Crypto.com Announces MCO to CRO Token Swap, Community Raises Concerns
- Crypto.com is phasing out its MCO token, and is urging users to swap their tokens to CRO
- Users must complete the token swap before November 2
- The reaction of the Crypto.com community to the token swap has been mixed to negative
Crypto.com is phasing out MCO
Crypto.com has notified its users that they are transitioning towards a one-token model – MCO is being phased out, and its features will be incorporated into CRO. The company is now encouraging its users to swap their MCO tokens to CRO, offering a rate of 1 MCO to 27.6439 CRO. Users who perform the token swap before September 2 will receive a 20% bonus, and an effective exchange rate of 1 MCO to 33.1726 CRO.
Users must complete the token swap before November 2. From that point forward, Crypto.com will provide no utility for the MCO token, and the token will no longer be offered for buying and selling in the Crypto.com app.
According to the company, the swap is a step towards streamlining the company’s operations and taking advantage of the Crypto.com Chain:
“In order to maximise the benefits arising from increasing use of blockchain technology, streamline our operations and leverage the advanced capabilities of the Crypto.com Chain, we are implementing the MCO Swap Program.”
Many Crypto.com community members are not pleased about the swap
The reaction to the token swap over at the r/Crypto_com subreddit is mixed at best, with numerous users complaining about MCO being phased out. The most common complaint is that the timing of the swap comes at an inopportune time for MCO holders – before its price spike earlier today (which is likely connected to the 20% bonus), MCO was trading near its 3-month lows. CRO, on the other hand, is currently right around its 3-month highs. Essentially, many users are worried that they are forced to sell low and buy high.
On August 4, 7 AM UTC, Crypto.com CEO Kris Marszalek will be holding a live AMA (ask me anything) session. Judging by the response to the token swap, it will likely be the main topic of discussion.
The MCO token has seen a large price increase today, and is currently posting a 24-hour change of 37.6%. The spike was seen on exchanges other than Crypto.com – after the announcement, users bought up MCO tokens on “external exchanges” to swap them via the MCO app for CRO at a 20% bonus. However, it seems that the market reacted too aggressively - buying MCO at a price of $5.46, where it is currently trading, is a losing proposition if one intends to swap it for CRO, despite the bonus.