On-chain investigator ZachXBT recently slammed Crypto.com for reissuing 70 billion CRO tokens, previously designated for permanent burning in 2021. ZachXBT argues that this act constitutes a severe breach of trust and teeters on the edge of fraud.
CRO is no different from a scam
Your team just reissued 70B CRO a week ago that was previously burned “forever” in 2021 (70% total supply) and went against the community wishes as you control majority of the supply.
Unsure why Truth would chose a partnership with your exchange… pic.twitter.com/XNlusLDdZc
— ZachXBT (@zachxbt) March 25, 2025
Furthermore, the investigator questioned the rationale behind Truth’s decision to partner with Crypto.com, given the availability of alternative platforms like Coinbase and Kraken.
The accusation centers on Crypto.com’s decision to resurrect a significant portion of the CRO supply, which they had previously burned to reduce the total token supply. This action directly contradicts prior assurances and undermines the expectations of investors who acquired CRO tokens, believing the maximum supply capped at 30 billion.
Crypto.com Reissues Designated Burn Token
According to sources, the total CRO supply was fixed at 100 billion. In 2021, Crypto.com executed a token burn, eliminating 70 billion CRO from circulation. This event led many to believe the remaining 30 billion CRO represented the definitive maximum supply. However, the recent issuance of the burned tokens effectively reverts the supply to its original state, which has sent shockwaves through the CRO community.
On March 10th, CEO Kris Marszalek attended President Trump’s inaugural White House Crypto Summit. Simultaneously, Cronos Labs, a subsidiary of Crypto.com and the development team behind the Cronos blockchain, introduced a governance proposal to reissue the 70 billion CRO tokens for a “Strategic Reserve.”
Furthermore, Cronos Labs states that this reserve aims to bolster CRO adoption, particularly by creating a CRO exchange-traded fund (ETF). Understandably, the proposal received considerable backlash. Token holders expressed concerns about the dilution of their holdings and the precedent set by reneging on a token burn.
Voters Approval
Some in the community commented that Crypto.com might have too much power, possibly controlling around 70%–80% of all votes. This much control makes any vote less critical, perhaps making the process more for show than a tangible way for people to participate.
“Totally manipulation to come in at the last minute and vote yes, the CDC (Crypto.com)is as centralized as a blockchain can be, and shouldn’t be since there’s no real governance when 70% of the voting power is in the CDC,” another commenter wrote.
Because of the strong adverse reaction, Crypto.com has announced an upcoming question-and-answer session on March 25.
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