Key Takeaways
- • Tether Investments announced a three-way merger proposal involving Twenty One Capital, Strike (a Bitcoin financial services platform), and Elektron Energy (a major Bitcoin mining operator), with the combined entity positioned as "the premier listed Bitcoin company in the world."
- • Strike, founded by Jack Mallers (CEO of Twenty One Capital), contributes a profitable financial services platform operational in 100+ countries; Elektron Energy, led by Raphael Zagury, manages approximately 50 EH/s (roughly 5% of the Bitcoin network) with all-in production costs below $60,000 per Bitcoin.
- • Twenty One Capital shares surged 8% in after-hours trading following the merger announcement on April 29, 2026; the company went public in December 2025 through a SPAC merger with Cantor Equity Partners and currently holds approximately 43,500 BTC.
- • The combined entity would integrate Bitcoin treasury management, large-scale mining operations, and global financial services infrastructure under a single publicly traded vehicle, with Zagury proposed as President of the combined entity.
- • No transaction terms or timelines were disclosed; the merger requires shareholder approval and completion of regulatory conditions.
Summary
Tether Investments, the independent investment arm of stablecoin issuer Tether, announced on April 29, 2026, a series of proposed merger transactions designed to expand Twenty One Capital's scope beyond a pure Bitcoin treasury vehicle. The announcement outlined a three-way combination involving Twenty One Capital, Strike (a global Bitcoin financial services company), and Elektron Energy, a major private Bitcoin mining platform. Tether Investments, which holds majority control of Twenty One Capital, stated its intention to vote in favor of the proposed transactions.
Strike brings a profitable financial services platform with global reach, operating in more than 100 countries and enabling individuals and businesses to buy, sell, hold, transact, and borrow against Bitcoin. The platform was founded by Jack Mallers, who serves as CEO of Twenty One Capital and is a significant shareholder in the combined entity. Elektron Energy, led by operator Raphael Zagury, manages approximately 50 exahashes per second (EH/s) of computing power, representing roughly 5% of the current Bitcoin network's total hash rate. Elektron operates as a profitable, cash-flow-positive mining platform with all-in production costs reportedly below $60,000 per Bitcoin.
If consummated, the merger would create a vertically integrated Bitcoin company combining treasury accumulation, mining operations, and financial services distribution. According to Tether's statement, the combined entity would leverage a strong balance sheet, profitable operating businesses, and financial services infrastructure to accelerate Bitcoin adoption globally. The proposal positions Zagury as President of the combined entity, pairing mining and capital markets expertise with Mallers' consumer-facing product leadership.
Twenty One Capital entered public markets in December 2025 through a SPAC merger with Cantor Equity Partners, initially launching with over 43,500 BTC and additional capital raises totaling $585 million. The company is majority-owned by Tether and Bitfinex, with significant minority ownership held by SoftBank Group. Market reaction to the merger proposal was positive, with Twenty One Capital shares rising approximately 8% in after-hours trading following the announcement. No specific terms, valuation details, or completion timelines were disclosed in connection with the proposed transactions.
Strike brings a profitable financial services platform with global reach, operating in more than 100 countries and enabling individuals and businesses to buy, sell, hold, transact, and borrow against Bitcoin. The platform was founded by Jack Mallers, who serves as CEO of Twenty One Capital and is a significant shareholder in the combined entity. Elektron Energy, led by operator Raphael Zagury, manages approximately 50 exahashes per second (EH/s) of computing power, representing roughly 5% of the current Bitcoin network's total hash rate. Elektron operates as a profitable, cash-flow-positive mining platform with all-in production costs reportedly below $60,000 per Bitcoin.
If consummated, the merger would create a vertically integrated Bitcoin company combining treasury accumulation, mining operations, and financial services distribution. According to Tether's statement, the combined entity would leverage a strong balance sheet, profitable operating businesses, and financial services infrastructure to accelerate Bitcoin adoption globally. The proposal positions Zagury as President of the combined entity, pairing mining and capital markets expertise with Mallers' consumer-facing product leadership.
Twenty One Capital entered public markets in December 2025 through a SPAC merger with Cantor Equity Partners, initially launching with over 43,500 BTC and additional capital raises totaling $585 million. The company is majority-owned by Tether and Bitfinex, with significant minority ownership held by SoftBank Group. Market reaction to the merger proposal was positive, with Twenty One Capital shares rising approximately 8% in after-hours trading following the announcement. No specific terms, valuation details, or completion timelines were disclosed in connection with the proposed transactions.
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