Crypto dot com CRO Coin DD for 4/7/2021 : CryptoCurrency

Crypto dot com CRO Coin DD for 4/7/2021 : CryptoCurrency


CRO is currently ranked #25 by market cap; this puts it around VET, LUNA, EOS, BTT, IOTA, XMR, BSV, and AAVE.

Crypto.com had a lot of buzz recently for announcing a 70bn coin burn. This burn increased the price by 100% in one day (from $.14 to $.28). That price has since retraced 32% to $.19.

Since the announcement, CDC has released their DeFi wallet which also acts as a very rudimentary exchange. The staking rates on the wallet are okay, with CRO currently at around 30% per anum (though you can compound it manually).

CDC is also known as one of the first companies that offered usable VISA cards that allow you to use your crypto and earn rewards. To use a CDC card, you previously had to stake large amounts of CRO. Last month, CDC announced they were lowering the minimum staking requirements (dramatically), which gives more investors access to the higher tier cards and their benefits.

CDC is known for having the best APY for holding BTC, with up to 8.5% if you hold a large amount of CRO and as high as 4.5% APY without holding a large amount.

Finally, CDC recently put out some job ads (13) in the U.S., indicating their expanding operations stateside. They also have an incredibly robust marketing team, as I’m sure you know from seeing their ads everywhere. They’re also expanding this team by an additional 15 positions in the near future.

Right now, there are many competitors entering the crypto card market, including the two giants, Coinbase and Binance. As of now, neither of these giants have listed rewards systems comparable to CDC, but they both have much more confidence in their systems.

Another concern is CDC’s customer service. Generally speaking, their customer service has been seen as slow or unresponsive. However, they’ve been working on this, and I decided to test it last week. I received a response within one day and resolved my “concern” within two.

The chart shows a symmetrical triangle pattern, which isn’t bullish nor bearish, though there was a dip with the market that bounced the price off of the $.16 resistance back to $.19.

symmetrical triangle

Tomorrow, the CEO of CDC is doing a live announcement/AMA on youtube. This could be bullish if there are more announcements related to the DeFi or the exchange (which could use some updates).

Additionally, users are expecting a GBP announcement tomorrow which could lead to a European dump or more buy-in due to increased confidence.

One of the biggest things working against CDC is their sordid history before rebranding where they seemed to have burned many customers holding their previous coin, MCO. If they can get past this, burn some more of their 30bn coins, and expand their exchange and DeFi wallet, I think they have a bright future ahead.

If they don’t develop a U.S.-accessible web exchange or if they don’t improve their exchange or phone application, I think they’ll struggle to maintain their spot in the top #25. This isn’t necessarily bearish for CRO if the company continues to burn its holdings at a reasonable rate determined by market conditions.

Potential Catalysts for Growth:

  1. More DeFi announcements

  2. Burn timeline announcements

  3. More exchange options/listings

  4. Chain adaptations

  5. Positive earnings release

  6. U.S.-accessible Web App

  7. Increased faith in customer service resolutions

Potential Catalysts for Drops:

  1. Competitors offering better rates on cashback (unlikely currently, but possible) with cards

  2. New adapters spreading FUD for not understanding staking (they have a lot of green customers)

  3. A sell-off by the company without a press release explaining the use of funds

  4. Stagnation with app development (currently, they’re developing new things at a fast pace, but they could plateau)

  5. Crypto market conditions (CRO seems to move with BTC but moves more dramatically upwards and downwards)

Positions:

80% BTC, 14% CRO, 6% DOT



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