Tron to Pursue US Public Listing Through Reverse Merger with SRM Entertainment

Tron, the blockchain platform founded by Justin Sun, is planning to go public in the United States by merging with Nasdaq-listed SRM Entertainment, Inc., Financial Times reports. The merger is being facilitated by boutique investment bank Dominari Securities, known for its close ties with the Trump family. Justin Sun confirmed the report's accuracy by sharing it on X.

A Strategic Reverse Merger and TRX Treasury Plan

The reverse merger will see SRM Entertainment rebrand as Tron Inc., with a focus on building a substantial treasury reserve of TRX tokens. SRM Entertainment, a toy manufacturer listed on Nasdaq, has signed a securities purchase agreement with a private investor to raise $100 million, which will be used to initiate a TRX acquisition strategy. The strategic investment, valued at $210 million upon full exercise of the warrants, positions the token as a core financial asset for the company. This approach draws parallels to corporate treasury strategies seen in other firms that hold digital assets as part of their balance sheets. Justin Sun confirmed the reverse merger by sharing relevant reports on X, reinforcing the credibility of the merger plans.

Following the announcement, SRM Entertainment’s stock surged over 533% as of the press time, pushing its market capitalization above $158 million. The market’s enthusiasm reflects confidence in Tron’s strategic pivot and the potential for TRX to transition from a blockchain utility token to a financial asset suitable for institutional portfolios.

Regulatory Progress and Compliance Milestone

The timing of the merger is notable, as it comes shortly after the SEC paused its fraud investigation into Justin Sun and Tron-related entities. In 2023, the SEC filed a lawsuit against Sun, alleging unregistered securities offerings and market manipulation. The pause in this probe represents a critical step forward for Tron’s compliance efforts, potentially easing its path toward broader acceptance in the U.S. financial ecosystem.

This regulatory development aligns with Tron’s ongoing efforts to position itself as a compliant blockchain platform. The network, known for its high-throughput blockchain and significant stablecoin transaction volume — surpassing $400 million daily in some instances — has been working to strengthen its global footprint while addressing regulatory scrutiny.

Eric Trump's Potential Role and Denial

Initial reports suggested that Eric Trump, son of U.S. President Donald Trump, might take a leadership role at Tron Inc., fueling speculation about the Trump family’s growing interest in the cryptocurrency sector. The Financial Times noted that Dominari Securities, which has ties to Donald Trump Jr. and Eric Trump, is orchestrating the deal.

However, Eric Trump clarified that he is not involved in Tron’s public listing, despite expressing admiration for Justin Sun. “I’m the biggest fan of Tron and love Justin Sun. He is a great friend and an icon in the crypto space,” Eric Trump stated. “That said the below is inaccurate — I don’t have public involvement.”

TRX’s Evolving Role as a Financial Asset

Historically, TRX’s valuation has been tied to its role as a utility token, supporting transaction fees, staking incentives, and on-chain activity within the Tron ecosystem. The reverse merger and treasury strategy signal a shift toward positioning TRX as a financial asset with broader investment appeal. By establishing a $210 million TRX reserve, Tron Inc. aims to create a valuation anchor that aligns with institutional and corporate investment strategies, potentially attracting a new class of investors.

As TRX evolves from a blockchain-native token to a financial asset, its valuation and adoption may increasingly depend on institutional acceptance and regulatory clarity. Investors and observers will be watching closely as Tron Inc. navigates its Nasdaq debut and the broader implications for the cryptocurrency industry.

As of press time, TRX is trading at $0.2773, up 2.2% in the past 24 hours.