CRO Market Cap Falls Nearly 50% Since Treasury Announcement
Cronos (CRO), the native token of Crypto.com’s Cronos Chain, has shed nearly half of its market capitalization since the high-profile Trump Media Group announcement last month, erasing much of the rally that briefly boosted the asset.
Trump-Driven Rally Fades
On August 26, Trump Media and Technology Group (TMTG) unveiled a joint $6.4 billion Cronos treasury, sparking a 40% surge in CRO’s price. However, the momentum proved short-lived. By Thursday, the token had fallen back below $0.19, close to pre-announcement levels, according to market data.
The decline has wiped out more than $6 billion in market value, pushing Cronos out of the top 30 cryptocurrencies and into the 33rd spot by overall capitalization.
As CRO retraces its gains, many in the community are questioning its utility and long-term demand. , “There is 0 demand for this token. The chain is a ghost town, users are non-existent.”
Another Reddit user was more blunt, posting: “We’re getting rugged, just as I expected when that partnership was announced.”
Despite the frustration, some investors argue the token’s decline mirrors the broader crypto market downturn, noting that Bitcoin also dipped below $110,000 this week. “It’s a blood bath right now. The entire market is tanking. Has nothing to do with CRO,” one Redditor commented, pointing to historically weak performance during September.
Market Sentiment and Regulation
The Crypto Fear & Greed Index dropped below 30 on Friday, signaling heightened fear among investors and marking its lowest level since April 2025. This broader caution has only amplified the CRO sell-off.
Adding to uncertainty, the US Securities and Exchange Commission has not yet approved the $6.4 billion Trump-linked CRO strategy, raising questions about regulatory hurdles. Meanwhile, reports suggest US regulators are investigating over 200 companies that announced large-scale crypto treasury initiatives this year.
Crypto.com CEO Kris Marszalek has avoided directly addressing the CRO price drop, though he recently highlighted the company’s support for tokenized collateral and stablecoin initiatives. Still, without clarity on demand and regulatory approval, Cronos faces mounting pressure to prove its relevance in a competitive altcoin market.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.