despite technical upgrades like the Merge, critics argue that Ethereum lacks momentum in real-world adoption.
    • Declining DeFi and NFT activity: Ethereum’s once-dominant use cases are seeing diminished user engagement.

    Ethereum Market Cap Still Strong – But Losing Ground

    Despite the sell-off, Ethereum remains the second-largest cryptocurrency with a market cap of $191 billion. However, its dominance is shrinking. As of April 2025, Bitcoin commands about 55% of the total crypto market, while Ethereum has dropped to 15%.

    What Should Investors Do Now?

    For short-term traders, leveraged short ETFs like $ETHD have offered stellar returns. But for long-term ETH investors, it’s a critical moment: hold, sell, or pivot to new opportunities? Market sentiment remains bearish, and technical indicators suggest the downtrend could persist.

    Conclusion: Ethereum Under Pressure – Short Strategies Win 2025 (So Far)

    Ethereum’s sharp decline in 2025 has turned it from crypto darling to digital underdog. While short ETF investors are cashing in on the volatility, Ethereum’s long-term future remains uncertain. Whether this is a long-term shift or a painful market correction is still up for debate.

  • SEC Drops Lawsuit Against Helium Developer Nova Labs in Landmark Win for Crypto Industry

    SEC Drops Lawsuit Against Helium Developer Nova Labs in Landmark Win for Crypto Industry

    The SEC has dismissed its lawsuit against Helium developer Nova Labs over the unregistered issuance of HNT tokens. A potential turning point for U.S. crypto regulation under the Trump administration.

    SEC Drops Lawsuit Against Helium Over HNT Token – What It Means for Crypto Regulation

    In a major development for the crypto industry, the U.S. Securities and Exchange Commission (SEC) has officially dismissed its lawsuit against Nova Labs, the developer behind the decentralized wireless network Helium. The case revolved around claims that Helium’s native token, HNT, constituted an unregistered security when issued in 2019.

    Originally filed in January 2025, the lawsuit was one of the final regulatory actions under former SEC Chair Gary Gensler, who stepped down following the inauguration of President Donald Trump. Under the new administration, the SEC has signaled a dramatic shift in its stance toward digital assets.

    Case Dismissed “With Prejudice”: A Legal Win for Nova Labs

    The SEC’s dismissal of the lawsuit with prejudice means it cannot bring the same charges against Nova Labs again for the 2019 token issuance.

    “We can now definitively say that all compatible Helium Hotspots and the distribution of HNT, IOT, and MOBILE tokens through the Helium Network are not securities,” Nova Labs wrote in a blog post following the announcement.

    This ruling is seen as a precedent-setting moment for Web3 infrastructure projects, suggesting that token distribution models designed to incentivize decentralized network participation may not automatically fall under securities law.

    Helium Network Remains Strong Despite Market Volatility

    Helium is a decentralized network powered by blockchain that enables users to deploy wireless hotspots and support the Internet of Things (IoT). As of April 2025, the network has around 375,000 active hotspots globally.

    While HNT’s market cap currently stands at approximately $480 million, it once peaked at over $5 billion in late 2021, reflecting both the potential and volatility of crypto-based infrastructure projects.

    The Trump Administration’s Crypto-Friendly Regulatory Shift

    President Trump has taken a notably pro-crypto stance, pledging to support innovation and even proposing the creation of a national Bitcoin reserve. Since his administration began, the SEC has backed away from high-profile lawsuits against major crypto players like Coinbase, Ripple, Kraken, and Uniswap.

    With Paul Atkins, a known crypto advocate, now serving as SEC Chair, the agency is undergoing a comprehensive review of its crypto-related guidelines. Acting Chairman Mark Uyeda announced on April 5 that the SEC is reconsidering seven key staff statements, including the 2019 FinHub framework that applied the Howey Test to token offerings.

    This review is being conducted under Executive Order 14192, titled Unleashing Prosperity Through Deregulation, and coordinated with the Department of Government Efficiency (DOGE), led by Elon Musk.

    Key Regulatory Changes: Stablecoins, Custody, and Risk Guidance

    On April 4, 2025, the SEC published new guidance classifying certain fiat-backed stablecoins as non-securities, removing them from transaction reporting requirements. This move is expected to boost stablecoin adoption in the U.S. and reduce compliance friction for fintech firms.

    Other policy areas under review include:

    • Crypto custody requirements for registered investment advisers
    • Bitcoin futures risk disclosures
    • Guidance from 2022 related to industry bankruptcies and contagion

    Why This Matters

    The dismissal of the Helium lawsuit could become a watershed moment in how the U.S. regulates Web3 projects, decentralized infrastructure, and token economies. It sends a strong message that under the Trump administration, crypto innovation will be met with regulatory clarity, not hostility.

  • Donald Trump and Bitcoin: How the Former President Influences the Crypto Debate

    Donald Trump and Bitcoin: How the Former President Influences the Crypto Debate

    Donald Trump doesn’t just polarize in politics—he’s also a key voice in the Bitcoin conversation. Here’s how the former U.S. president views cryptocurrencies and how his stance affects the crypto market.

    Introduction: Trump and Bitcoin – A Controversial Pair

    Donald Trump is known for bold statements, a disruptive political style, and his dominance in global headlines. Less known, but increasingly relevant, is his outspoken stance on Bitcoin and cryptocurrencies. As digital assets like BTC and Ethereum go mainstream, Trump’s position on crypto has sparked debate across political and financial communities.

    Who Is Donald Trump? A Brief Overview

    Born on June 14, 1946, in New York City, Donald Trump served as the 45th President of the United States from 2017 to 2021. Before politics, he was a real estate mogul and TV personality known for The Apprentice. His presidency was defined by nationalism, populism, and his “America First” doctrine.

    Trump transformed U.S. politics with his outsider image—and he didn’t spare the financial world, including crypto, from his influence.

    Trump’s Take on Bitcoin: Critical, Cautious, and Dollar-First

    Unlike some Republican figures who have embraced crypto, Donald Trump has repeatedly criticized Bitcoin in public:

    “Bitcoin just seems like a scam… I don’t like it because it’s another currency competing against the dollar.”
    — Donald Trump, Fox Business, June 2021

    This sums up Trump’s core concerns. He sees Bitcoin not as a digital store of value, but as a potential threat to the U.S. dollar’s dominance—something he’s committed to preserving.

    Why Does Trump Oppose Bitcoin?

    • Threat to Monetary Sovereignty: Trump views BTC as a challenge to U.S. economic control.
    • Volatility: He argues that Bitcoin is too unstable for use as money.
    • Criminal Use: Trump has echoed the common claim that crypto can facilitate illegal activity.
    • Regulatory Skepticism: He favors tighter regulation over digital assets.

    Still Influential in Crypto Circles

    Despite his anti-Bitcoin stance, Trump remains highly influential in the crypto world. His public remarks have moved markets, sparked debates, and shaped the narrative around regulation. Investors take note of his views, even when they disagree.

    Looking Ahead to 2024: Will Crypto Become a Campaign Topic?

    As Trump campaigns for the 2024 U.S. election, digital assets are likely to play a bigger role in political discourse. Some of his potential rivals—like Robert F. Kennedy Jr. or Ron DeSantis—have shown support for Bitcoin.

    Trump may shift his tone if crypto adoption among voters grows. Though historically resistant, he’s proven pragmatic when it serves his political agenda.

    Conclusion: Trump, Bitcoin, and the Fight for Financial Control

    Donald Trump is not a fan of Bitcoin, and he hasn’t tried to hide it. But ironically, his voice continues to influence the crypto market and its public perception. In a world where politics and digital finance are more connected than ever, Trump’s stance on Bitcoin is a key factor for investors, analysts, and policymakers alike.

    Whether you see him as an obstacle or an opportunity for Bitcoin’s future, one thing is certain: when Trump talks, the world—and often the market—listens.