New Trump-backed SPAC deal creates Trump Media Group CRO Strategy, funded by $1 billion in CRO tokens, cash, warrants and a $5 billion credit line from Yorkville affiliate.
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Trump Media and Technology Group, the owner of US President Donald Trump’s Truth Social platform, announced a business combination with cryptocurrency exchange Crypto.com and the blank check company Yorkville Acquisition.
Trump Media, Crypto.com and Yorkville Acquisition entered into a definitive agreement to jointly establish Trump Media Group CRO Strategy, to a Tuesday announcement.
The entity will be a digital asset treasury company focused on the acquisition of Cronos (), the native cryptocurrency of the Cronos blockchain, developed by Crypto.com.
Majority-owned by Trump Media, Crypto.com and Yorkville, Trump Media Group CRO Strategy aims to build a treasury of at least $6.42 billion.
According to the announcement, Trump Media Group CRO Strategy will fund its digital asset treasury with $1 billion in CRO tokens, $420 million in cash and warrants, plus a $5 billion credit line from an affiliate of Yorkville.
The capital would make CRO Strategy the “first and largest publicly traded CRO treasury company,” the companies said in the announcement, adding that it would potentially become the “largest digital asset treasury company to market cap ratio in history.”
To support the long-term commitment to Trump Media Group CRO Strategy, the three partners agreed to a mandatory one-year initial lock-up period on their founding shareholdings. The lock-up will include all granted warrants, following the closing of the business combination.
An additional three-year restrictive release schedule is expected to follow the initial lock-up period.
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This is a developing story, and further information will be added as it becomes available.
