On April 13, OM token lost about 90% of the cost in just 90 minutes. market capitalization fell by $ 5.5 billion. Experts believe that the cause was the manipulation of liquidity organized by market makers and insiders.
This was stated by the participants of the Podcast The Chopping Block and the analysts of Oddeyeresearch:
Before the collapse, OM entered the top-25 of capitalization, despite the fact that less than 1% of the coins were really liquid.
Manipulations included fictitious transactions between affiliated addresses that simulate activity.
The evaluative value of the OM circulation exceeded $ 6 billion, while the actually blocked funds were ~ $ 15 million.
The collapse occurred after one of the major holders began to massively eliminate the position. This revealed the “empty” depth of the market and brought down the price.
The proposed solutions:
Disclosure of Market-Making Agreements
Mandatory verification of volume sources
Listing tokens with falsified liquidity
Earlier, Oddeyeresearch also reported that Mantra insiders participated in the collapse. According to them, the reason was a violation of the conditions within the team.
