Did you hear about Mantra? More like Mant-gone, am I right? Alright, corny jokes out of the way, the 90% plummet of the OM tokens is no laughing matter. It's a tragedy waiting to happen, and frankly, I'm furious. We’re not discussing a $6 billion market cap going up in smoke. Gone. Poof. I’d wager most of that money was hard earned by folks just like you and me. It wasn’t only the whales and VC sharks who got rich.

Let’s be real. No wonder so many young investors were lured by the promise of “financial freedom” and the fantasy of becoming crypto millionaires. They turned around, excitedly pouring their life savings into Mantra. How many lives, how many aspirations, were linked to that token. A down payment on a house? A student loan? A small business venture?

For Sarah, a recent college grad, all her hard-earned savings are being invested into OM. She dreams big that this investment will finally provide her a toehold in a world that feels like it’s tipping evermore unfairly against her generation. Now, she’s in back to square one, perhaps more so. That almost $10,000 financial loss is more than just dollars and cents. That financial blow breaks her hope and her trust. It erodes her belief in the system. Sarah isn't alone. There are so many more like her, the silenced millions in the buzz of the crypto hype fantasy.

The crypto industry has long promoted its sector as a decentralized paradise, unchained from the burdens of government oversight. What occurs when that freedom turns into a license to abuse? The Mantra collapse should be a chilling reminder that this “Wild West” story is not some charming creation myth. Rather, it has turned into a hotbed of grift, fraud, and gambling.

We all know the phrase “do your own research” (DYOR), but how practical is that for the average individual. There’s a lot of complexity with the tokenomics, unaudited code, and a sea of marketing hype to cut through. Are we truly supposed to become financial analysts and cybersecurity specialists to enter this so-called revolution? The answer is no. We need to face facts that advice to DYOR just doesn’t cut it anymore. It’s high time we protect investors not just from themselves, but from the predatory sharks currently circling the crypto waters.

Mantra team says “reckless liquidations” are responsible. Maybe. Maybe not. The truth is, it doesn't even matter. Regardless of the exact cause, this collapse highlights a glaring need: we need real regulation, now!

Just look at the recent Bybit hack, costing them $1.4 billion. These incidents should not be viewed in a vacuum. They’re symptoms of a systemic problem. We need to move on from treating crypto like some inviolable test case. Instead, let’s acknowledge it for the financial market that it really is.

You might be thinking, "Regulation? That sounds like government overreach!" But consider this: what happened in 2008 with the housing crisis? Deregulation, rampant greed, and a dereliction of regulatory responsibility brought about a colossal shortfall that wrecked our nation’s economy. Are we seriously going to do this all over again with crypto?

As progressives, we need to be constantly on alert not just against the full libertarian ideology of the few. Unregulated crypto poses material risks to everyday Americans that we need to address. The Mantra collapse is, of course, a warning, a canary in the coal mine. If we fail to act now, we’re just creating a bigger disaster down the road.

Don't just sit there and scroll. Let your voice be heard. Contact your elected officials. Demand regulatory reform. Share this article. Talk to your friends and family. We need to channel our shared anger into something more productive.

  • KYC/AML on Steroids: Know Your Customer and Anti-Money Laundering regulations need to be far stricter, weeding out bad actors and preventing illicit funds from flowing into the system.
  • Mandatory Insurance for Exchanges: Crypto exchanges should be required to carry insurance to protect users in case of hacks, insolvencies, or outright fraud.
  • Token Offering Oversight: Initial Coin Offerings (ICOs) and other token offerings need greater regulatory scrutiny. Investors need clear, concise, and audited information about the projects they're investing in.
  • Hold Executives Accountable: When things go wrong, there needs to be clear avenues for legal recourse and consequences for executives who engage in negligent or fraudulent behavior.
  • Independent Audits & Transparency Is Key

The dream of a decentralized, democratized financial system is one still worth fighting for. It can’t be built on a foundation of sand. A predictable, strong federal regulatory framework is key. It’ll level the playing field for investors and help deter fraud, making sure the exciting innovation of crypto is a blessing for all and not just a privileged few.

The Mantra crash is more than a token that went to zero. Most importantly, it’s about our shared commitment to creating a fairer, more inclusive, more equitable financial system—that works for everyone. We need to stop sleeping on this issue and start advocating for action. Now.

You might be thinking, "Regulation? That sounds like government overreach!" But consider this: what happened in 2008 with the housing crisis? Deregulation, unchecked greed, and a lack of oversight led to a catastrophic collapse that devastated the global economy. Are we really going to make the same mistake with crypto?

We can't let the libertarian ideology of a few blind us to the very real risks that unregulated crypto poses to ordinary people. The Mantra collapse is a warning sign, a canary in the coal mine. If we don't act now, we're setting ourselves up for an even bigger disaster.

What Can You Do About This?

Don't just sit there and scroll. Let your voice be heard. Contact your elected officials. Demand regulatory reform. Share this article. Talk to your friends and family. Let's turn our collective outrage into meaningful action.

The dream of a decentralized, democratized financial system is still worth fighting for. But it can't be built on a foundation of sand. It needs a strong regulatory framework to protect investors, prevent fraud, and ensure that the benefits of crypto are shared by everyone, not just a select few.

The Mantra crash isn't just about a token collapsing. It's about our collective responsibility to build a fairer, more just financial system for all. It's time to wake up and demand change. Now.