Trump Media Abandons CRO Token Deal Amid Cryptocurrency Market Downturn

Trump Media & Technology Group Corp., the conglomerate controlled by former US President Donald Trump, has withdrawn from a deal to buy billions of dollars' worth of the Crypto.com digital token known as CRO. The decision marks a step back for Trump Media from the crypto space, which has seen Bitcoin prices plummet by nearly half to around $65,000 since their peak last year.

The withdrawal also includes plans to make prediction market contracts available on the Truth Social network and to have Crypto.com service certain exchange-traded fund offerings. According to Kris Marszalek, CEO of Crypto.com, 'after analyzing these proposed ETFs and DAT from every angle, we've reached the same conclusion: moving forward under current market conditions doesn't make sense.'

The deal was part of a larger agreement for Trump Media to form a digital treasury company with Crypto.com. This move comes as Crypto.com recently announced that Citadel Securities LLC invested $400 million into the exchange at a valuation of about $20 billion.