The Trump Media and Technology Group, owned by the US President Donald Trump’s Truth Social Platform, has announced a combination of business in cryptocurrency exchange crypto.com and the blank check company Yorkville Acquisition.
Trump Media, Crypto.com and Yorkville Acquisition have entered into a specific agreement to co -establish CRO’s CRO approach to Trump Media CRO, According to in a announcement on Tuesday.
The entity will be a Digital Treasury’s Digital company dedicated to getting Cronos (Cro), the native cryptocurrency of the Cronos blockchain, developed by crypto.com.
Owned by most through Trump Media, Crypto.com and Yorkville, the CRO approach of Trump Media CRO aims to build a ark of at least $ 6.42 billion.
“Largest Publicly Traded CRO Treasury”
According to the announcement, the approach to the Trump Media Group CRO funded the Digital Asset Treasury with $ 1 billion in CRO tokens, $ 420 million in cash and warrants, along with a $ 5 billion line of credit from a Yorkville affiliation.
Capital will create a CRO strategy “first and largest public exchanged by the CRO Treasury Company,” the companies said in the announcement, adding that it could be the “largest digital asset currency company in the market cap ratio in history.”
As part of the business combination, Yorkville will be applied to have Class A ordinary trade sharing with Nasdaq under the MCGA symbol.
Validator node for staking rewards
Following the completion of the business combination, Trump Media CRO’s CRO plan planned to get the long -term value by allocating “large all the company’s cash reserves” to get CRO.
The company emphasized its focus on assets that form the harvest instead of “traditionally unproductive handling.”
The strategy includes the establishment of the operation of a validator node, or a specialized participant in Cronos’ Proof-of-Stake (POS) Blockchain NetworkThe CRO delegation included under the management of the validator.
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By running a validator node, Trump Media Group CRO Strategy wants to enable direct participation in security and network management as well as develop Staking rewards To re -invest in the compound of CRO holders and turn offset the operating costs.
“The Validator will be established and maintained by a crypto-native team with a deep understanding of the Cronos ecosystem, which aims to maximize rewards and attract additional CRO delegations from CRO holders, “the company said.
Why Cronos?
Launched as a Mainnet Beta in November 2021Cronos was built by the founders of Crypto.com and first launched As crypto.com coins (CRO).
Cronos was created to serve as a foundation for decentralized finances (DEFI), invisible tokens (NFT) and metaverse projects, with a focus on interoperability.
Cronos’ Developer, Crypto.com, has become one of the Trump administration’s leading crypto partners, attending the first White House Crypto summit hosted by President Trump in early March as Only one of 20 invited participants.
Following the Trump Technology Group signed a non -binding agreement with crypto.com to launch a series of Funds exchanged by exchange (ETF) In the US, with a focus on digital assets and security “made in America.”
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In the midst of expanding the relationship between companies supported by Trump and Crypto.com, US crypto exchange has been hit by criticizing issues such as management.
The community has specifically stabbed crypto.com for cancel 70 billion CRO token burn It was announced in 2021, while some resources allegedly the exchange controlled up to 80% of the total voting power for the CRO.
Major Onchain investigator Zachxbt also argued that the CRO was “nothing different from a scam,” Crypto.com is accused of manipulation of CRO supply.
Zachxbt also commented on the news of the Trump Media CRO CRO group in X, which claims that Crypto.com is a “huge incident that they have been covering in the past that they have never been public.”
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