Altcoin Spotlight: Mantra (OM)
Here at MintDice.com, we frequently feature altcoins that break the top 50 in terms of market capacity. While these tokens aren’t always good investments, the fact that they are in the top 50 does make them somewhat important to learn about.
This week we are discussing Mantra, which is a DeFi platform that gives customers the option and access to many cryptocurrency financial products. Keep reading to learn more.
What is Mantra?
Mantra is a platform similar to Binance or Coinbase, which offers options for buying and selling cryptocurrency. In addition, users can also stake or lend tokens to other users. It is a decentralized finance platform, meaning there is no overseeing body, and those holding the native governance tokens (OM) get to vote on the future of the platform.
Mantra is built using RioChain on the Polkadot network, though it also has interchain capabilities with and blockchain built on Cosmos. Mantra uses a proof of stake consensus mechanism, which is sponsored by a treasury protocol that both burns and creates tokens as needed. As of the writing of this article, although Mantra is a decentralized platform, it does require KYC checks.
What is OM?
As mentioned above, OM is the native governance token of the Mantra platform. Those holding the token can use them for a variety of purposes, which we have listed below.
· Governance: Users get to vote on the future of the Mantra platform.
· Staking: Holders can stake their OM to earn a passive income.
· Access to Airdrops: Holding OM means you can receive airdrops during events on similar decentralized platforms.
· Lending: Users can lend their OM to others in exchange for interest.
· Karma Points: Mantra has a unique Karma Protocol, and holding OM allows you to connect and participate in the protocol.
This is most of what you can do with OM, though additional functions may be added in the future.
What is the Karma Protocol?
A unique feature of the Mantra platform is its Karma Protocol. Karma Protocol is a unique user ranking system that grades users based on their actions within the ecosystem. In general, being more active and engaging in positive behavior (such as lending and paying on any loans on time) increases your karma points. Negative behavior, like defaulting on payments, lowers your karma point.
Karma points are a bit like an American credit score and are similar to the karma points on social platforms like Reddit. While every user is automatically enrolled in the protocol, you don’t have to focus on it. Those with a higher karma score, though, will benefit from increased staking rewards and reduced fees on their OM actions—so it beneficial to maintain a high karma score.
Who Invented Mantra?
Mantra was developed by John Patrick Mullin, Will Corkin, and Rodrigo Quan Miranda sometime in 2019 and was launched in 2021. Because Mantra is a DAO (Decentralized Autonomous Organization) though it has founders, they are not as actively involved in the platform as they once were. All changes to the platform are proposed in a vote for OM holders to vote on.
Mantra Token Unlocks
Since launch, the majority of the OM tokens have remained locked, with plans for unlocks coming in 2025, 2026, 2027, and 2028. The total number of tokens will eventually be 888.89 million, though currently only 39.61% are unlocked.
The rate of unlocking OM tokens will increase dramatically in the coming years, with all tokens planned to be unlocked by October 27th, 2028.
Should You Buy Mantra (OM)?
If you are interested in using the Mantra platform for DeFi purposes, then it makes sense to invest in OM. Not only do you definitely need OM to interact with the platform, but you also would receive karma points for doing so. This means that your cost to use the platform would decrease over time.
That being said, as solely an investment vehicle (if you don’t plan to use the Mantra platform at all), OM likely isn’t a good buy. Its uses are mostly restricted to the Mantra platform, and though it does have a bit of cross-chain abilities, we just don’t see it rising to become an extremely popular project.
The truth is, there are so many DAOs out there these days that it’s impossible to predict which ones will still be around in five years, so unless you plan to use Mantra, it’s probably better to skip an investment in OM.
Where Can You Buy Mantra (OM)?
If you have decided that an investment in Mantra is beneficial to you, check out these platforms where you can buy OM.
· Pionex
· Bitrue
· Kriptomat
· KuCoin
· CoinCarp
As you can see, these are all decentralized exchanges. While OM can occasionally be found on a centralized exchange, you will more likely find it on one that is decentralized. These DEXs all carried OM when this article was published in November 2024, though this could change in the future.
What Wallets Support OM?
Before you buy your OM, you’ll need somewhere to store it. Below are all of the wallets that are compatible with OM as of the writing of this blog article.
· KuCoin software wallet (on their website)
· MetaMask
· Atomic Wallet
· Coinomi
· Exodus
· Trezor
· Ledger
Hopefully you will find a wallet you like to use in this list. If you don’t see your favorite wallet, however, don’t worry, it might still be compatible with OM. OM is built on RioChain through the Polkadot network—meaning any wallet which works with Polkadot should allow you to store your OM.
Ensure you check before purchasing so you aren’t left scrambling to find a wallet!
Overall, we hope this article has helped you better understand the Mantra platform and all that it has to offer. If you decide to use the platform to meet your DeFi needs then purchasing some OM is a good idea! If the Mantra platform isn’t for you, that’s okay too, there are many other options in the DeFi world that can help you buy, trade, and stake cryptocurrencies!
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