Crypto.com faces market manipulation allegations: ‘No different from a scam’

• Crypto.com faces backlash for reissuing 70 billion CRO tokens regardless of a previous burn dedication.
• CRO surged 35% after Crypto.com’s partnership with Trump Media, however rip-off allegations persist.

In an sudden flip of occasions, Crypto.com faces intense scrutiny following allegations of misleading monetary ways. 

This coincided with a major worth surge in Cronos [CRO] tokens, which skyrocketed 35% following the announcement of a partnership between Trump Media and Crypto.com to discover ETFs tied to Cronos, Bitcoin [BTC], and different belongings.

Nonetheless, the deal stays non-binding and would require SEC approval, leaving its future unsure.

ZachXBT versus Crypto.com

Amidst this, blockchain investigator ZachXBT, recognized for uncovering crypto scams, has accused Crypto.com of reissuing 70 billion CRO tokens, contradicting its 2021 dedication to completely burn them.

His allegations surfaced on X simply as Crypto.com introduced a high-profile partnership with Reality Social, the social media platform owned by Trump Media & Expertise Group (TMTG).

 ZachXBT noted, 

“CRO is not any totally different from a rip-off. Your crew simply reissued 70B CRO per week in the past that was beforehand burned ‘eternally’ in 2021 (70% complete provide) and went in opposition to the group’s needs as you management nearly all of the availability.”

As anticipated, this has ignited a wave of backlash, with many buyers feeling deceived.

That being mentioned, the trade had beforehand assured customers that these tokens have been completely burned as a deflationary measure to reinforce worth and belief.

Nonetheless, blockchain data now reveal their re-minting, resulting in accusations of market manipulation.

Neighborhood reacts

Critics argue that Reality Social would have been higher off partnering with extra established exchanges like Coinbase, Gemini, or Kraken slightly than aligning with Crypto.com amid these controversies.

Remarking on the identical, crypto commentator Gem Insider remarked, 

“CRO’s out right here doing a full 180 prefer it’s auditioning for The Actual Scams of Crypto.” 

Moreover, allegations counsel that Crypto.com CEO Kris Marszalek could have leveraged his affect to finalize the Reality Social deal.

As an illustration, X person Solionxbt, took to X and added, 

“Kris have to be lobbying onerous.” 

Including to the fray was one other person, who mentioned, 

Supply: MCM/X

Nonetheless, regardless of the rising controversy, Crypto.com has but to offer a complete response to the allegations, leaving its status hanging within the stability.

Moreover, the market sentiment stays combined, as CRO has surged over 25% prior to now 24 hours, buying and selling at $0.103, in response to CoinMarketCap.