Tron’s move to go public through a merger with SRM Entertainment has been dogged by controversy due to potential conflicts of interest involving US President Donald Trump’s sons.
Trump’s sons recently announced that although they are fans of Tron founder Justin Sun, they have no connection to Tron.
Tron announced that it will merge with Nasdaq-listed SRM Entertainment to become a publicly traded company called “Tron Inc.” The transaction was conducted through investment bank Dominari Securities.
But Dominari Securities’ ownership structure and connections to the Trump family have cast a shadow over the transparency of the process. According to a report by Forbes in April, Trump’s eldest son Donald Trump Jr. and second son Eric Trump have joined the advisory board of Dominari Holdings, the parent company of Dominari Securities. Dominari Holdings, headquartered in Trump Tower, gave each of the Trump brothers 750,000 shares in return for their participation. 250,000 of those shares will be delivered immediately, while the remaining 500,000 shares will be transferred if the company’s market value exceeds a certain threshold.
If the company passes another milestone, the Trump brothers and Trump Group executive Ron Lieberman could buy an additional 550,000 shares in total, according to a Forbes report. All of this has led to criticism that Dominari has potential conflicts of interest with the Trump family, as it was instrumental in Tron’s IPO.
*This is not investment advice.
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