Stablecoin leader Tether, alongside the Bitfinex trading platform, has shifted a significant amount of Bitcoin, totaling 25,812 BTC or approximately $2.7 billion, to a fresh wallet, as announced by Tether’s CEO Paolo Ardoino. This move on Monday is aimed at bolstering their investment in the Bitcoin treasury company, Twenty One Capital. Ardoino detailed on X (formerly Twitter) that this transfer forms a crucial part of the “pre-funding for the initial convert/equity raise in Twenty One Capital.”
Twenty One Capital, steered by Strike’s CEO Jack Mallers, enjoys the backing of influential entities such as Bitfinex, SoftBank, and Cantor Fitzgerald. Tether initially shifted 4,812.22 BTC to a Twenty One Capital address, subsequently augmenting it with an additional 14,000 BTC. Bitfinex paralleled this investment by relocating 7,000 BTC. These transactions underscore the close financial ties and shared objectives between the companies.
Over a month prior to this transaction, Twenty One Capital and Cantor Fitzgerald disclosed their plan to raise an extra $585 million in capital upon closing. Inspired by Michael Saylor’s strategy of leveraging corporate debt for Bitcoin purchases, Twenty One aims to accumulate up to 42,000 BTC. This ambition would place it among the top corporate Bitcoin holders globally. Mallers has committed to demonstrating proof-of-reserves to ensure transparency regarding the company’s Bitcoin holdings.
He emphasized the shift of Bitcoin’s reception from Wall Street’s corridors to a more mainstream acceptance, marking a significant milestone for the cryptocurrency sector. Twenty One Capital plans to disclose several addresses in the coming week to prove its Bitcoin reserves, highlighting the company’s dedication to transparency and trust in the cryptocurrency ecosystem.
Additionally, Mallers announced that Twenty One Capital intends to sell $100 million in new convertible notes, with the proceeds aimed at expanding its Bitcoin portfolio. This move precedes the company’s public debut through a merger with a special purpose acquisition company (SPAC), Cantor Equity Partners (CEP), which is expected to list on the Nasdaq under the ticker ‘XXI’.
“🚀 Tether & Bitfinex propel Bitcoin investment forward with a colossal $2.7 billion transfer to support Twenty One Capital’s growth. #Bitcoin #Cryptocurrency #InvestmentNews”
