Mantra's OM Token Migration Aims to Unify Liquidity and Power RWA Future

Mantra has proposed a full migration of its OM token from the Ethereum-based ERC-20 standard to its native blockchain, Mantra Chain. This transition, outlined in a governance proposal shared on August 20, 2025, aims to consolidate liquidity, streamline token economics, and strengthen the platform’s infrastructure for real-world asset (RWA) tokenization. The migration is expected to be completed by January 15, 2026, with a managed sunset process coordinated with exchanges to ensure smooth transitions for token holders. Any OM tokens not migrated by the deadline will be reclaimed by the Mantra Chain Association for future ecosystem growth initiatives [2].

Approximately 250 million OM tokens—representing 28% of the total supply—have already been bridged to the native Mantra Chain [3]. This migration will first target liquidity on networks such as Base, Polygon, and BNB Chain before moving to Ethereum later in 2025. By consolidating all trading activity onto the native chain, Mantra anticipates deeper liquidity and a more efficient market structure for OM. The move is designed to reduce fragmentation and simplify utility for users while reinforcing governance and minimizing confusion between token versions [2].

Alongside the migration, Mantra has proposed adjusting the tokenomics of OM. The platform plans to reintroduce an 8% inflation rate, which is expected to bring staking returns to approximately 18% annual percentage rate. Additionally, a hard supply cap of 2.5 billion OM tokens will be set at the protocol level. These changes aim to balance inflation with long-term value retention, a key consideration for investors and ecosystem participants [1].

Validator operations are also set to evolve in the lead-up to the migration. The Mantra Chain Association plans to reduce the number of active validators from five to two in the third quarter of 2025, with the goal of improving decentralization. By the end of the year, the association will introduce commission fees on its validators to encourage broader community participation in network governance [2].

The migration is part of Mantra’s broader strategic vision to position itself as a regulated RWA tokenization platform. By making OM a native token, Mantra aims to enhance infrastructure control over network parameters, transaction costs, and security. This move supports the development of a scalable and robust environment for RWA projects, aligning with the project’s five-year anniversary and recent partnership with Binance as a validator. The migration also aligns with Mantra’s long-term MultiVM roadmap, which envisions a future where diverse asset types can be tokenized and managed within a single, integrated blockchain framework [3].

For token holders, the transition requires active participation to migrate existing ERC-20 OM tokens to the native chain. While 28% of the supply is already bridged, the remaining tokens will need to be moved by the deadline. Mantra has emphasized the importance of clear communication and support mechanisms to ensure a smooth transition. Holders are advised to monitor official channels for migration instructions and timelines [3].

The migration underscores the project’s commitment to building a transparent, efficient, and compliant blockchain infrastructure. By consolidating OM onto a single chain and adjusting tokenomics, Mantra is seeking to create a more unified and resilient platform. These steps are expected to enhance liquidity, improve market dynamics, and position the project as a leading RWA tokenization platform in the evolving crypto ecosystem [1].

Source:

[1] Crypto Migration Lessons: A Look at MANTRA Chain's OM ... (https://www.onesafe.io/blog/lessons-from-mantra-chain-om-token-migration)

[2] Mantra proposes migration of OM from ERC-20 to native ... (https://crypto.news/mantra-migration-om-token-erc-20-native-chain-2025/)

[3] Mantra Chain Migration: A Revolutionary Leap for OM ... (https://cryptonews.net/news/altcoins/31468661/)