Brandon Lutnick, the son of Cantor Fitzgerald’s chair, is partnering with SoftBank, Tether, and Bitfinex to launch a $3 billion Bitcoin acquisition company, as per the report by the Financial Times on April 23.
According to the report, the venture aims to create a publicly listed firm that can capitalize on the growing crypto market under US President Donald Trump’s administration, mirroring the success of Michael Saylor’s company, Strategy.
The new firm, named 21 Capital, has already secured $200 million in funding from Cantor Equity Partners. In addition, Tether is contributing $1.5 billion in Bitcoin, SoftBank will add $900 million, and Bitfinex is investing $600 million. The plan includes raising another $350 million through convertible bonds and $200 million via private equity to buy more Bitcoin.
As part of the deal, Tether, SoftBank, and Bitfinex’s Bitcoin investments will be converted into shares of 21 Capital. The Bitcoin’s value will be locked at $85,000 per coin, while shares will be priced at $10 each. However, the deal is still in progress, and some details may change.
Cantor Fitzgerald has been active in the crypto space for several years. It has been operating Tether’s Treasury since 2021 and directly owns 5% of the stablecoin issuer. It also entered the Bitcoin financing with a $2 billion fund to facilitate institutions to finance against their digital assets.
This has brought a new advancement between the modern financial system and the blockchain.
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