Why Cronos Is Skyrocketing Today

Key Points

• Trump Media will partner with Crypto.com to create a new company that will accumulate Cronos.

• The deal includes Trump Media purchasing over a hundred million CRO.

• 10 stocks we like better than Cronos ›

Cronos (CRYPTO: CRO) is flying higher on Tuesday, up 24.9% in the last 24 hours as of 1:38 p.m. ET today. The spike comes as the S&P 500 and the Nasdaq Composite are little changed.

Cronos, the token of the major exchange Crypto.com, is jumping after news broke that Crypto.com and Trump Media & Technology are teaming up to create a new company that will acquire Cronos.

Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now. Continue »

Trump Media will add Cronos

The parent company of Truth Social, Trump Media, will partner with Crypto.com to create a new entity that will be taken public via a SPAC deal. The entity will merge with Yorkville Acquisition and be listed under the ticker MCGA. The deal is funded with $1 billion in CRO tokens, $200 million in cash, $220 million in warrants, and an equity line of up to $5 billion from a Yorkville affiliate.

As part of the deal, Trump Media will purchase around $100 million in Cronos to add to its own books, while Crypto.com will buy roughly $50 million in Trump Media stock.

The deal to accumulate Cronos mirrors the same strategy by Trump Media to accumulate Bitcoin on its own books, which the company modeled after a strategy that was pioneered by Michael Saylor's MicroStrategy (doing business as Strategy). However, this deal is unique in that the target asset is a relatively minor altcoin at least in comparison to Bitcoin or Ethereum, which most other companies have targeted to this point.

Image source: Getty Images.

While the news led to a rush of investors purchasing Cronos, I would stay away from this token for now. There is likely to be a lot of volatility around this deal, just as there is a lot of volatility around Trump Media stock. If you're interested in investing in cryptocurrency, stick to Bitcoin or Ethereum.

Should you invest $1,000 in Cronos right now?

Before you buy stock in Cronos, consider this:

The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Cronos wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.

Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $656,895!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,102,148!*

Now, it’s worth noting Stock Advisor’s total average return is 1,062% — a market-crushing outperformance compared to 184% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.

See the 10 stocks »

*Stock Advisor returns as of August 25, 2025

Johnny Rice has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bitcoin and Ethereum. The Motley Fool has a disclosure policy.