- TRON founder Justin Sun is pursuing a reverse merger with Nasdaq-listed toy manufacturer SRM Entertainment to fast-track entry into US public markets.
- SRM will purchase over US$100 million of TRON’s TRX tokens and rebrand as Tron Inc., with Sun joining as an adviser to bypass the lengthy IPO process.
- Sun has spent at least US$75 million on Trump’s World Liberty Financial token and attended exclusive dinners, raising conflict-of-interest concerns.
- Known for extravagant purchases, Sun famously bought banana-duct-tape artwork for US$6.2 million and paid US$4.57 million for lunch with Warren Buffett.
Justin Sun, billionaire and TRON founder, is known for his close ties to the Trump administration and for buying “banana art”. But now, he seems to be taking a leaf out of Michael Saylor’s playbook – of sorts at least.
According to reports, Sun is bypassing a more traditional way to get listed on the stock market and is looking at what’s called a reverse merger.
SRM Entertainment, which is a Nasdaq-listed toy manufacturer, has announced it will purchase over US$100 million (AU$153 million) worth of Tron’s TRX tokens and undergo a rebrand into Tron Inc.
Sun will join SRM as an adviser. The reverse merger lets Tron fast-track its entry into public US markets via SRM’s Nasdaq listing – bringing crypto on-chain assets into a public company treasury without the lengthy IPO process.
SRM’s shares surged on the news, gaining over 300 per cent, reaching US$7.73 (AU$11.89).
Related: Trump Media Cleared to Buy Bitcoin With $2.3B War Chest
It’s a growing trend for crypto firms seeking access to US capital markets with speed and flexibility. It’s also reflective of a growing trend of companies adding crypto to their treasuries – while mostly Bitcoin, some have also added altcoins such as XRP.
Chinese-born Sun has been in hot water with the US Securities and Exchange Commission (SEC) over fraud allegations, though this has been put on hold.
Sun Splurges on Bananas and Fancy Dinners
Sun recently attended an exclusive dinner with US President Donald Trump after buying his meme-coin $TRUMP. The event drew a lot of criticism over the president’s close ties to the crypto industry and corruption concerns.
Attendees also later complained about a lack of access to Trump, bad food and the president’s brief appearance at the event.
Sun spent at least US$75 million (AU$115.5 million) on Trump’s World Liberty Financial token (where he serves as an adviser), raising conflict-of-interest concerns given Trump’s financial stake.
Sun also made waves in the art world, paying US$6.2 million (AU$9.5 million) for a banana duct-tape artwork. Previously, he paid a record US$4.57 million (AU$7.04 million) to lunch with Warren Buffett in 2019.
Related: Justin Sun Touts Bright Future for JST as TRON’s DeFi Ecosystem Expands
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