Crypto.com has been named one of the fastest growing cryptocurrency markets globally, in part due to a business initiative led by Matt Damon and his substantial rewards program.
The company has a tiered card system, starting with the free Midnight Blue Card and up to the Obsidian card which requires staking $400,000 in CRO for a minimum of 180 days.
Cronos is a currency linked to Crypto.com, which is a centralized society; therefore, the CRO should be evaluated according to the longevity of centralized exchanges and how Crypto.com tariffs among the competition.
This article explores the evidence supporting Crypto.com’s CRO.
Is Cronos (CRO) here to stay or is it just a fad?
The longevity of CRO depends almost entirely on the success of Crypto.com as an exchange.
The Crypto.com card cashback incentives of 0%, 1%, 2%, 3% and 5% are granted to different levels of debit cards based on the amount of CRO tokens wagered. If the initial CRO is not restored, the cashback incentives decrease substantially.
Among the 5% cashback incentives offered to Obsidian’s creditors are refunds on premium services from Spotify, Amazon Prime and Netflix, with the largest bet return on the exchange of Crypto.com.
CoinMarketCap outlines five clear currency distributions for the network:
- 30% — Secondary distribution and launch incentives – released in batches on a daily basis over five years starting On 14 November 2018
- 20% — Capital buffer – frozen until 7 November 2022
- 20% — Long-term network incentives – frozen until 7 November 2022
- 20% — Ecosystem subsidies – frozen until the launch of the chain’s mainnet Crypto.com
- 10% — Community development
History of Cronos (CRO)
Crypto.com was founded in 2016 and held an initial coin offering (ICO) in 2017 to debut its now-defunct MCO cryptocurrency. Crypto.com now seems to have a broader purpose of increasing Bitcoin acceptance. The company is focusing on making Bitcoin payments possible around the world.
CRO was officially launched in December 2018 with an airdrop via the smartphone app. The airdrop lasted six months before being frozen for another year. With the advent of crypto.com exchange, CRO has become more accessible to the general population. CRO holders were immediately eligible to bet their coins with an annual percentage return of 20% on the platform.
Crypto.com has added various rewards for buying, staking, and using CROs since the exchange started operating in 2020. Benefits range from attending their events to transactional savings.
Crypto.org decided to rename the Cronos coin in 2022 with its preliminary name of “Crypto.com Coin”.
Pros and cons of Cronos (CRO)
- Active network with decentralized applications (DApps)
- High-yield liquidity pool
- Excellent associated cards
- Access to high, risk-free stake rates on stablecoins
- High initial staking requirements
- Questionable sustainability
Pros and cons of Crypto.com
- Visa card with the best prizes
- Wide variety of cryptocurrencies with low rates
- In-app earnings and interest exchange functions
- Poor customer service and user interface
- Difficult-to-navigate premium levels for interest rates and paper
Cronos Competition (CRO)
Cronos has strong competition. The most closely related coins are FTX’s FTT token and Binance’s BNB.
CRO has a market cap of $5 billion, and FTX’s FTT token has a market cap of about $4 billion compared to the $50 billion Binance coin (BNB).
Compared to FTT, BNB offers many more features. It also has instances of additional applications, which gives it an edge when it comes to recruiting new investors. Although it was released before the FTT token, the experience behind it makes it more attractive. It has an ecosystem that provides it with a more anchored usability that has a significant impact on tokenomics.
The FTT is at a similar stage to that of the CRO in terms of adoption; the currency that will do best in the long term will have the best exchange and utility behind it. If your favorite exchange is FTX, owning FTT offers some decent rewards.
It all boils down to which exchange can offer the most with the respective currency; realistically, they could all work well, as the space is ripe for adoption.
How to make money with Cronos (CRO)
You can tap into three ways to make money with Cronos: Crypto.com’s Crypto Earn feature, debit card rewards, and DApp liquidity pools.
In-app staking is low-yielding and offers access to Crypto.com’s Crypto Earn product, which is good for people less accustomed to decentralized finance (DeFi). It offers an intuitive way to earn interest on stablecoins and a variety of other cryptocurrencies. For example, you could earn up to 8% on USDC, relying on the $750 million Crypto.com in insurance on the remote possibility of a hack.
Debit card rewards can work well if you have money to invest in CRO. The $4,000 tier gives you free Spotify and Netflix, amounting to $26 saved monthly, and if you spend $2,500 that month, you’ll earn the maximum $50 in CRO rewards. However, wanting to redo your initial investment in its entirety would be the wrong mindset for this card. Think of it as an investment in CRO that you would otherwise have made, regardless of whether you own the card or not.
With the debit card, you will be able to use the Earn product and have your money sitting in a checking account earning interest. The card must be loaded with fiat money, not with coins stuck in the Earn product. In other words, money from $10,000 wagered into the Earn product cannot be used for payments until after the end of the bet.
DApp liquidity pools are available on CronaSwap and the Crodex app, which are active DApps in the Cronos ecosystem. If you have experience with DeFi, these tools may work well for you, otherwise in-app resources are the way to go, as they are easier to use.
How to buy Cronos (CRO)
Cronos should be obtained mainly through Crypto.com. It offers promotional incentives and many resources for using the coin.
So, is Cronos (CRO) here to stay?
It seems that Cronos is here to stay. CRO has a thriving ecosystem that includes the Crypto.com debit card. Crypto.com has consolidated itself as a top exchange without any suggestion that it will abandon CRO. Crypto.com will likely stand the test of time, as will its associated currency.