Crypto.com Launches Canary CRO Trust for U.S. Accredited Investors

Crypto.com, a leading cryptocurrency exchange, has announced a strategic partnership with Canary Capital, an asset management firm, to launch the Canary CRO Trust. This new investment vehicle is designed to provide U.S. accredited investors with regulated exposure to CRO, the native token of the Cronos blockchain. The trust, which is not an exchange-traded fund (ETF), is part of Crypto.com's broader strategy to further mainstream cryptocurrency investments.

Eric Anziani, president and chief operating officer of Crypto.com, highlighted that creating regulated funds like the CRO Trust is a key component of the company's plan to bring cryptocurrency into the mainstream. This initiative follows a previous partnership in March, where Crypto.com collaborated with Trump Media & Technology Group to launch a series of Trump-branded ETFs, including one holding CRO. However, these ETFs are still awaiting approval from the U.S. Securities and Exchange Commission (SEC), which has not yet authorized any CRO ETFs for U.S. trading.

The Cronos blockchain, affiliated with Crypto.com, is a layer-1 network designed to integrate with the Ethereum and Cosmos ecosystems. It supports a range of decentralized finance (DeFi) applications, non-fungible tokens (NFTs), and other Web3 applications. The Cronos ecosystem has a total value locked (TVL) of nearly $440 million, with VVS Finance being its most popular application for token swaps and yield farming. The CRO token itself has a market capitalization of roughly $880 million as of the latest data available.

This development comes at a time when the regulatory landscape for cryptocurrencies in the U.S. is evolving. The Canary CRO Trust provides a regulated investment wrapper that adheres to current securities requirements, making it an appealing option for established financial institutions. The trust will handle custody, security, and regulatory compliance, enabling investors to gain exposure to CRO through traditional investment accounts. While no immediate plans for a CRO ETF have been announced, the creation of a private trust is often seen as a preliminary step in that direction.

The Canary CRO Trust is targeted at accredited investors, with a minimum investment threshold that has not yet been disclosed. This move aligns with Crypto.com's strategy to offer more structured and secure investment options for its users, as the company continues to expand its reach and influence in the cryptocurrency market. The partnership with Canary Capital follows the successful launches of similar trusts for HBAR and AXL, further diversifying Canary Capital's product range and making it a more attractive option for investors looking to gain exposure to a variety of digital assets.