MANTRA Chain Halts Network as OM Token Hits All-Time Low

MANTRA Chain suspended operations following a software vulnerability, causing the OM token to drop 18.5% to an all-time low of $0.004126.

The disruption impacted validators, bridges, and transfers, while the OM token slumped to an all-time low of $0.004126.

External Software Vulnerability Triggers Network Halt

MANTRA initially described the issue as an incident requiring a preemptive network suspension. Subsequent updates provided more clarity, revealing that an attacker exploited a vulnerability in a software dependency used by the blockchain.

The last recorded block was produced at approximately 23:13 UTC, just minutes after OM reached its historical low. Following this, validators were shut down, making asset movement across the network impossible.

Affected Services Include:

• Transactions and transfers on MANTRA Chain;
• Staking operations;
• Bridges;
• Deposits and withdrawals through affected exchanges.

MANTRA stated on its official status page that the shutdown itself did not affect user funds. A full snapshot of the blockchain’s state was taken before the restart process began.

OM Drops to $0.004126 as Volume Surges Sixfold

Market reaction was significantly more intense than the typical volatility seen during blockchain network outages.

OM fell from approximately $0.005060 to $0.004126, marking a decline of roughly 18.5% from its 24-hour peak. The token later recovered some losses to reach around $0.0044 but remained down approximately 10% for the day.

Meanwhile, trading volume surged by nearly 600%, reaching approximately $24 million.

This movement is significant beyond the immediate price drop. For a Layer 1 network, halting block production removes the ability for market participants to move assets on-chain exactly when uncertainty is highest. While liquidity on centralized exchanges may remain available, deposits, withdrawals, and arbitrage between different markets are restricted.

Why the Incident is Particularly Sensitive for MANTRA

MANTRA positions itself as infrastructure for Real-World Asset (RWA) tokenization, rather than just a blockchain for speculative crypto applications.

This focus places higher demands on network uptime. Institutions moving funds, bonds, or other tokenized financial instruments onto the blockchain must be able to rely on predictable settlement infrastructure.

The project has secured significant financial and institutional backing for this strategy. In 2025, MANTRA launched the $108.9 million “MANTRA Ecosystem Fund,” designed to finance RWA projects over the next four years. Partners and investors listed by the project include Nomura’s Laser Digital, Brevan Howard Digital, Shorooq, Amber Group, and other investment firms.

Earlier, MANTRA also secured a strategic investment from Laser Digital aimed at expanding RWA business operations in the Middle East and Asia.

Restart Will Not End Security Concerns

MANTRA is currently preparing and testing the necessary fixes to bring the mainnet back online. The project’s official status indicates that the network remains suspended while this process continues.

However, technical recovery is only the first step. For an institutionally-oriented RWA network, the exact origin of the vulnerability, the scope of the exploit, and the measures taken to prevent a recurrence will be critical.

The incident also raises broader questions about dependencies in blockchain infrastructure. Even when a problem does not originate from a project’s own code, a vulnerability in a component of the software stack can force an entire network to stop.

For MANTRA, the next test after the restart will be whether the technical analysis of the breach and subsequent fixes can restore confidence in a network that aims to serve assets from the traditional financial system.