"Blockchain Analysis Insufficient to Explain Mantra(OM) Token Plunge – CertiK Lead Investigator Calls for Detailed Forensic Probe"

# Forensic Investigation Required to Uncover Reasons Behind OM Token Plunge In the wake of the sharp decline in the price of OM, the native token of the cryptocurrency project Mantra (OM), experts are advocating for a thorough forensic investigation beyond traditional on-chain analysis to identify the root cause. Natalie Newson, Chief Investigator at blockchain security firm CertiK, stressed the need for advanced investigative measures similar to those employed after the FTX collapse. “Without a comprehensive forensic investigation, it is challenging to determine if targeted exploitation occurred,” said Newson. She particularly pointed to the opacity of Over-the-Counter (OTC) transactions, stating, “Tracing wallets alone is not enough.” The price of OM tokens plummeted suddenly in early April. In response, Mantra’s founder and CEO, John Mullin, initiated a burn of $80 million worth of OM tokens to restore user confidence. However, the exact reasons for the price drop remain unknown. # Challenges in Tracking OTC Transactions with On-Chain Tools Newson highlighted that while on-chain data might provide some clues, the unique nature of OTC trading makes it difficult to fully track the flow of transactions. Mullin disclosed in an April 15 interview with the YouTube channel *Coffeezilla* that there had been OTC transactions involving up to $30 million. Unlike standard exchange-based trades, OTC transactions involve the direct trading of large asset volumes outside of public exchanges. This mechanism can improve liquidity and reduce sharp price volatility. However, it presents significant challenges for blockchain tracking due to its off-chain nature. Newson stated, “A whale investor who accumulated approximately 100 million OM tokens appears to have collected them from the secondary market, suggesting potential non-involvement of insiders.” Despite this, some analysts speculated that insider selling might have contributed to the crash. Mullin rejected these allegations, arguing that blockchain analytics platform Arkham incorrectly categorized wallets. # Limitations of Blockchain Analysis Platforms Newson also pointed out the limitations of popular blockchain analytics tools like Arkham and Nansen in confirming potential insider coordination. “To uncover the truth in such cases, additional off-chain information, including specifics of OTC agreements and centralized exchange records, is essential,” she said. Frank Weert, co-founder of transaction-tracking platform Whale Alert, agreed with this sentiment. “We can gather raw data from nodes, but it’s not easy to obtain the full transaction history,” Weert explained. # Next Steps for Mantra As of April 16, Mullin disclosed that the company is considering hiring a forensic auditor, but no decision has been finalized yet. Arkham has yet to issue an official response to inquiries regarding the matter. The continued uncertainty around the OM token's price collapse highlights the inherent complexities in monitoring both on-chain and off-chain activities in the cryptocurrency ecosystem. Whether through forensic auditing or improved transparency in OTC markets, addressing these challenges will be crucial for enhancing trust and stability within the industry.