Since April, Tether and institutional partners have lined up $680 million in Bitcoin to back a bold corporate move. Twenty One Capital, based in Austin, plans to close its business merger and hit the public markets soon. At that point, it expects to hold over 43,500 Bitcoin, making it the third-largest corporate holder of Bitcoin in the world.
Tether alone will be contributing 5,800 BTC at closing. Twenty One purchased its full treasury at an average rate of $87,280.37 per bitcoin. The holdings will be the foundation of the capital structure of the company. This strategy provides investors with a direct connectivity to BTC via equity shares.
Each share of Twenty One will reflect ownership of approximately 12,559 satoshis. The company will also introduce a new metric called Bitcoin Per Share (BPS). This will give investors a clear view of how much BTC backs each fully diluted share.
Bitcoin reserves fully transparent and verifiable
It seeks to substitute classical models of earnings and report values in BTC terms. The structure of the company differs. It evades legacy expenses and restricts dilution risk. It exists completely within the BTC ecosystem. Its capital efficiency and sole BTC exposure are long-term.
At listing, Twenty One will trade under the symbol “XXI.” Majority ownership will remain with Tether and Bitfinex, while SoftBank and PIPE investors hold minority shares. Public investors from Cantor Equity Partners, the SPAC partner in this deal, will also own part of the company.
All Bitcoin holdings are to be kept on-chain. Custodial methods consist of complete transparency with real-time reserve proof. All users are able to verify all funds in real-time through mempool explorer here: xxi.mempool.space. The 5,800 Bitcoin from Tether has two previous agreements.
Tether backs Bitcoin firm with major coin deals
It contributed 1,381 coins during June, and a separate one covered 4,422 coins by virtue of former terms. The deals are in line with Tether being a long-term Bitcoin-based financial supporter. Twenty-One filed its initial S-4 registration with the SEC and awaits approval.
Upon closing, the company will be a Bitcoin-native company with a sole concentration on digital asset exposure. It won’t have any unrelated lines of business, providing it with a singular concentration within public markets.
With deep-pocketed partners and a large Bitcoin reserve, Twenty One is taking shape as a new type of public company. Constructed on-chain, proved in real time, and compatible with Bitcoin’s future, it lays foundations for a new financial model.
