There were several reductions announced to CRO by crypto exchange Crypto.com regarding staking rewards for most ties- which led the price of the token to fall by 30% in a week. In a blog post made on Sunday, the crypto exchange explained that the card rewards would now be reduced by an estimate of 69.5% and almost 100% on its lowest tier Midnight Blue card- in order to ensure sustainability over a longer-term. On the Obsidian card, which is its highest tier as it requires one to have around $400,000 staked in Cronos, the rewards would drop from 8% to 5%. According to the report, these changes would be brought to the token currency on the 1st of June.
CRO Price Falls Over Crypto.com Announcement
However, CRO cardholders who previously had an active stake of six months before Sunday would not see their rewards schedule change until the expiry of their current terms. Along with the addition made to reward rates, there would also be a cap set on three different tiers of cards. The tier for Ruby Steel will have a limit of $25 per month, while the Jade Green and the Royal Indigo would have a monthly limit of $50 on their rewards.
Needless to say, most of the current stakes have been pretty irritated by the sudden move of the exchange to change the rewards. Devchart, a high-profile staker, informed his 170,000 followers on Monday that the decision of the exchange was quite dumb.
As a response to the backlash that CRO faced from the community, Kris Marszalek, the CEO of Crypto.com, tweeted that the planned changes would definitely be adjusted to ensure a more balanced approach is taken.
This news did have quite a negative impact on the price of CRO, which tumbled down all the way to $0.28.