Crypto.com: Everything You Need to Know

CRO is now on everyone’s radar

It’s official. The Staples Center — one of the most iconic venues and home to the Los Angeles Lakers, is being renamed to ‘Crypto.com Arena’ for the next two decades, a deal worth $700 million.

“It’s kind of like just stripping the history here by calling it something else,” said NBA superstar Paul George in an interview with ESPN.

Hey, Paul George — nobody even shops at Staples anymore. Give it up.

Meanwhile, the price of Crypto.com Coin (CRO) rose 30% in the last 24 hours and hit an all-time high just below $0.57.

So let’s explore everything Crypto.com has to offer and if CRO is going to succeed from here on out.

What Is Crypto Dot Com?

Crypto.com is a cryptocurrency wallet, digital assets exchange (which offers 100+ tokens), NFT marketplace, and staking application launched in 2016 by four entrepreneurs named Rafael Melo, Gary Or, Bobby Bao and Kris Marszalek.

All of this functionality is packed into a single, easy-to-use mobile app available for Android and iOS.

Two years later Crypto.com created a unique, native digital cryptocurrency called Crypto.com Coin (CRO) which offers trading discounts and access to their shiny metal Visa credit cards.

Besides being superior to plastic cards, CRO credit cards offer up to 8% cashback on all purchases. But there’s a catch. See if you can find it —

Yup, no one — not even Paul George himself can afford that Obsidian card that offers the 8% cashback. But the runner-up credit card for $40,000 isn’t that far out of reach.

I just now noticed you get a ‘Private Jet Partnership’ for that Obsidian card. Shit. Not even Warren Buffet can afford that thing.

Anyway, the more CRO coins you hold in your wallet, the lower your trading fees will be; and as you can see with almost all the cards, many extra benefits come included.

What Most Investors Overlook About Crypto.com

Here’s what most financial gurus overlook about this exchange. They have the most valuable domain name on the planet.

It sounds trivial but I’ve had friends show me their crypto.com apps who didn’t understand a single thing about cryptocurrency.

Perhaps investing in CRO will one day be like investing in the S&P 500. It’ll be how beginners and more risk-averse investors get into the industry.

To date, Crypto.com has more than ten million users around the world and its goal to have “crypto in every wallet” seems to be heading in the right direction. Here are some other cool features the platform boasts —

• The largest crypto-insurance program which covers users up to $750 million in funds.
• Crypto.com has its own sidechain called ‘Cronos’ which helps scale its mainnet and makes it possible to add smart contracts in the future. Think of this sidechain as their own Polygon or Binance Smart Chain.
• They have partnerships with UFC, F1 Formula racing, the NBA, Matt Damon, and overall some of the best marketing in the space.
• They had the largest token burn in history

Crypto.com Concerns

Now onto the problems. BIG problems. Problems that may come back to haunt them.

Crypto.com is a centralized project and many consider it a security, not a cryptocurrency. In fact, it’s not even clear how many full nodes (users that store the blockchain data) are on Crypto.com.

Someday soon the SEC is going to have a centralization Red Wedding. It’ll be a blood bath. Centralized cryptocurrencies are almost guaranteed to get hit much harder with regulations than decentralized ones.

The term DeFi is “a bit of a misnomer,” SEC chairman Gary Gensler told the Wall Street Journal. “These platforms facilitate something that might be decentralized in some aspects but highly centralized in other aspects.”

Crypto.com acts unilaterally in all its decisions. They even supposedly stole all the funds of one user who violated their terms of service.

Lastly, because Crypto.com is a Proof of Stake blockchain, if someone were to hack into their network, they could then easily manipulate the funds and destroy the network as opposed to a fully decentralized blockchain.

Final Thoughts

Despite its low token price, it’s important to remember that CRO is a large-cap cryptocurrency. It’s going to take serious money to move this project in the future.

However, I do believe Crypto.com will get that money.

They are simply too accessible, recognizable, and marketable to fail right now. Plus they do have some great services for an exchange.

In terms of their SEC concerns, ostensibly they’ll make a pivot towards decentralization. They’ve made promises about this in the past, but I’d pay close attention to how it develops.

All in all, I’m not crazy about investing in Crypto.com, but against my better judgment, I want one of those metal credit cards. Private jet here I come.

Ever since I was a child it was my dream to become a financial advisor. Unfortunately, it never came true. Therefore I am not a financial advisor and you should do your own research and not just listen to random people on the internet. Nothing contained in this publication should be construed as investment advice.

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