Cronos Introduces 'CRO Strategic Reserve' to Attract Institutional Investment

Cronos, a blockchain platform providing interoperability between Ethereum and Cosmos, announced a governance proposal on the 3rd to establish a CRO Strategic Reserve for its native token. The goal is to attract institutional investment and contribute to making the United States a global center for digital assets (cryptocurrencies).

Cronos plans to put this proposal to a community vote. This proposal represents a reversal of the February 2021 decision to burn 70 billion CRO, as it includes reissuing the same amount of tokens to restore the initial total supply (100 billion CRO).

The newly issued CRO will be stored in a strategic reserve escrow wallet on the Cronos Proof-of-Stake (PoS) chain. This reserve will be subject to an additional 5-year lockup period on top of the existing 5-year lockup, with linear vesting over a total of 10 years on a monthly basis. Token management will be handled through a Cosmos SDK-based vesting account on the Cronos PoS chain.

The community governance vote to determine whether to implement the Cronos Strategic Reserve will run until the 17th.

Meanwhile, Cronos announced its vision last November to establish itself as a key blockchain for AI agents. At the same time, cryptocurrency exchange Crypto.com previewed various financial products, including the Cronos ETF, a CRO-based exchange-traded fund (ETF), to bridge the gap between traditional finance and digital assets. Through these initiatives, they aim to further expand their institutional and individual investor base.