CRO Plunges to 3-Year Low as Trump Media Cancels 2 Major Crypto.com Deals

Over a year after announcing initial plans to collaborate with Crypto.com, Trump Media—the entity behind Truth Social—has withdrawn from two major deals. The reversal has sent Crypto.com’s native token, CRO, to its lowest price in three years, falling below $0.05.

The deals, announced in late 2024 after the US presidential election, included a plan to acquire $6.4 billion worth of CRO and an ETF-related collaboration. The initiative, called “Trump Media Group CRO Strategy,” was set to involve Trump Media, Crypto.com, and Yorkville Acquisition. However, the three parties have mutually terminated the agreements, citing “prevailing market conditions” and shifting business priorities.

Under the original terms, Crypto.com was to supply $1 billion worth of CRO, with an additional $5 billion credit facility. The exchange was also slated to service certain ETFs from Yorkville America. Both components have been scrapped.

According to Axios, Trump Media’s interim CEO, Kevin McGurn, wants the company to focus on its media arm and a pending merger with fusion energy firm TAE. This deal cancellation is the latest in a series of Trump-linked entities reducing their crypto exposure. Most recently, Trump Media sold a portion of its Bitcoin holdings at a loss, having purchased near all-time highs.

CRO’s price reacted sharply to the news. The token had surged to nearly $0.40 in late August 2024 following the initial deal announcements. Now, it has fallen to under $0.05, its lowest since October 2023. The market cap has dropped to below $2.4 billion, placing CRO at 37th among cryptocurrencies. From its all-time high of $0.89 in late 2021, CRO is down over 94%.

Source: https://cryptopotato.com/cro-plunges-to-3-year-low-as-trump-media-cancels-2-major-crypto-com-deals/