Trump Media & Technology Group has reached an agreement with Crypto.com and blank-check vehicle Yorkville Acquisition Corp. to establish a crypto treasury company focused on buying and holding CRO, the native token of the Cronos blockchain.
Details of the arrangement were disclosed Tuesday in a filing with the US Securities and Exchange Commission.
Under the deal, Crypto.com will transfer 684.4 million CRO tokens, valued at about $105 million, to Trump Media in exchange for 2.8 million of its shares and $50 million in cash, according to the filing.
🚨 Breaking News:
Today is a historic day for $CRO
Trump Media Group CRO Strategy has announced $6.4B in funds to build America’s Cronos Treasury.
At closing, Trump Media Group CRO Strategy is expected to be the world’s largest holder of CRO.
Read the press release for more
Trump Media, Crypto.com, and Yorkville will be subject to a mandatory one-year lock-up period for their holdings once the transaction closes.
The new entity will be called Trump Media Group CRO Strategy Inc. and is expected to trade on the Nasdaq under the ticker symbol MCGA.
Shares of Trump Media gained 4.9% in early trading following the announcement.
Treasury model mirrors corporate crypto strategies
According to the filing, the structure will resemble the approach popularised by Michael Saylor’s company MicroStrategy, which has raised capital to buy and hold Bitcoin as part of its corporate treasury.
The Trump Media-led company plans to follow a similar model, anchoring its reserves around CRO tokens.
Funding for the venture is expected to include 6.3 billion CRO tokens, $200 million in cash, $220 million in mandatory exercise warrants, and a $5 billion equity line of credit with an affiliate of Yorkville Acquisition Sponsor, the backer of the special purpose acquisition company.
Specific details about the funding timeline were not disclosed.
Devin Nunes, Chairman and CEO of Trump Media, said financial markets are becoming more digital and that businesses are increasingly seeking exposure to digital asset treasuries.
Trump Media and Crypto.com
Cronos is the native cryptocurrency of the Cronos blockchain, which is supported by Crypto.com.
The exchange’s Chief Executive Officer, Kris Marszalek, was among the first industry executives to meet President Donald Trump at Mar-a-Lago after his electoral victory last year.
Crypto.com also donated $1 million to Trump’s inaugural committee.
The partnership builds on previous collaborations between Trump Media and Crypto.com.
Earlier initiatives included proposed crypto-linked exchange-traded funds, such as a “Crypto Blue Chip” product that would provide exposure to Cronos alongside Bitcoin, Ether, and other digital assets.
The filing said the new company intends to position itself around assets with what it described as “comprehensive value propositions” and utility potential.
The transaction remains subject to closing conditions.
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