Trump Media raises $6.42B to invest in Cronos token

Trump Media & Technology Group announced it has raised $6.42 billion to invest in the digital token Cronos (CRO), issued by Crypto.com. The financing package includes a $5 billion credit line, $1 billion worth of Cronos tokens already acquired, $220 million in warrants, and $200 million in cash.

The capital will be directed to a special purpose acquisition company (SPAC), Yorkville Acquisition Corp. The new public entity will trade under the ticker MCGA, inspired by former U.S. President Donald Trump’s political slogan “Make America Great Again.”

Trump Media shares rose 5.6% over the past day, while Crypto.com’s Cronos token surged 25% following the announcement.

Trump Media & Technology Group owns the Trump family’s media properties, and the investment marks one of the largest financial commitments by a media company in the cryptocurrency sector. Cronos is the native token of Crypto.com, one of the world’s largest crypto exchanges.