Mantra, a blockchain project focused on real-world assets, has announced a major restructuring after a difficult 2025 marked by sharp market pressure and a severe token decline.
The company said the changes follow what leadership described as the most challenging year in its history, as its existing business model came under strain.
Chief executive John Patrick Mullin confirmed the move to a leaner and more capital-efficient structure after a period of rapid expansion.
The restructuring includes staff reductions across several departments and a broader streamlining of internal operations.
Mullin said the decision was aimed at aligning the company more closely with current market realities rather than pursuing growth at all costs.
I take full accountability for these decisions and for the path that led us here, and I know this is an incredibly challenging situation for those directly impacted.
John Patrick Mullin said.
He added that the changes were driven by a strategic reset rather than a narrow effort to cut costs.
Mullin told Cointelegraph that while the layoffs would reduce expenses and extend the firm’s financial runway, the primary goal was to sharpen execution.
He said Mantra is concentrating resources on areas with the strongest long-term potential.
This hasn’t changed our core RWA strategy in the slightest, and if anything we are doubling down on it.
John Patrick Mullin added.
The company is prioritising development of its layer-1 blockchain, mantraUSD, and Mantra Finance as part of its revised focus.
The restructuring follows a steep decline in Mantra’s OM token that began earlier in 2025.
Market data shows OM reached a peak of $8.99 in February before falling sharply to $0.59 by mid-April.
The token remains about 99% below its previous high following the collapse.
In April, Mantra attributed the crash to aggressive leverage practices on centralised exchanges.
The company warned at the time that liquidation cascades could pose systemic risks to crypto projects.
Mullin said the issue extended beyond Mantra and called on exchanges to reassess leverage policies for native tokens.
Following the crash, Mantra announced governance and transparency measures to stabilise the project.
These steps included validator decentralisation, a real-time tokenomics dashboard and the burning of 150 million staked OM tokens.
Despite these actions, the prolonged market downturn continued to pressure the company’s finances.
Mullin acknowledged that Mantra’s cost base had become unsustainable under current conditions.
The company also faced tensions with crypto exchange OKX in the months following the collapse.
In December, Mullin urged OM holders to withdraw tokens from OKX, citing alleged inaccuracies around a token migration.
OKX rejected the claims and said it had evidence suggesting coordinated market activity ahead of the April crash.
Mullin said the layoffs mainly affected business development, marketing, human resources and support teams.
He said the company is now focused on a narrower execution path as it attempts to stabilise and rebuild.