Tether, SoftBank & Jack Mallers Launch $3.6B Bitcoin Giant ‘Twenty One Capital’ via SPAC Merger
In a major move signaling renewed confidence in the cryptocurrency market, Tether, SoftBank, and Jack Mallers have teamed up to launch a Bitcoin-native investment firm, Twenty One Capital, through a $3.6 billion reverse merger with Cantor Equity Partners — a SPAC chaired by Brandon Lutnick, the son of U.S. Commerce Secretary Howard Lutnick.
This bold initiative aims to emulate and build upon MicroStrategy’s Bitcoin acquisition strategy, positioning Twenty One as a powerhouse in digital asset investment.
🔑 Key Details
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Massive Bitcoin Holdings: Twenty One Capital will begin operations with 42,000 BTC, immediately ranking it among the top corporate holders of Bitcoin worldwide.
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Reverse Merger with Cantor SPAC: The venture was launched by merging with Cantor Equity Partners, which previously raised $200 million. This SPAC structure allowed for a fast-track public listing without a traditional IPO.
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Strategic Ownership:
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Tether holds a majority stake in the firm.
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SoftBank owns 24%, acquired via a unique Bitcoin-for-equity deal brokered through Tether.
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Jack Mallers, CEO of Strike and a leading voice in Bitcoin adoption, will serve as CEO of Twenty One Capital.
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Funding and Expansion Plans:
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The firm intends to raise an additional $585 million through convertible debt and PIPE equity placements.
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The focus is entirely on Bitcoin: buying it, holding it, and building educational and advisory products around it.
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📈 A Bitcoin-Centric Business Model
Twenty One Capital is branding itself as a “Bitcoin-native” investment vehicle with two new performance metrics:
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Bitcoin Per Share (BPS): Indicates the amount of BTC represented by each fully diluted share — prioritizing crypto over fiat-based earnings.
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Bitcoin Return Rate (BRR): A new metric showing how fast the BPS grows, reflecting gains in Bitcoin holdings rather than dollar profits.
While this model mimics that of MicroStrategy, the team behind Twenty One aims to push deeper into Bitcoin advocacy, education, and financial products tailored for crypto-native investors.
🌐 Industry Implications
The formation of Twenty One Capital signals a shift in institutional crypto sentiment. With heavyweights like Tether and SoftBank on board, and a pro-crypto environment under the Biden and potentially Trump administrations, this venture may set the stage for a new wave of large-scale corporate Bitcoin adoption.
Critics may note the inherent risks — especially with the firm’s Bitcoin-denominated structure and volatile market nature — but proponents argue it reflects the future of financial innovation.
🔍 Why It Matters
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Reinforces Bitcoin’s role as a long-term treasury asset.
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Demonstrates a growing synergy between traditional finance and crypto.
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Could attract institutional investors looking for exposure to Bitcoin without directly holding it.
🌍 Final Word
With $3.6 billion in backing, Bitcoin-maxi leadership, and a model built for digital finance, Twenty One Capital is more than just another crypto firm — it could be the next major milestone in Bitcoin’s journey from alternative asset to mainstream financial pillar.