Crypto exchange Crypto.com faced criticism for allegedly manipulating a vote that resulted in a 70 billion token burn reversal on the Cronos blockchain.
History of CRO Tokens
The 70 billion Cronos tokens re-issued on the blockchain were initially burned in 2021, and at the time, they touted it as the 'largest token burn in history.' Crypto.com stated the necessity to return its CRO supply to the original 100 billion tokens.
Platform's Stance and Vote Outcomes
On March 2, the platform announced a vote on the development of the Cronos Strategic Reserve, hoping to reverse the 2021 token burn. The crypto community met the proposal with skepticism; however, the final vote was in favor of the Strategic Reserve.
Financial Stability and Community Reaction
CEO Kris Marszalek stated that the company made about $1 billion in gross profit, ensuring the platform's financial stability. However, he did not directly address community concerns regarding the token burn reversal. Following the backlash, the platform announced an ask-me-anything event on March 25 to address the CRO token issue.
The reversal of the CRO token issuance and alleged vote manipulation sparked significant controversy within the community, prompting Crypto.com to organize a meeting to clarify the situation.
