CRO Protocol Labs (“Crypto.com”) is a payments ecosystem that offers a range of blockchain-based solutions to help increase crypto adoption and put “cryptocurrency in every wallet.”
Crypto.com started out as a financial services firm in Monaco, which offered VISA-approved payment cards pre-paid with crypto.
It also had an exchange, wallet, and other crypto portfolio products.
Since then, Crypto.com has expanded its solutions to include tax and credit services, dApps and NFT support, and TWO blockchains to help optimize transactions within the ecosystem.
What is Cronos (CRO)?
Cronos is the native cryptocurrency token of the Cronos Chain, a blockchain network developed by Crypto.com, a popular platform for buying, selling, and managing cryptocurrencies.
Cronos (CRO) was initially designed as an ERC-20 token but became the native token after Crypto.com launched its blockchains.
The Cronos Chain was designed to address the growing demand for decentralized applications (dApps) in areas like decentralized finance (DeFi), non-fungible tokens (NFTs), and the metaverse. Cronos promotes “self-custody,” empowering users with control over their digital assets.
Initially, there were 100 billion CRO tokens. However, a significant token burn in February 2021 reduced the supply by 70%, leaving a total supply of 30 billion CRO tokens.
Think of Cronos as the fuel that powers the Cronos Chain. Just like you need gas to drive a car, you need CRO to carry out transactions and interact with dApps on the Cronos Chain.
Why Was Cronos Created?
Crypto.com launched Cronos with a vision to make cryptocurrency more accessible to everyone. They wanted to create a blockchain that was:
- Fast and efficient: Cronos can handle a high volume of transactions quickly and with low fees.
- Interoperable: Cronos can connect to other blockchains, like Ethereum and Cosmos, making it easy to move assets between different platforms.
- Developer-friendly: Cronos makes it easy for developers to build and deploy dApps.
One of the key innovations of Cronos is its compatibility with the Ethereum Virtual Machine (EVM).
This compatibility allows developers to easily transfer their existing Ethereum-based dApps to Cronos, expanding the possibilities for both developers and users.
How Does Cronos Work?
Cronos is built on the Cosmos SDK and uses Ethermint technology, making it compatible with the Ethereum Virtual Machine (EVM). This means that developers can easily bring their existing Ethereum-based dApps to Cronos.
The Cronos Chain uses a Proof-of-Authority (PoA) consensus mechanism.
Imagine a “trusted committee” responsible for verifying transactions and maintaining the security of the network. This committee consists of a select group of validators who have been vetted and approved to participate in the consensus process.
To further enhance efficiency and manage network congestion, Cronos introduced a “fee market” module in a network upgrade. This dynamic fee structure adjusts transaction fees based on network usage, ensuring smooth operation even during periods of high activity.
Crypto.com’s range of products can be grouped into five focuses:
1. Payment
Crypto.com Pay allows you to send, receive, or pay merchants with crypto. Users can also use its VISA Card line at interbank rates and receive legit cashback and benefits.
2. Trading
Crypto.com App lets you buy, sell, send, and track your crypto holdings and top up your account with fiat. Crypto.com Exchange enables spot, margin, and derivatives trading as well as crypto lending and staking activities. Users from the U.K., Australia, U.S., Canada, and Germany can even compute taxes using Crypto.com Tax!
3. Financial Services
Crypto.com App users can also access Crypto Earn, which pays interest on crypto deposits, and Crypto Credit, which accepts cryptocurrencies as collateral to get loans. Meanwhile, the Crypto.com DeFi Wallet is a non-custodial wallet that uses Cronos Bridge so that users can store and access dApps within the Cronos, Ethereum, and Binance Smart Chain ecosystems.
4. Metaverse
Crypto.com NFT is an NFT platform that allows users to mint and list their collectibles. It’s also integrated with Crypto.com Pay as well as the Crypto.org and Ethereum blockchains.
5. Blockchain Infrastructure
Crypto.com built TWO blockchains to help improve its services.
The Crypto.org Chain, now known as the Cronos POS Chain is Crypto.com’s native blockchain built to speed up transactions and minimize fees. It uses Cosmos SDK and Tendermint Core consensus algorithm to help secure and scale transactions as well as achieve fast finality.
The Cronos Chain, on the other hand, is the Binance Smart Chain to Crypto.org Chain’s Binance Chain. It’s an EVM-compatible chain running separately but parallel to the Cronos POS Chain.
If the Cronos POS Chain powers payment and trading activities, Cronos will enable compatibility with EVM and Inter Blockchain Communications (IBC)-enabled chains.
This opens Crypto.com to DeFi, NFT, and other decentralized applications, as well as digital assets from other blockchains.
Team background
Crypto.com – formerly known as Monaco Technologies GmbH – was founded by Bobby Bao, Gary Or, Kris Marszalek, and Rafael Melo shortly after online marketplace Ensogo suddenly shut down its operations in 2016.
Kris Marszalek (CEO) was the CEO of Ensogo and co-founder of the e-commerce business BeeCrazy.
Rafael Melo (CFO) also worked for Ensogo as CFO and has experience in mobile payment solutions.
Bobby Bao (Head of Crypto.com Capital) has experience in investment banking and was Head of Corp. Development at Ensogo.
Gary Or (CTO) did not work for Ensogo but was the Platform Architect of BeeCrazy and founder of startup accelerator Particle B.
Crypto.com is currently owned and operated by a Malta-based company Foris DAX MT Limited, but it’s the Cayman Island-based CRO Protocol Labs that are developing both the Crypto.org Chain and Cronos Chain.
Crypto.com surpassed its 3,000-member team size mark in November 2021 and is committed to building its ecosystem and offering a full suite of crypto services.
Cronos Roadmap and Future Plans
Cronos has ambitious plans for the future. Their roadmap includes:
- Scaling the network: Cronos is working on ways to further increase the speed and efficiency of the Cronos Chain.
- Integrating AI: Cronos is exploring the use of artificial intelligence to improve the user experience and create new possibilities for dApps. This focus on AI integration has the potential to revolutionize the Cronos ecosystem and dApp development by enabling more sophisticated and user-friendly applications.
- Enhancing token economics: Cronos is constantly refining the tokenomics of CRO to ensure the long-term sustainability of the ecosystem.
- Community building: The Cronos Chain Ambassador Program (CROnauts) plays a crucial role in expanding the Cronos community and promoting the adoption of the Cronos Chain. This program empowers community members to contribute to the growth and development of the Cronos ecosystem.
Cronos Partnerships and Collaborations
Cronos has established partnerships with various organizations to expand its reach and capabilities. One notable partnership is with Google Cloud. This collaboration aims to:
- Boost the Cronos ecosystem: Google Cloud’s infrastructure and expertise will help accelerate the growth of the Cronos Chain.
- Enhance network security: Google Cloud will act as a validator on the Cronos Chain, improving its security and reliability.
- Drive innovation: Cronos and Google Cloud will explore new use cases for blockchain technology, particularly at the intersection of AI and blockchain.
Cronos Use Cases and Applications
Cronos is designed to support a wide range of dApps, including those in DeFi, GameFi, and the metaverse. Some of the key use cases for Cronos include:
- Decentralized finance (DeFi): Cronos provides a platform for building DeFi applications that offer financial services like lending, borrowing, and trading without intermediaries.
- Non-fungible tokens (NFTs): Cronos can be used to create, buy, sell, and trade NFTs, which are unique digital assets that represent ownership of digital or physical items.
- Metaverse: Cronos can be used to power virtual worlds and create immersive experiences in the metaverse.
- Gaming: Cronos can be used to create blockchain-based games that offer new possibilities for players and developers.