Trump Media & Technology Group Corp (NASDAQ:DJT) and Crypto.com have announced a strategic partnership that will integrate Crypto.com’s Cronos (CRO) cryptocurrency and digital wallet infrastructure into Trump Media’s platforms, including Truth Social and its streaming service Truth+.
Per the deal, Trump Media will introduce a rewards system on its platforms that leverages the Crypto.com digital wallet and uses CRO as a utility token.
Users will be able to convert points, or “gems,” earned for participating in platform activities into CRO and other benefits.
Planned integrations also include using CRO to pay for subscriptions and services, as well as offering discounted or free Truth+ subscriptions to users who open a Crypto.com account.
As part of the collaboration, Trump Media will purchase approximately $105 million in CRO, secured through Crypto.com Custody services, which also allow staking for revenue generation. Crypto.com will purchase $50 million in Trump Media common stock.
In a related move, Trump Media has established Trump Media Group CRO Strategy, a newly formed digital asset treasury company.
The entity has entered a definitive agreement for a business combination with Yorkville Acquisition Corp, a SPAC sponsored by Yorkville Acquisition Sponsor LLC. The firm will focus on acquiring and managing CRO assets to support Trump Media’s digital asset strategy.
“After reopening the internet with a free-speech social media platform and building an uncancellable TV streaming service, Trump Media is partnering with Crypto.com to help make Cronos the utility token of choice around the globe,” Trump Media CEO Devin Nunes said in a statement.
Crypto.com CEO Kris Marszalek added: “We are proud to partner with Trump Media to bring the utility of CRO to the Truth Social platform. This CRO integration is a historic moment for the Cronos blockchain.”
Shares of Trump Media traded higher on the announcement, up 5.5% at about $18 in the early afternoon on Tuesday.