Crypto.com has recently announced a groundbreaking partnership with Trump Media & Technology Group (TMTG) and Yorkville America to launch a series of exchange-traded funds (ETFs). This exciting collaboration, revealed on March 24, will introduce TMTG-branded ETFs that blend digital and traditional assets.
The ETFs will include a diverse range of assets, with a heavy focus on cryptocurrencies such as Bitcoin and Crypto.com’s native Cronos (CRO) token. Crypto.com will play a key role in this initiative by providing backend technology and custodial services through its US Trust Company. Additionally, the platform will manage the crypto asset supply for the ETFs, which will be distributed through its affiliated broker-dealer, Foris Capital US LLC.
Kris Marszalek, the CEO of Crypto.com, expressed his enthusiasm for the partnership, emphasizing the opportunity for users to access a broader range of crypto assets through trusted branding. Once the ETF products receive approval, they will be available on the Crypto.com app for users in eligible regions.
In a related development, Truth Social, a subsidiary of TMTG, is preparing to submit the necessary paperwork to the US Securities and Exchange Commission (SEC) for the ETFs. If approved, these products would mark another venture into the crypto space for former US President Donald Trump, following previous endeavors such as NFT collections and the DeFi project World Liberty Financial (WLFI).
Despite the excitement surrounding the ETF announcement, there has been some community backlash regarding a recent controversy involving Crypto.com’s CRO token supply. On-chain investigator ZachXBT questioned TMTG’s decision to partner with Crypto.com for the ETFs, pointing out that more established and transparent exchanges like Coinbase, Kraken, or Gemini could have been better choices.
The criticism stemmed from allegations that Crypto.com had reissued 70 billion CRO tokens that were initially burned in 2021. This move raised concerns about centralization and potential dilution of the token’s long-term value. ZachXBT publicly denounced the reissue, calling it a betrayal of decentralization and transparency.
In response to the backlash, Kris Marszalek defended the decision during a recent Ask Me Anything (AMA) session on March 25. He explained that the reissuance was driven by shifting regulatory dynamics and increased institutional interest in crypto. Marszalek framed the move as a strategic decision for the platform’s growth and emphasized the importance of adapting to the evolving crypto landscape.
Overall, the partnership between Crypto.com, TMTG, and Yorkville America represents a significant step towards bridging the gap between traditional and digital assets through innovative ETF products. As the crypto industry continues to evolve, collaborations like this one highlight the growing integration of blockchain technology into mainstream financial markets.