Tether-Backed Twenty One Capital Expands Bitcoin Holdings With $458.7M Purchase

TLDRTwenty One Capital has purchased 4,812 Bitcoin at approximately $95,319 per tokenThe $458.7 million acquisition brings the company’s total holdings to 36,312 BTCThe firm now ranks as the third-largest corporate Bitcoin holder globallyThe purchase is linked to an ongoing SPAC merger with Cantor Equity PartnersCEO Jack Mallers aims to create a “superior vehicle” for Bitcoin exposureBitcoin investment firm Twenty One Capital has expanded its cryptocurrency holdings with a major new acquisition. The company added 4,812 Bitcoin to its treasury through a transaction executed by its major backer, Tether.This purchase, valued at approximately $458.7 million, was revealed in a May 13 filing with the US Securities and Exchange Commission. The Bitcoin was acquired at an average price of $95,319 per token on May 9.The transaction involved Tether transferring the newly purchased Bitcoin to an escrow wallet. This forms part of a private investment in public equity (PIPE) arrangement tied to Twenty One Capital’s ongoing Special Purpose Acquisition Company merger.Cantor Equity Partners, Inc aka Jack Mallers' Twenty One Capital files 8-K with the #SEC announcing first purchase by @Tether_to of 4,812 #Bitcoin worth $458.7 million at average price of $95,319.83.@twentyone21___ @cantorfitzgerld On April 22, 2025, Cantor Equity Partners,... pic.twitter.com/IdtKw8Pd0Y— MartyParty (@martypartymusic) May 13, 2025With this addition, Twenty One Capital’s Bitcoin holdings have grown to 36,312 BTC. This places the firm third in the rankings of corporate Bitcoin holders worldwide.Only Strategy (formerly MicroStrategy) with 568,840 BTC and MARA Holdings with 48,237 BTC hold larger amounts. The gap between these companies highlights the scale of investment flowing into corporate Bitcoin treasuries.Twenty One Capital was co-founded in April 2025 by three major backers. These include stablecoin issuer Tether, cryptocurrency exchange Bitfinex, and Japanese technology investor SoftBank.Market Impact and Corporate StrategyThe purchase comes at an interesting time for Bitcoin prices. The cryptocurrency has been trading around $103,540, close to its all-time high of approximately $109,000.Market analysts are watching closely for a potential breakout. The recent Consumer Price Index data showed lower-than-expected inflation, which some experts believe could create favorable conditions for Bitcoin’s next upward move.Twenty One Capital’s SPAC merger is being facilitated through Cantor Equity Partners. This Cayman Islands-based entity is affiliated with the Wall Street firm Cantor Fitzgerald.When the merger completes, Twenty One Capital will trade under the ticker symbol “XXI” on public markets. Currently, it trades as CEP (Cantor Equity Partners).The market has reacted strongly to news of the Bitcoin purchase. CEP shares experienced extreme volatility, surging from $10.65 to $59.73 before settling at $29.84.After the recent SEC filing was made public, the stock gained an additional 5.2% in after-hours trading. This demonstrates the market’s sensitivity to Bitcoin-related corporate actions.According to earlier filings, Twenty One Capital aims to debut with at least 42,000 Bitcoin in its treasury. The plan calls for Tether to contribute 23,950 BTC, SoftBank to provide 10,500 BTC, and Bitfinex to supply around 7,000 BTC.These Bitcoin holdings will be converted into company shares at a price of $10 each. This structure aligns with the firm’s goal of measuring performance through “Bitcoin per share” rather than traditional metrics.At the helm of Twenty One Capital is Jack Mallers, founder of the Bitcoin payments application Strike. Mallers has been a vocal advocate for Bitcoin adoption and has worked extensively on Lightning Network payment solutions.Mallers has described the new venture as a stock “built by Bitcoiners, for Bitcoiners.” He has outlined plans for the company to develop Bitcoin-native financial products including lending tools and capital market offerings.In April statements, Mallers positioned Twenty One Capital as a future competitor to Strategy. The company stated its intention to become a “superior vehicle” for capital-efficient Bitcoin exposure.Paolo Ardoino, CEO of Tether, has also commented on the venture. He views it as a long-term investment in Bitcoin’s institutional relevance and value proposition.“Twenty One will take a Bitcoin-first approach that aligns with our vision—prioritizing accumulation over speculation and building long-term value for those who understand what Bitcoin represents,” Ardoino said last month.Cantor Fitzgerald serves as both sponsor and advisor to the merger. The firm has raised $585 million to fund future Bitcoin purchases, demonstrating substantial institutional backing for the venture.The post Tether-Backed Twenty One Capital Expands Bitcoin Holdings With $458.7M Purchase appeared first on CoinCentral.