Tether, the issuer of USDT and the dominant force in the global stablecoin market, is no longer operating in the shadows of Bitcoin’s ecosystem. On April 29, the company made two significant moves that underscore its growing ambition to become a central pillar of Bitcoin infrastructure.
In a high-profile keynote at the Bitcoin 2026 conference in Las Vegas, CEO Paolo Ardoino publicly confirmed that Tether now holds more than 140,000 Bitcoin and continues to accumulate aggressively.
Just hours later, Tether Investments unveiled a bold proposal for a three-way merger involving its publicly traded Bitcoin treasury vehicle, Twenty One Capital (NYSE: XXI), signaling a strategic shift from passive holder to active builder across mining, payments, and treasury operations.
These developments come at a pivotal moment for both Tether and Bitcoin. With USDT circulation hovering near or above $140 billion, Tether generates substantial profits from its reserves, primarily invested in U.S. Treasuries. A portion of those earnings—historically up to 15%—has been systematically directed into Bitcoin purchases, turning the stablecoin issuer into one of the largest private holders of the digital asset.
Ardoino’s disclosure elevates Tether’s position from a quiet accumulator to a transparent heavyweight in space.
Tether’s growing Bitcoin treasury
Ardoino made the announcement during his keynote at Bitcoin 2026, telling the audience that Tether controls “more than 130,000, 140,000 Bitcoin” and remains an active buyer as part of its long-term reserve strategy.
Public blockchain data from Arkham Intelligence currently attribute roughly 97,204 BTC to clearly labeled Tether wallets as of late April—including a confirmed addition of 951 BTC around April 15.
This gap between on-chain visibility and the CEO’s stated figure is not unusual for large institutions, which often use custodians, over-the-counter transactions, and diversified wallet structures.
Other than Bitcoin, Tether holds roughly $3.68 billion in USDT, 148,346 XAUT tokens (Tether Gold) worth roughly $676.55 million, and nearly $50 million in AUSDT—an over-collateralized by Tether Gold (XAUT).
With Bitcoin currently priced near $75,600, Tether’s disclosed holdings would exceed $10.5 billion.
Bold merger proposal for Twenty One Capital
Beyond the treasury update, Tether Investments proposed merging Twenty One Capital with Strike, Jack Mallers’ Bitcoin payments and financial services platform, and Elektron Energy, a miner controlling approximately 50 EH/s—roughly 5% of the global Bitcoin network hashrate.
Twenty One Capital debuted in December 2025 via SPAC with more than 40,000 BTC on its balance sheet, backed by Tether, SoftBank, and Cantor Fitzgerald. The proposed three-way combination aims to evolve the company into a fully integrated Bitcoin-native public entity that encompasses large-scale treasury holdings, low-cost mining operations (with all-in production costs reportedly below $60,000 per BTC), lending services, and global payments infrastructure spanning over 100 countries. Tether Investments confirmed it will vote its shares in favor of the deal.
Jack Mallers, serving as CEO of both Twenty One Capital and Strike, swiftly endorsed the plan. “Simply put, I think it’s a great idea,” he stated. Raphael Zagury, founder of Elektron Energy, is expected to step in as president of the merged company, combining operational expertise with Mallers’ product vision and brand reach.
Market reaction and strategic implications
The market responded positively to the news. Twenty One Capital shares climbed nearly 8% in after-hours trading on April 29, reflecting investor enthusiasm for a more robust and diversified Bitcoin infrastructure play.
The proposal highlights Tether’s evolution. Rather than relying solely on Bitcoin price appreciation, the company is building recurring revenue streams and operational depth.
With over 140,000 BTC on its books and a clear plan to consolidate key Bitcoin sectors under one public roof, Tether is positioning itself as a foundational player in the asset’s next phase of growth.
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