TLDR
- Jack Mallers, founder of Strike, will lead Twenty One Capital, a new Bitcoin treasury company planning to launch with 42,000 BTC ($3.9 billion)
- Twenty One Capital received backing from Tether, SoftBank, and Cantor Fitzgerald, with Tether contributing 23,950 BTC
- The firm aims to become a “superior vehicle” to Michael Saylor’s Strategy (formerly MicroStrategy) for investors seeking Bitcoin exposure
- Twenty One Capital will go public via a SPAC merger with Cantor Equity Partners, trading under ticker XXI on Nasdaq
- Beyond holding Bitcoin, the company plans to offer Bitcoin debt and equity products, advisory services, lending platform, and educational initiatives
Strike founder Jack Mallers is set to lead Twenty One Capital, a new Bitcoin treasury company that aims to challenge Michael Saylor’s Strategy as the leading Bitcoin investment vehicle. The firm plans to launch with 42,000 Bitcoin (worth $3.9 billion), positioning it as the third-largest corporate Bitcoin holder globally.
Twenty One plans to trade under $XXI and plans to start with a Bitcoin Treasury of 42,000 BTC – It compares itself directly with Strategy pic.twitter.com/0Wd6ebTbrI
— NLNico (@btcNLNico) April 23, 2025
Twenty One Capital has secured backing from major players in the cryptocurrency space. Tether will contribute approximately 23,950 BTC, SoftBank will add 10,500 BTC, and Bitfinex will provide 7,000 BTC. These contributions will be converted into equity at $10 per share.
The company intends to go public through a blank-check merger with Cantor Equity Partners. Once the deal is completed, Twenty One Capital will trade on the Nasdaq under the ticker XXI. The firm is working to finalize agreements with investors to raise $585 million through convertible bonds and equity financing.
Beyond Bitcoin Storage
Twenty One Capital’s vision extends beyond merely holding Bitcoin. The company has outlined plans to develop various Bitcoin-focused offerings including debt and equity products, advisory services, a lending platform, and educational initiatives.
“Twenty One’s mission will be to accelerate Bitcoin adoption and Bitcoin literacy at both institutional and retail levels,” the firm stated in its announcement. They also plan to partner with industry players to host Bitcoin conferences, furthering their educational goals.
“Our mission is simple: to become the most successful company in Bitcoin, the most valuable financial opportunity of our time. We’re not here to beat the market, we’re here to build a new one,” said Mallers. “A public stock, built by Bitcoiners, for Bitcoiners.”
Challenging Strategy’s Model
In its investor presentation to the SEC, Twenty One Capital directly compared its business model to Strategy’s (formerly MicroStrategy). The new venture claims to offer a “superior vehicle for investors seeking capital-efficient Bitcoin exposure.”
Twenty One Capital argues that Strategy’s ability to create shareholder value through future Bitcoin purchases is limited. With Strategy already holding 534,741 BTC, the company would need to make increasingly larger investments to boost its Bitcoin Per Share (BPS).
The new company positions itself as a more “pure play” for investors seeking Bitcoin exposure. Twenty One Capital emphasizes its Bitcoin-native operations and greater “flexibility” for strategic capital raises as key advantages over its competitor.
Upon completion of the deal, Twenty One Capital will rank as the third-largest corporate Bitcoin holder. It will trail only Strategy and Bitcoin mining firm MARA Holdings, which holds 47,600 BTC according to BitcoinTreasuries.NET data.
Market Impact and Ownership Structure
The announcement of Twenty One Capital sparked a massive rally in Cantor Equity Partners shares. CEP stock jumped 54.2% to $16.50 on April 23, followed by another 25.1% increase in after-hours trading.
Once the $585 million agreement is completed, Cantor Equity Partners will convert to XXI. The venture strengthens Tether’s ties with Cantor, which manages US Treasury reserves backing Tether’s USDT stablecoin with a market cap of $145.3 billion. Cantor also owns a 5% stake in the stablecoin issuer.
Twenty One Capital will be majority-owned by Tether and crypto exchange Bitfinex. Japanese investment holding firm SoftBank will own a major minority share in the venture.
Paolo Ardoino, CEO of Tether, expressed strong support for the new venture. “Bitcoin is one of the only truly decentralized, immutable, and censorship-resistant asset, and its role as the foundation of a new financial system is inevitable,” said Ardoino.
“With Jack at the helm, we are proud to support this effort to further Bitcoin’s adoption and reinforce its role as the ultimate store of value,” he added.
Twenty One Capital aims to evolve beyond Strategy’s model into a broader platform for Bitcoin-native innovation. The company plans to offer new capital market instruments, lending models, and pro-Bitcoin content for public shareholders.
The firm is poised to make a splash in the Bitcoin ecosystem. With strong financial backing and a clear mission to maximize Bitcoin ownership per share, Twenty One Capital represents a major new entrant in the corporate Bitcoin treasury space.
