MANTRA's New Proposal Suggests Updates To OM Tokenomics Ahead Of Mainnet Launch

Layer 1 blockchain platform MANTRA, focused on tokenized real-world assets (RWAs), has introduced a new proposal for updates to its OM tokenomics and the MANTRA Chain mainnet in anticipation of the upcoming mainnet launch. 

The proposal centers around three key areas: token allocations, vesting, and cliff structure, as well as the inflation rate and emission schedule.

The proposal outlines a longest cliff and vesting schedule primarily allocated for the Team and Core Contributors. To ensure strong network security from the outset, these tokens will be staked. Notably, the rewards earned from staking will not be distributed among the team or contributors; instead, they will either be burned or allocated to the community through a future governance vote. 

The second longest vesting period is designated for early investors who participated in the Pre-Seed and Seed Rounds. Furthermore, the unvested portion of the MANTRA Chain Association Ecosystem, totaling 37.7 million OM tokens, has been intentionally kept small at the Token Generation Event (TGE). This strategy is designed to facilitate future liquidity provision for OM, incentivize builders, and support community initiatives from the outset.

Additionally, the MANTRA Mainnet Airdrop, referred to as the “GenDrop,” will distribute 50 million OM tokens to participants who have actively engaged with the network. The airdrop allocation will commence vesting three months after the Mainnet launch. To ensure immediate benefits for participants, 20% of the allocation will be available for liquidity as soon as the cliff period concludes.

MANTRA Suggests Simplifications In Inflation Rate And Introduces New Emission Schedule

Furthermore, MANTRA is proposing a fixed inflation rate of 8% for the first year rather than implementing a variable inflation rate. Of this fixed rate, 60% (equivalent to 4.8%) will be allocated as staking rewards to enhance network security, while the remaining 40% (or 3.2%) will be directed to the MANTRA Chain Association to support future initiatives.

Moreover, MANTRA intends to increase the maximum number of tokens that stakers can receive as rewards. This maximum allocation will rise from 35% to 130%, and individual allocations will be adjusted accordingly when the rewards are distributed. For Sherpas who stake less than 100,000 OM in total, rewards will vest over 18 months. In contrast, those who stake more than 100,000 OM will have their rewards vesting period extended to 36 months. This strategy aims not only to provide increased benefits to all participants but also to help alleviate sell pressure over time.

Additionally, MANTRA has introduced a new Emission Schedule that outlines the future emissions of the OM token. At the time of the Mainnet launch, over 90% of the existing legacy OM tokens will already be in circulation. Including the 37.7 million liquid OM from the MANTRA Chain Association, the initial circulating supply will be approximately 880 million OM, which accounts for about 49.5% of the new total supply at the Token Generation Event (TGE). This indicates that, despite the revised tokenomics, OM retains a substantial float and is not solely focused on achieving a high, fully diluted valuation (FDV).

Designed for tokenized real-world assets (RWAs), MANTRA adheres to real-world regulatory standards. As a permissionless system, it enables builders and institutions to seamlessly engage in the evolving landscape of RWA tokenization by offering advanced technology modules, compliance tools, and cross-chain interoperability.

The post MANTRA’s New Proposal Suggests Updates To OM Tokenomics Ahead Of Mainnet Launch appeared first on Metaverse Post.