MANTRA, a popular layer-1 blockchain firm focused on real-world asset (RWA) tokenization, announced a company-wide restructuring on Jan. 14.
This follows a turbulent year marked by a sharp market downturn and the collapse of its native token, OM, earlier in 2025.
In a statement on X, MANTRA co-founder and CEO John Patrick Mullin said the restructuring will reduce headcount as part of a strategic reset.
The decision is aimed at becoming leaner and more capital-efficient heading into 2026, he added.
MANTRA was originally launched as MANTRA DAO, a DeFi-focused platform, before evolving into MANTRA Chain.
Related: What is tokenization? Explained
OM token collapse intensified financial strain
The restructuring follows a dramatic market event on Apr. 13, 2025, when the price of OM fell by more than 90% , dropping to as low as $0.456472.
Before the crash, OM had been trading well above $6, giving the project a market capitalization exceeding $6 billion.
Following the collapse, OM's market cap fell to roughly $681 million, significantly impacting the project's financial position and market perception.
Mullin said in a post on X that the collapse was triggered by "reckless forced closures initiated by centralized exchanges on OM account holders," alleging that forced liquidations during low-liquidity conditions caused a cascading sell-off.
He held one centralized crypto trading exchange to be primarily responsible for his project's collapse, but didn't drop any names.
More News:
-
Mysterious trader buys millions ahead of Wednesday's Supreme Court tariff ruling
-
Veteran trader who called 50% gold crash compares silver to privacy asset
Layoffs reflect shift toward focused execution
According to Mullin, despite investing heavily to scale its layer-1 blockchain, RWA tokenization infrastructure, and ecosystem growth, multiple factors have resulted in the restructuring.
"The incredibly unfortunate and frankly unfair events of April 2025, the prolonged market downturn, increased competition, and shifting market dynamics have made our cost structure unsustainable relative to our near-term realities,"Mullin wrote.
The restructuring affects teams across the organization, with business development, marketing, HR and support functions seeing the largest reductions.
Mullin emphasized that the cuts are not performance-related but reflect a narrower operational focus.
Despite the setbacks, Mullin reaffirmed confidence in MANTRA Chain.
"I deeply believe in what we're building. I believe in the potential of MANTRA Chain, our RWA ecosystem, and the role we'll play in the next phase of crypto adoption,"he added.
He said the company aims to streamline operations, prioritize core initiatives and push toward profitability, adding that further details on MANTRA's updated operating rhythm will be shared in the coming weeks.
Related: Here's What RWA Tokenization Needs to Reach Traditional Markets
This story was originally published by TheStreet on Jan 14, 2026, where it first appeared in the Jobs, layoffs and employment news section. Add TheStreet as a Preferred Source by clicking here.
