This is Part 2 of an article series about the Cronos coin ($CRO). Here’s a link to Part 1. Today, we’re looking at whether $CRO is deflationary. We review if it’s a good investment. Also, we look at its utility and how it can be converted to fiat $USD.
Are Cronos Coins Being Burned?
Yes. $CRO has been burned and is being burned. Back in February 2021, Crypto.com announced a huge burn for $CRO. This comprises of:
- An outright burn of 59.6 billion $CRO.
- A progressive monthly burn of 10.4 billion $CRO.
The largest token burn in history begins today
🔥70 Billion #CRO
Prepare for a fully decentralized #Mainnet
— Crypto.com (@cryptocom) February 22, 2021
In essence, that wiped out 70% of the total supply for $CRO! Now that’s a large burn, if I’ve ever seen one. Back then, the $CRO price doubled within weeks of the burn announcement.
Is Cronos Coin A Good Investment?
To evaluate an exchange and Layer 1 (L1) token like $CRO, we start off with looking at two indicators:
1) Cronos Coin Supply
From Coingecko, you can view $CRO’s total supply. It stands at 30.26 billion. So, that is a hard cap which the supply will never exceed. This is good for $CRO as it increases the scarcity of the token. In turn, this would drive up price action.
2) Cronos Chain Ecosystem
Now, we look at the Cronos Chain and its ecosystem. Why is that important? Well, this is because $CRO is its native token. With that, if Cronos Chain is developing well, this will drive demand for the $CRO token.
So first, we look at the Total Value Locked (TVL) for Cronos Chain below. Here, you can see that Cronos Chain’s TVL has plummeted from a high of $3.21 billion to just $412.26 million today. That’s a TVL drop of 88% from its All-Time High (ATH)!
Ok, let’s be fair to Cronos Chain here. Every L1 chain has seen its TVL drop, thanks to the ongoing bear market. But, if you compare Cronos to other L1 chains like Ethereum or BNB Chain, their TVLs have not suffered as bad as Cronos’.
So, let’s answer the question on whether Cronos coin is a good investment. With its current tokenomics, $CRO looks like it will not see much sell pressure. However, the Cronos ecosystem seems to be lacklustre at the moment. Indeed, I’m on the fence for $CRO. But, I’ll not be dismissing it as a potential investment in the future.
Moving on, you may be asking: “When will you be pulling the trigger then?”. For me to pile into $CRO, I’ll have to see strong developments within the Cronos Chain ecosystem. To keep tabs on these, follow the 2 Twitter accounts below:
From these accounts, you’ll get the latest scoop on Cronos Chain developments. Take a quick scan through and you’ll see that the team is still developing and building the ecosystem. That’s heartening to see in this bear market. Furthermore, Cronos Chain had recently even surpassed 1 million wallets!
Christmas came early for us – #CronosChain has surpassed 1M wallet addresses! We have so much to be thankful for, but most of all we couldn’t have done it without YOU. Thank you #crofam for all your support! pic.twitter.com/HkSaV27L4f
— Cronos (@cronos_chain) December 13, 2022
Who Accepts Cronos Coin?
Well, the answer to the above question depends on whether you’re:
- A Crypto Trader.
- A Retail User of Cronos Coin.
If you’re a trader, then you’d want to look for exchanges that cater for $CRO deposits and trading. These could include Centralized (CEXs) or Decentralized exchanges (DEXs). For a list of such exchanges, head on over to Cronos Coin’s CoinGecko Markets page. Here, you’ll have a comprehensive list of exchanges which allow $CRO trading. Of course, our top exchange of choice would be the Crypto.com exchange.
However, if you’re a retail user of Crypto.com Pay and its debit card, then listen up! You could also use $CRO to pay for retail purchases. To do so, you’d have to integrate your $CRO wallet with your Crypto.com Pay account. Once that’s done, you can then shop at any of the listed merchants and pay with Cronos coin! Some of these merchants include:
And so forth. To find out more about Crypto.com Pay, you can refer to Crypto.com’s guide.
What Is Cronos Coin Used For?
Contrary to popular belief, Cronos Coin actually has a ton of utility! We’ve already went through some of them. Earlier, we mentioned that $CRO is the native token for Cronos Chain. This means $CRO is used for transaction fees within Cronos Chain. Also, $CRO can be used for payments with certain retail merchants.
But wait! There’s more! Some other uses for Cronos Coin include:
- Staking for a Crypto.com Visa Debit Card.
- Swapping for other tokens and providing liquidity on Cronos Chain.
- Rewarding Crypto.com Debit Card users with cashback.
Recently, Crypto.com went into partnership with Visa to bring NFTs to the World Cup in Qatar. Indeed, $CRO can be used to buy NFTs as well!
How To Convert Cronos Coin to USD?
Now, let’s say you’ve made a good trade on $CRO. You’re now looking to sell some of these to fiat USD. If you’re curious on how to do so, follow the steps below:
- Log on to the Crypto.com exchange. Then, deposit your $CRO into your exchange wallet.
- Sell your $CRO tokens into $USDT. You can do this using their spot trading function. The screenshot below reflects the $CRO/$USDT trading pair for Crypto.com.
- Follow the guide for converting $USDT to fiat USD on Crypto.com. Note that based on where you’re located in the world, the method of conversion would differ.
We’ve come to the end of our 2 part article series on Cronos coin! We hope you’ve learnt more about Cronos coin, its fundamentals and its utility. Indeed, this is a coin to watch out for. It’s tough not to do so though. It’s all over the World Cup stadium in Qatar, you know!
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