Trump Media and Technology Group (the company behind Truth Social) just dropped a hefty $105 million on Crypto.com’s CRO cryptocurrency. This is a big move, following their earlier announcement of a plan to build a massive $6.42 billion CRO treasury.
A Strategic Partnership
The deal involves Trump Media buying 684.4 million CRO tokens at roughly $0.153 each. They’re paying half in cash and half in stock, and both the CRO and the Trump Media shares involved are locked up for a while – meaning they can’t be sold immediately. This purchase represents about 2% of CRO’s circulating supply, on top of another 19% that a related Trump Media company is planning to acquire.
Devin Nunes, CEO and Chairman of Trump Media, is bullish on CRO, saying it has “tremendous potential” and that they’re excited to add it to their assets. They’ll be storing the CRO using Crypto.com Custody, which also lets them earn extra money by “staking” the tokens.
Crypto.com’s co-founder, Kris Marszalek, is equally enthusiastic, calling this deal a step towards increasing the value and use of CRO and the Cronos blockchain. He highlighted Crypto.com’s custody solution and the added value from staking.
Truth Social Rewards?
Interestingly, the agreement includes a provision for Truth Social to potentially use CRO as a rewards system, leveraging Crypto.com’s wallet infrastructure.
CRO’s Current Market Situation
At the time of writing, CRO is trading at around $0.26810, down slightly in the last day and more significantly over the past week.
A Dedicated CRO Treasury
Along with the Crypto.com deal, Trump Media also announced a new company, Trump Media Group CRO Strategy, Inc., which is merging with a SPAC (Yorkville Acquisition Corp) to create a vehicle specifically for managing and acquiring CRO.