Tether Investments has proposed a three-way merger that would combine Twenty-One Capital, Strike and Elektron Energy into what it calls “the premier listed Bitcoin company in the world,” creating a single public vehicle that would span Bitcoin treasury management, consumer finance, and mining.
What’s in the deal
- Twenty-One Capital would contribute its large Bitcoin treasury operations. The firm ranks second among public companies for BTC holdings, with more than $3.3 billion in Bitcoin on its balance sheet.
- Strike, founded by Jack Mallers (also described in the announcement as CEO of Twenty-One Capital), would bring its global payments and consumer Bitcoin stack. Strike operates in over 100 countries and supports buying, selling, holding, transacting and borrowing against Bitcoin. Mallers said this week Strike has secured a $2.1 billion credit facility to meet lending demand.
- Elektron Energy would add mining capacity and infrastructure. Led by Raphael Zagury—who Tether Investments recommends as president of the combined company—Elektron says it has mined more than 5,500 BTC across its managed portfolio and runs all-in production costs under $60,000 per Bitcoin.
Leadership and strategy
Tether Investments framed the leadership plan as a blend of Mallers’ consumer-product and brand experience with Zagury’s capital-markets and operational expertise, aiming to unify treasury, product, and mining capabilities under one public company.
Market reaction and context
Investors reacted positively: Twenty-One (XXI) shares rose in after-hours trading following the announcement, though much of the move was later pared; the stock has been quoted around $8.06, roughly 3% above Wednesday’s close. Mallers told Bitcoin Magazine at the Bitcoin 2026 conference, “Simply put, I think it's a great idea.”
This proposed combination follows Twenty-One’s recent listing via a SPAC deal with Cantor Equity Partners in December, a transaction notably backed by Tether. Twenty-One issued a late-Wednesday press release acknowledging plans to potentially acquire Strike and Elektron Energy as part of the broader proposal.
If completed, the merger would consolidate a significant swath of Bitcoin industry functions—treasury holdings, consumer-facing finance and lending, and mining operations—into one publicly traded company, signaling continued consolidation and vertical integration in the institutional crypto ecosystem.
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