According to a report by the Financial Times on June 16th, Tron, the blockchain platform founded by the controversial crypto tycoon Justin Sun, is preparing to go public in the United States through a reverse merger with Nasdaq-listed SRM Entertainment. The deal was meticulously planned by Dominari Securities, a New York boutique investment bank closely associated with Donald Trump Jr. and Eric Trump, according to two people familiar with the matter. Up to 210 million US dollars of Tron token assets will be injected into the newly established Tron Company.
This reverse merger and acquisition is politically charged. Tron did not choose the traditional initial public offering (IPO), but quickly entered the US capital market through reverse mergers and acquisitions. This structure emulated the Strategy of Strategy (formerly known as MicroStrategy), that is, to turn itself into a de facto Bitcoin investment tool. In the case of Tron Company, the company will hold a large number of TRX tokens, imitating the cryptocurrency-centered model.
It is expected that Eric Trump will hold a formal position at Tron, highlighting the increasingly close ties between this crypto enterprise and the Trump family. The share price of SRM Entertainment soared by 647% after the news was announced on Monday.
This move came just four months after the U.S. Securities and Exchange Commission (SEC) agreed to suspend fraud lawsuits against Sun Yuchen and several companies including Tron. The SEC once accused all parties of selling unregistered securities and manipulating the market. But after Trump took office again and vowed to ease cryptocurrency regulations, the two sides submitted a joint motion in February to explore potential settlement plans.
The transaction is in the form of a private placement, including a $100 million advance payment and warrants, bringing the total transaction value to $210 million. As part of the agreement, SRM Entertainment will be renamed Tron Corporation, effectively providing a backdoor for Sun Yuchen’s blockchain project to enter Nasdaq.
However, Eric Trump publicly distanced himself from Dominari Securities after the deal was announced. According to a report by CNBC on June 16th, Donald Trump Jr. Eric Trump joined the advisory board of Dominari’s parent company earlier this year. But within a few hours of the report linking Dominari to the Tron-SRM deal, Eric Trump denied on the X platform any “public connection” with the company, saying the relevant description was “inaccurate”.
Sun Yuchen has invested over 97 million US dollars in crypto projects related to Trump. For example, he invested 75 million US dollars in World Liberty Financial, a crypto bank supported by the Trump family. He also purchased the president’s emoji token and won the competition for the best holder. This has made his relationship with the government closer.
If this reverse merger is successful, Tron will become one of the few major cryptocurrency platforms that directly enter the US public market. This move occurred after Circle successfully conducted its initial public offering on June 5, 2025. On its first day of listing, Circle’s share price rose by approximately 300%, surpassing well-known Internet companies such as Meta, Airbnb, and Robinhood.
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