Crypto Pick: CRO
Updated: May 14, 2021
CRO is the native coin created by the Crypto.com (referral code: abnrt7wyne) exchange. It started as a token on the Ethereum network and held its mainnet on March 25, 2021 to become a coin on its own network. The high gas prices of the Ethereum network are no more and transfers cost only 0.001 CRO. Considering one CRO is currently about $0.23, this is basically free.
The best comparison to CRO would be Binance's native coin, BNB. The majority of what the coins functions are is identical. Holding CRO lowers transaction fees on the Crypto.com exchange just like holding BNB lowers transaction fees on Binance's platform. Both exchanges are focused on making their coin available for holders to purchase any item in US dollars at the current exchange rate. For this proposition, Binance just came out with a Visa card while Crypto.com has had a Visa card available for quite some time. The cards work like a prepaid debit card. You hold CRO in your account just like you would in a bank account and if you go to a store a spend $100, Visa takes $100 worth of CRO out of your account. However, the benefits for this card are far superior to a bank.
With Crypto, staking is a process of locking your money in for a certain period of time to accrue interest, similar to purchasing a CD from a bank. If you stake $4,000 worth of CRO for 6 months, you receive 10% p.a. and if you stake $40,000 or more you receive 12% per annum. Previously you were able to receive 8% p.a. with a $400 stake, but I do not believe that offer is still valid. In addition to staking interest, you receive cashback on any purchase made with your card. The cashback reward tiers and staking requirements can be seen in image below.
In addition to cashback rewards Crypto.com offers free products for staking CRO. You can potentially receive free Spotify, Netflix, Amazon Prime and a host of other benefits for holding the visa card. Rather than list them all, please refer to the chart below for what benefits you receive.
This may sound like a promotion, but I assure you it's not. I believe that these benefits will attract many users to the platform and as their popularity rises, so will the adoption of CRO, thus increasing the price. I was unable to find the number of active Binance users, but found that Crypto.com surpassed the 10M user milestone in February and their user base has been growing exponentially. Crypto.com is newer than Binance but has quickly become a major player in the cryptocurrency exchange market. The benefits of using their platform are on par or better with that of other major exchanges.
For the reasons listed above I believe that the CRO market cap will eventually rise to meet or come close to that of BNB. BNB currently has a circulating supply of 0.15B coins (maximum supply will be 0.17B coins) and holds a price of $557.05, giving it a market cap of $85.49B. CRO's circulating supply is 25.26B coins (maximum supply will be 30B) and holds a price of 0.2319, providing a market cap of $5.82B. BNB's market cap is almost 15 times that of CRO, but not for long!
As Cryptocurrency adoption increases, more users will be attracted to both Binance and Crypto.com, thus increasing the market caps of both their native coins. However, CRO has the most room to grow and the increasingly widespread adoption of its platform combined with the ability to use it as currency anywhere that accepts Visa marks it as a must buy in my book.
Booyah Traders predicts that CRO will reach $1 by the end of 2021. This is a bold prediction, but well founded based on market share, current prices and growth. CRO's price seems to take its own path and is not as influenced by the price of bitcoin as many other altcoins.
Booyah Traders marks CRO as a STRONG BUY
Disclaimer: I own CRO and hold a Crypto.com Visa card. I enjoy the cashback, free spotify and netflix and the value of my CRO keeps increasing 😎