Singapore-based Crypto.com has formed a strategic partnership with the US-based Trump Media and Technology Group Corp. following the launch of a new crypto treasury company.
The duo said in a statement on Wednesday that the operator of the social media platform Truth Social, the streaming platform Truth+, and the FinTech brand Truth. Fi has signed a cooperation agreement and a purchase agreement creating a strategic partnership with Crypto.com.
Trump Media and Technology Group has signed a cooperation deal with Crypto.com to bring a new rewards system to its Truth Social and Truth+ platforms. The system will use Crypto.com’s digital wallet and the Cronos (CRO) token as its main utility token.
Cronos is a fast, low-cost blockchain that connects easily with other major networks. It allows smart contracts, decentralized apps, and digital payments to run smoothly without the high costs or delays seen in older networks. It also offers strong security and reliability, making it suitable for large-scale use.
Crypto.com has long supported the Cronos blockchain and already offers CRO token features to its customers. Now, under this new deal, Trump Media will add the CRO token to Truth Social and Truth+. Users will be able to earn “gems” for their activity on the platforms and then convert them into CRO tokens and other rewards using Crypto.com’s wallet.
The partnership will also let users pay for subscriptions and services on Truth with their CRO balance. Additionally, individuals who open a Crypto.com account may receive free or discounted Truth+ subscriptions. Both companies will also promote each other’s platforms.
As part of the deal, Trump Media will buy about $105 million worth of CRO tokens (around 2% of the total supply), which it will keep in Crypto.com’s custody and stake to earn extra revenue. At the same time, Crypto.com will buy $50 million worth of Trump Media shares, with both investments locked for a set period.
“After reopening the internet with a free-speech social media platform and building an uncancellable TV streaming service, Trump Media is partnering with the namesake of its industry, Crypto.com, to help make Cronos the utility token of choice around the globe,
“As the first company to widely implement CRO across social media and TV streaming platforms, Trump Media is proud to be an early adopter of this best-in-class digital network,” Trump Media’s Chief Executive Officer and Chairman Devin Nunes said.
“With its extraordinary transparency and Crypto.com’s wide array of regulatory licenses, we believe CRO is poised to become a foundational network for the next generation of asset exchange and money transfers for a world-leading, digital-first America,” he added.
Meanwhile, Crypto.com Co-Founder and Chief Executive Officer Kris Marszalek said the firm is proud to partner with Trump Media, an innovator in digital media, to bring the utility of CRO to the Truth Social platform.
“This CRO integration is a historic moment for the Cronos blockchain and a testament to the loyal community of builders dedicated to broadening access to the benefits and opportunities of crypto,” he added.
This Trump Media-Crypto.com strategic partnership follows the announcement of a newly formed entity, Trump Media Group CRO Strategy, Inc., which has entered into a definitive agreement for a business combination with Yorkville Acquisition Corp, a special-purpose acquisition company (SPAC) sponsored by Yorkville Acquisition Sponsor LLC, to form a digital asset treasury company focused on the acquisition of CRO.
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