Crypto Exchange crypto.com was attacked after a last-minute voting surge was approved for a controversial proposal to mint 70 billion Cro Tokens.
According to a report from Unchained, the proposal struggled to reach the required 33.4% quorum for most voting periods. However, at the final time, a sudden influx of 3.35 billion CRO votes pushed past the threshold, securing a 61.18% approval.
The proposal in question was aimed at creating a Chronos Strategic Reserve by effectively reversing the 2021 Token Burn, which aims to permanently remove the same number of tokens from the circulation
By reviving these tokens, Crypto.com claimed that it would help the Cronos ecosystem grow in the long term and help fund initiatives such as AI-driven applications and CRO-based potential exchange sales funds.
The newly created CRO will be placed in an escrow wallet and released on a five-year vesting schedule. The reserve reportedly follows strict controls, including adjusting CRO emission parameters to prevent inflation from affecting validator rewards.
Critics argue that previously burned tokens undermine trust and raise concerns about Chronos' decentralization. (See below.)
Did @cronos_chain just became the Federal Reserve ? Printing $CRO out of thin air ?
A burn is a burn, burnt tokens shouldn’t be brought back to life.I’m almost never against anything happening on Cronos, but today, I’m against it, big time!
If this pass, it’s will just be a… https://t.co/iuI0eYfqZ1
— Wyll ₿ilderberg (@Wyll_BBK) March 3, 2025
Another community member condemned the decision and proved that Cronos was operating as a centralised formation. They argued that only the core team at Crypto.com supported such a move.
While most independent validators opposed the plan, Crypto.com's own validators, such as Starship, Falcon Heavy, Electron, Antares and Minotaur IV, ultimately tipped the scale in their advantage.
Only two company barricaders, Starship and Falcon Heavy, were supporting the proposal, said Unchained. By the time the vote was finished, they were joined by three more crypto.com-run validators: Electron, Antares and Minotaur IV.
Several independent validators also voted for support, including Cosmomation and Polkachu.com, but their impact was minimal compared to internal voting on Crypto.com.
One large CRO owner said he was concerned that Crypto.com's last-minute vote sets a precedent that a project with ample validator control could push decisions despite opposition.
With the proposal now approved, the Cronos blockchain is set to receive an upgrade that officially covers 70 billion tokens. However, frustration among CRO owners remains high, with some calling this decision a betrayal of the original burn commitment.
Additionally, as the vote ended on the same day, Crypto.com introduced a proposal to burn 50 million CROs. This is only 0.07% of the newly created supply. The move sparked further criticism, with CRO validators calling it “spitting in every CRO holder's face.”
Meanwhile, CRO has been on a downward trend since the vote was passed, slipping past 3% to $0.08 at the time of writing. crypto.news contacted crypto.com for comment but did not receive a response at the time of publication.
