A new era in institutional Bitcoin investment and regulatory dialogue appears to be taking shape. As the US Securities and Exchange Commission welcomes Paul Atkins as its new chair, earning endorsements from key industry leaders including Michael Saylor, a major new player has entered the market.
Twenty One Capital, a Bitcoin treasury firm launched by Strike founder Jack Mallers with $3.9 billion in BTC backing, aims to offer capital-efficient exposure to Bitcoin and challenge the dominance of Strategy, formerly known as MicroStrategy.
Jack Mallers’ Twenty One Capital Takes Aim at Strategy With Bold Bitcoin Treasury Play Backed by Tether, SoftBank, and Cantor
Strike founder Jack Mallers has unveiled Twenty One Capital, a new Bitcoin treasury firm that aspires to challenge Michael Saylor’s Strategy as the dominant corporate holder of Bitcoin. Backed by crypto heavyweights Tether and Bitfinex, Wall Street powerhouse Cantor Fitzgerald, and Japanese investment giant SoftBank, the company is launching with a staggering 42,000 BTC.
With plans to go public on the Nasdaq under the ticker XXI, Twenty One is positioning itself as the "superior vehicle for investors seeking capital-efficient Bitcoin exposure" — a direct challenge to Saylor's Strategy, which has long dominated headlines with its Bitcoin accumulation strategy.
According to an April 23 investor presentation submitted to the US Securities and Exchange Commission (SEC), Twenty One Capital plans to secure its public listing via a blank-check merger with Cantor Equity Partners (CEP). CEP shares surged 54.2% to $16.50 following the announcement, and gained an additional 25.1% in after-hours trading, as investors responded enthusiastically to the potential impact of the merger and the $585 million equity and bond financing plan.
Mallers, speaking with characteristic fervor, outlined his bold mission for the new firm:
"Our mission is simple: to become the most successful company in Bitcoin, the most valuable financial opportunity of our time. We’re not here to beat the market, we’re here to build a new one."
Twenty One's Bitcoin launch stack is comprised of 23,950 BTC from Tether, 10,500 BTC from SoftBank, and 7,000 BTC from Bitfinex, all of which will be converted into equity at $10 per share. Upon completion of its financing and listing, the firm would immediately become the third-largest corporate Bitcoin holder, trailing only Strategy (534,741 BTC) and MARA Holdings (47,600 BTC), according to data from BitcoinTreasuries.NET.
Some of the largest corporate Bitcoin holders (Source: BitcoinTreasuries)
In an unusual but deliberate move, Twenty One's pitch to investors took direct aim at Michael Saylor’s Strategy. The firm’s presentation asserted that while Strategy has become synonymous with long-term Bitcoin accumulation, its sheer scale limits its ability to create additional shareholder value through further purchases. According to the document, the marginal impact on Bitcoin Per Share (BPS) decreases as Strategy requires exponentially larger buys to move the needle.
Twenty One, by contrast, is branding itself as a “pure play” Bitcoin exposure vehicle — offering not only agility in capital deployment but also native Bitcoin operations and strategic flexibility. With its mix of heavyweight backers and a clean slate approach, the firm promises a more dynamic and scalable model for investors seeking BTC exposure.
Beyond Bitcoin Stacking
While many treasury plays focus solely on Bitcoin accumulation, Mallers’ vision is far more expansive. Twenty One Capital intends to build a multi-pronged Bitcoin-native financial ecosystem, which includes:
Debt and equity products tied to Bitcoin
A lending and advisory service tailored for institutional clients
An educational platform to foster retail and institutional Bitcoin literacy
Industry events and conferences to deepen its cultural and strategic footprint
Tether will become the majority shareholder, further cementing its strategic influence beyond stablecoins and into the broader Bitcoin economy. Cantor Fitzgerald, which manages the US Treasury reserve holdings that back USDT and owns a 5% stake in Tether, is deepening its ties with the crypto ecosystem. Meanwhile, SoftBank, which has a track record of bold tech bets, will hold a significant minority stake, signaling confidence from traditional finance in the long-term institutionalization of Bitcoin.
This venture comes amid a broader wave of institutional Bitcoin optimism, driven by ETF inflows, geopolitical instability, and the weakening credibility of fiat currencies among investors worldwide.
The Market Reaction and What’s Next
The explosive price rally in Cantor Equity Partners’ stock suggests investor excitement over the bold strategy. With Twenty One's IPO on the horizon and its $585 million capital raise underway, markets will closely watch how quickly it can finalize the merger and start trading under the XXI ticker.
In many ways, this is more than a new company launch—it’s a declaration of a new phase in Bitcoin’s institutional adoption. And at its center is Jack Mallers, one of the space’s most outspoken and passionate Bitcoiners, with a war chest and vision to match.
If Twenty One Capital’s promise holds true, Michael Saylor might soon have company — or competition — at the top.
Michael Saylor and Crypto Leaders Rally Behind New SEC Chair Paul Atkins Amid Calls for Reform and Transparency
Meanwhile, Saylor, the outspoken executive chairman of Strategy (formerly MicroStrategy) and the world’s top corporate Bitcoin holder, has thrown his weight behind newly appointed US SEC Chair Paul Atkins, expressing strong confidence in the agency’s future direction under his leadership.
In an April 23 post on X, Saylor wrote, “SEC Chairman Paul Atkins will be good for Bitcoin,” in a clear endorsement that underscores growing optimism across the crypto industry. Atkins was officially sworn in as the 34th SEC chairman on April 21, having been appointed by President Donald Trump in late 2024.
Saylor is not alone in his sentiment. Blue Macellari, head of digital assets at T. Rowe Price, echoed the optimism during an interview with Bloomberg, noting the SEC’s evolving posture under the new administration. She highlighted a notable shift in attitude, emphasizing the agency’s efforts to engage directly with the crypto community.
This openness marks a stark contrast to the contentious regulatory environment under former SEC Chair Gary Gensler, whose tenure was marred by lawsuits, enforcement actions, and accusations of regulatory overreach.
Vincent Liu, chief investment officer at Kronos Research, expressed particular enthusiasm about Atkins’ potential to deliver long-awaited regulatory clarity.
A New Direction — Or a Conflict of Interest?
Despite widespread praise from the crypto and investment community, Atkins’ appointment hasn’t been without controversy.
Massachusetts Senator Elizabeth Warren, a vocal critic of the crypto industry, was quick to express concern during Atkins’ Senate confirmation hearings. She accused him of having shown “staggeringly bad judgment” during his previous tenure as an SEC commissioner from 2002 to 2008, which encompassed the buildup to the 2008 global financial crisis.
Warren also cited potential conflicts of interest due to Atkins’ former role at Patomak Global Partners, a consulting firm that advised FTX, the now-defunct crypto exchange that collapsed in 2022 under allegations of massive fraud.
Atkins disclosed a $327 million personal and family financial portfolio in a public ethics filing, raising additional eyebrows about potential conflicts. These concerns were mirrored in other corners of the administration, including Trump’s newly appointed AI and crypto czar David Sacks, whose VC firm reportedly sold over $200 million in crypto and related stocks before his appointment.
In response to concerns over regulatory impartiality, Vincent Liu emphasized the need for robust ethics oversight and mandatory disclosures of past industry ties.
“To maintain public trust and avoid even the perception of regulatory conflict of interest, it’s essential to implement clear guardrails,” Liu said. This includes transparent public comment periods for all crypto-related rules and full ethics disclosures.
What Does Atkins Mean for Crypto?
Crypto insiders say Atkins' track record and regulatory philosophy may be better aligned with innovation than previous administrations. Bitwise Asset Management’s general counsel Katherine Dowling called him a “great choice” in December, while Ripple Labs CEO Brad Garlinghouse stated Atkins would “bring common sense back to the agency.”
With the SEC’s stance on digital assets likely to shape the future of the trillion-dollar crypto industry, Atkins’ leadership will be critical in defining what regulatory clarity and innovation-friendly oversight actually look like in practice.
Already, insiders expect Atkins to accelerate progress on:
Finalizing crypto custody rules
Clarifying the security vs. commodity status of key digital assets
Improving dialogue between regulators and industry stakeholders
Enabling regulated crypto financial products for institutions and retail investors alike
The next few months will test Atkins' ability to win the trust of both the public and the fiercely independent crypto community.
For Michael Saylor and others at the forefront of corporate Bitcoin adoption, the stakes are higher than ever. Strategy now holds over 534,741 BTC, and regulatory clarity could significantly influence the company’s future capital deployment strategy and shareholder value.
