Trump Media teams up with Crypto.com to buy 684M CRO tokens, launch a Cronos Treasury, and integrate blockchain rewards into Truth Social.
Trump Media and Technology Group has completed a deal with Crypto.com to acquire 684.4 million Cronos (CRO) tokens worth about $105 million.
According to the press release, the tokens will help the company build a Cronos Treasury and integrate blockchain technology into its platforms. The deal combines cash and stock in a 50-50 split and was finalized this week.
CEO Devin Nunes said, “We’re convinced that CRO has tremendous potential to spread widely as a versatile utility token and a superior form of safe, fast payment and money transfer.”
The CRO tokens represent roughly 2% of the circulating supply and will be secured through Crypto.com Custody. This system allows Trump Media to stake the tokens to earn extra revenue. The company also plans to use CRO in rewards programs for Truth Social and Truth+, creating new ways for users to interact with the platforms.
Crypto.com CEO Kris Marszalek said, “This is the first of many steps to driving utility and value for CRO and the Cronos blockchain. We are proud to provide support to Trump Media with our best-in-class custody solution and generate additional value through CRO’s staking model.”
Meanwhile, Trump Media has formed a new entity called Trump Media Group CRO Strategy, Inc., which is pursuing a merger with Yorkville Acquisition Corp, a Nasdaq-listed SPAC. The combined company will focus on growing the Cronos Treasury, potentially reaching one billion dollars in value. This marks a major step in the company’s digital asset strategy and its plans to expand fintech offerings across its platforms.
Notably, this news boosted CRO’s market price. According to CoinMarketCap, the token rose from about $0.268 to $0.274 soon after the announcement.
CRO Price action | Source: CoinMarketCap
Cronos is a fast and scalable blockchain designed for smart contracts and decentralized apps. With the support of Crypto.com for years, CRO and the Cronos protocol have been integrated into products that offer secure and regulated access to blockchain technology.
Trump Media’s deal adds more CRO to its holdings and connects its platforms with blockchain technology. The Cronos Treasury will let the company use CRO for rewards, staking, and payments on Truth Social and Truth+.
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