Crypto.com and Canary Capital to launch US CRO fund

Crypto.com and Canary Capital are launching a US investment fund, the Canary CRO Trust, offering exposure to the Cronos blockchain’s native token, CRO. This regulated fund, not an ETF, is exclusively available to accredited investors. The initiative reflects Crypto.com’s strategy to mainstream cryptocurrency.

The move follows Crypto.com’s March partnership with Trump Media & Technology Group to launch a series of Trump-branded ETFs, including one holding CRO. However, these ETFs, along with any CRO ETFs in general, are still pending SEC approval. Currently, no CRO ETFs are authorized for US trading.

Cronos, a layer-1 blockchain affiliated with Crypto.com, aims for seamless integration with Ethereum and Cosmos ecosystems. It supports DeFi applications, NFTs, and other Web3 projects. Its TVL stands at nearly $440 million, with VVS Finance, a DeFi platform for token swaps and yield farming, as its most popular application. The CRO token boasts a market capitalization of approximately $880 million (as of May 19th).

The launch of the Canary CRO Trust comes amidst a surge in altcoin ETF filings. President Trump’s crypto-friendly stance has spurred the filing of roughly 70 new crypto ETF applications since his inauguration. This activity includes VanEck’s May filing for a BNB-linked ETF (BNB Chain’s native token, affiliated with Binance) and 21Shares’ European launch of a CRO ETP. These developments highlight the growing interest in regulated crypto investment products.

The Canary CRO Trust represents a significant step in providing accredited US investors with regulated access to the CRO token, furthering the integration of cryptocurrencies into traditional finance. While the SEC approval process remains a key hurdle for broader market access, the initiative showcases the ongoing efforts by major players to expand the reach and legitimacy of crypto investments.