Cronos CRO Supply to Increase 200% After Unexpected Governance Shift
Despite the promise of decentralized governance, crypto ecosystems often see major token holders wielding outsized influence over key decisions—and Cronos is no exception.
A contentious governance proposal in the Cronos ecosystem wrapped up late Monday, resulting in approval to expand the CRO supply from 30 billion to 100 billion over the next decade. This outcome defied expectations, as early voter sentiment had strongly opposed the measure.
For weeks, community members were largely against the proposal. However, in the final hours of voting, a group of influential CRO whales—large token holders with significant voting power—intervened, reversing the outcome in favor of the supply expansion.
Cronos, which is closely tied to Crypto.com, initially put forward the plan to reintroduce 70 billion CRO tokens that were burned in 2021. The justification was to restore the original 100 billion token supply and establish a “Strategic Reserve.”
Valued at approximately $5 billion based on CRO’s $0.08 price at the time, the initiative was framed as a means to enhance U.S. crypto competitiveness, accelerate ecosystem growth, and support the launch of a potential CRO ETF. However, early opposition was overwhelming, with 86% rejecting the proposal in the initial days of voting.
Despite the appearance of decentralized decision-making, the final outcome was dictated by a few major stakeholders. The proposal initially failed to meet the 33.4% quorum required for passage. Then, at 14:00 UTC on Monday, a sudden 3.35 billion CRO vote pushed the measure over the threshold, securing its approval. The final vote tally: 61.18% in favor, 17.61% against, 20.11% abstaining, and 0.11% vetoing.
Validator support also saw a late shift. By March 10, validator networks Starship and Falcon Heavy had backed the measure, yet opposition remained strong at 77.97%, with 8.47% abstaining. But by Monday, additional validators—including Electron, Antares, and Minotaur IV—stepped in, leveraging 3.2 billion CRO in voting power to push the proposal through.
The Cronos network implemented an upgrade shortly after the vote concluded, finalizing the changes at 03:00 UTC on March 18. This officially set the stage for a more than 200% increase in token supply over the next several years.
Market reaction has been swift, with CRO dropping 8.5% in the past 24 hours, reflecting growing investor uncertainty despite an otherwise stable crypto market.
