American financial services firm Cantor Fitzgerald with over 5,000 institutional clients has partnered with SoftBank, Tether, and Bitfinex to launch a $3 billion Bitcoin investment vehicle named Twenty One Capital.
This initiative, announced on April 23, 2025, aims to emulate MicroStrategy’s strategy of holding substantial Bitcoin reserves.
Key Details of the Venture
- Formation of Twenty One Capital: The consortium plans to establish Twenty One Capital through a reverse merger with Cantor Equity Partners, a special purpose acquisition company (SPAC) that raised $200 million in January.
- Bitcoin Contributions: Tether $1.5 billion, SoftBank $900 million, and Bitfinex $600 million.
- Additional Funding: The venture intends to raise an extra $385 million via a convertible bond and $200 million through a private equity placement to acquire more Bitcoin.
- Valuation Metrics: Investments will convert into shares of Twenty One Capital at $10 per share, with Bitcoin valued at $85,000 per coin.
- Leadership: Jack Mallers, known for his work with the Bitcoin payment platform Strike, will lead the new company.
Why does it matter: This move represents one of the most substantial institutional commitments to Bitcoin to date. By forming a publicly traded entity focused on Bitcoin accumulation, the consortium provides traditional investors with a new avenue to gain exposure to the crypto market.
The strategy mirrors that of MicroStrategy, which has seen its market capitalization surge after adopting Bitcoin as a primary treasury asset. Twenty One Capital’s approach could further legitimize Bitcoin’s role in corporate finance and potentially influence other institutions to consider similar strategies.
What they said:
- Twenty One Co-Founder and CEO, Jack Mallers, mentioned that markets need reliable money to measure value and allocate capital efficiently.
- “We believe that Bitcoin is the answer, and Twenty One is how we bring that answer to public markets,” Jack added.
- “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. A public stock, built by Bitcoiners, for Bitcoiners.”
“Bitcoin is one of the only truly decentralized, immutable, and censorship-resistant asset,” said Tether CEO, Paolo Ardoino. “Its role as the foundation of a new financial system is inevitable.”
Market Implications
The announcement has already had a tangible impact on the market. Shares of Cantor Equity Partners today jumped 54.8% to close at $16.44. Moreover, the venture’s substantial Bitcoin purchases could influence market dynamics, potentially affecting Bitcoin’s price and volatility. The involvement of major players like SoftBank and Tether also underscores a growing institutional interest in cryptocurrency assets.
The initiative aligns with a broader shift in U.S. policy toward a more crypto-friendly stance under President Donald Trump’s administration. This environment may facilitate the growth of similar ventures and encourage further institutional participation in the cryptocurrency market.
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