Photo: Edouard H.R. Gluck
Key Takeaways
- Twenty One Capital, backed by Tether and SoftBank, aims to accumulate over 42,000 Bitcoin.
- The company will develop Bitcoin-native financial products under the ticker symbol XXI.
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Twenty One Capital, Inc., a Bitcoin-centric venture, is launching with backing from Tether, SoftBank, and Cantor Fitzgerald, according to a Wednesday press release.
The company is set to begin operations with over 42,000 BTC. With Bitcoin trading at approximately $92,500 at press time, that amount would be worth around $3.8 billion.
If achieved, it would position Twenty One as one of the largest Bitcoin holders globally. Currently, Strategy leads the group with 534,741 BTC, followed by MARA Holdings with 47,600 BTC.
The firm will be led by Jack Mallers, founder of Strike and a prominent Bitcoin advocate. Under his leadership, Twenty One intends to develop Bitcoin-native financial products and services while producing Bitcoin-focused content and media.
“Markets need reliable money to measure value and allocate capital efficiently,” said Mallers. “We believe that Bitcoin is the answer, and Twenty One is how we bring that answer to public markets.”
Twenty One is merging with Cantor Equity Partners and will trade under the ticker XXI.
The deal values Twenty One at $3.6 billion and includes $585 million in new capital, raised through a mix of equity and convertible notes. These funds will go toward purchasing more Bitcoin and expanding the company’s operations.
Post-merger, Tether and Bitfinex will own a majority stake, while SoftBank Group will hold a minority interest. Tether has also committed to purchasing Bitcoin on behalf of Twenty One.
“Bitcoin is one of the only truly decentralized, immutable, and censorship-resistant assets, and its role as the foundation of a new financial system is inevitable,” said Paolo Ardoino, CEO of Tether.
Twenty One will introduce two performance metrics: Bitcoin Per Share (BPS) and Bitcoin Return Rate (BRR), reflecting its Bitcoin-denominated capital structure.
“With a visionary leader at the helm and backing from two renowned industry leaders, Twenty One is designed to help investors capture value from Bitcoin’s growing global demand and increasing institutional adoption,” said Brandon Lutnick, the son of US Commerce Secretary Howard Lutnick and Chairman of Cantor Fitzgerald.
The launch announcement follows a Wall Street Journal report disclosing that Lutnick had inked partnerships with SoftBank, Tether, and Bitfinex to develop a $3 billion Bitcoin venture.
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