Tether Fuels Twenty One Capital Bitcoin Push with $458.7M Bet

Tether, the world’s leading stablecoin issuer, has taken another major step in its Bitcoin (BTC) strategy. The company recently bought $458.7 million worth of Bitcoin for Twenty One Capital, an investment firm focused on the flagship cryptocurrency. This move comes as Twenty One prepares to go public through a merger with Cantor Equity Partners. Tether Supports Twenty One’s Merger Plan According to a filing submitted to the U.S. Securities and Exchange Commission (SEC) on May 13, Tether purchased 4,812.2 BTC at an average price of $95,319. The Bitcoin was moved into an escrow wallet on May 9. With this new purchase, Twenty One now holds 36,312 BTC in total. Cantor Equity Partners is already holding 31,500 BTC on the firm’s behalf. After the merger is complete, the investment firm plans to go public and list its shares on the stock market under the ticker symbol “XXI.” Twenty One Becomes Third-Largest Corporate BTC Holder This latest acquisition makes Twenty One the third-largest corporate holder of Bitcoin. It is just behind Michael Saylor’s firm, Strategy, which owns 568,840 BTC, and MARA Holdings, which holds 48,237 BTC. Jack Mallers, Twenty One’s CEO, confirmed that the merger process is moving forward but did not give a specific date for its completion. Meanwhile, Tether is not the only major backer of Twenty One. The Bitfinex crypto exchange also has a stake in the company. Cantor Fitzgerald, a well-known financial firm, provides advisory services and has raised $585 million to help fund Twenty One’s Bitcoin strategy. In addition, Japanese tech company SoftBank has also invested $900 million into the firm. This adds to the growing list of companies SoftBank supports financially. Twenty One Takes Different Approach Twenty One is taking a different approach to measuring its value from most traditional companies. In its April presentation to the SEC, the firm explained that it will focus on Bitcoin-first operations. The company revealed that it will ignore standard financial metrics like earnings per share and instead use “Bitcoin per share” as its key performance measure. When it launches on the stock market, the company aims to hold 42,000 BTC. Previous filings show that Bitcoin contributions will come from Tether, SoftBank, and Bitfinex. Following the merger news, Cantor Equity Partners’ stock jumped from $10.65 to $59.73 on May 2, before falling back to $29.84. According to Google Finance, after the latest Bitcoin purchase was made public, the stock rose again by 5.2% in after-hours trading. The post Tether Fuels Twenty One Capital Bitcoin Push with $458.7M Bet appeared first on TheCoinrise.com .

Source: The Coin Rise