Cantor Fitzgerald has launched a new crypto-focused venture in collaboration with Tether and Japan’s SoftBank Group.
The initiative, announced on April 23, 2025 merges Cantor Equity Partners with the newly established Twenty One Capital.
The combined entity is valued at US$3.6 billion, based on a bitcoin price of approximately US$85,000.
It will start with over 42,000 bitcoins, making it the third-largest bitcoin treasury in the world, according to Twenty One Capital.
🔗 Source: Reuters
🧠 Food for thought
1️⃣ Corporate bitcoin treasuries becoming strategic financial tools
The Twenty One Capital venture represents an acceleration of the corporate bitcoin treasury trend that began with MicroStrategy.
MicroStrategy remains the largest corporate bitcoin holder with over 531,644 BTC valued at approximately $45 billion, followed by Marathon Digital Holdings with 47,531 BTC and Riot Platforms with 19,223 BTC 1.
This new venture’s planned 42,000 bitcoin holding would immediately position it as the world’s third-largest corporate bitcoin treasury, demonstrating how quickly major institutional players can reshape the competitive landscape.
The strategic timing aligns with broader institutional acceptance, as public companies increasingly view bitcoin as a legitimate asset class for balance sheet diversification rather than simply a speculative investment.
Companies holding significant bitcoin positions are positioning these holdings as inflation hedges and alternatives to traditional cash reserves, reflecting a fundamental shift in corporate treasury management philosophy.
2️⃣ Trump administration’s crypto policies driving institutional confidence
The announcement references Trump’s pro-crypto stance as a key factor in the venture’s timing and strategy.
Trump has signed executive orders establishing a cryptocurrency working group to develop regulatory frameworks, signaling government interest in digital assets 2.
This shift represents a departure from previous regulatory approaches, with the SEC pausing high-profile enforcement actions and transitioning toward providing clarity rather than restrictions 3.
Key appointments within regulatory agencies like the SEC and CFTC suggest a prioritization of innovation alongside investor protection, creating what industry participants view as a more balanced regulatory environment.
The venture’s substantial investment ($3.6 billion) demonstrates how policy signals from Washington are influencing capital allocation decisions, with institutional investors responding to the prospect of reduced regulatory uncertainty.
3️⃣ Traditional financial institutions accelerating crypto market integration
Cantor Fitzgerald’s entry marks another milestone in traditional finance’s embrace of cryptocurrency, with the 78-year-old Wall Street firm bringing institutional credibility to the sector.
As one of the 25 primary dealers authorized to transact with the Federal Reserve Bank of New York, Cantor’s participation represents the continued bridging of traditional and digital finance systems 4.
The partnership structure demonstrates how institutional entry often occurs through strategic alliances, combining Cantor’s financial expertise, Tether’s crypto infrastructure, and SoftBank’s technology investment experience to create a more robust venture.
This pattern follows earlier institutional adoptions, including JPMorgan and Fidelity exploring blockchain services, indicating the financial sector’s growing acceptance of cryptocurrency despite its volatility 5.
The financial structure, using a blank-check vehicle merging into a new entity, showcases how Wall Street is applying traditional capital market mechanisms to facilitate cryptocurrency investment at institutional scale