Cronos and Crypto.com Reignite 70 Billion CRO by Reversing Token Burn

Cronos, a blockchain project tied to Crypto․com, has restored 70 billion previously burned CRO tokens following a highly debated community vote.
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The proposal’s approval was largely driven by validators with strong ties to Crypto․com. The vote, held from March 2 to March 16, exposed a clear divide within the community. While independent validators opposed the token recovery, several major players, including Electron, Antares, and Minotaur IV, backed the initiative.
This is why the final results remain contentious yet appear decisive:
- 62.1% voted in favor
- 17.6% voted against
- 20.1% abstained
- Only 0.11% cast a veto vote against the proposal
Additionally, a sharp increase in votes occurred in the final hours, just enough to meet the required quorum threshold. This triggered criticism from the community, with many accusing Cronos of centralization.
Market and Community Reaction
The reissuance of tokens brings the total CRO supply back to its original 100 billion limit, with the newly minted assets placed in a strategic reserve wallet for long-term distribution.
The market reacted negatively, causing CRO to drop by 6%. However, in the long run, the increase in circulating supply could put additional downward pressure on its price.
The decision also drew strong criticism from the crypto community, including developers from other projects.
For instance, Sonic co-founder Andre Cronje reacted to the situation by calling market capitalization a “meme” and strongly opposing the decision. Moreover, crypto journalist Laura Shin highlighted that just a day after the vote, the Cronos team introduced a new proposal, which, given recent events, comes across as almost ironic:
Today, one day after the vote ended, the team issued another proposal, to burn 50 million CRO (or 0.07% of the newly minted tokens) as a continuation of three prior burns of the same amount.
Meanwhile, Crypto․com is preparing to apply for a CRO-backed exchange-traded fund (ETF), a move that could potentially draw institutional investors' attention. Regardless, the decision has divided the community into two opposing camps.
It remains to be seen how CRO’s trading dynamics will shift and what new initiatives competitors might introduce to address the crises.
Related: Super Bowl Bets Under Fire: CFTC Probes Kalshi and Crypto․com
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