Cronos Price Surges 22% Following $6.4 Billion CRO Strategy Announcement
Cronos (CRO) price increased by 22% following a deal between Trump Media and Technology Group, Crypto.com, and Yorkville Acquisition to establish a CRO Treasury Strategy. Daily trading volume surged by 850% to $400 million.
Details of the Treasury Strategy
- The initiative is valued at $6.42 billion and focuses on acquiring CRO, the token of the Cronos Chain.
- The partnership will operate under the ticker MCGA, "Make CRO Great Again." Trump Media Group will become the largest holder of CRO with approximately 6.31 billion tokens, worth around $1.2 billion at current prices.
- CRO will serve as the native token for Truth Social, Donald Trump's social media platform.
- The plan includes an initial cash injection of $200 million for CRO acquisitions, supported by $100 million from Crypto.com and Trump Media Group, and $20 million from Yorkville, totaling $420 million in immediate liquidity.
- Yorkville will also provide a $5 billion line of credit for further acquisitions.
Staking Strategy
- The strategy involves holding acquired CRO indefinitely and staking it for additional revenue.
- Partners have committed to four-year lockups, while 13% of original YORK shareholders' holdings will be publicly floated.
- The aim is to create a “flywheel effect” to boost token value and facilitate more acquisitions, positioning CRO as a key asset in financial services.
Market reaction has been positive following the announcement.