Investment Announcement: Tether and SoftBank back $3 billion Cantor digital assets special purpose acquisition company
Cantor Fitzgerald-Led SPAC Partners with Bitcoin Treasury Company for Public Listing
Cantor Equity Partners 1 (CEP), a Special Purpose Acquisition Company (SPAC) sponsored by Cantor Fitzgerald LP, has entered into a strategic partnership with Twenty One Capital, a Bitcoin treasury company. The goal is to take Twenty One Capital public through a merger with CEP.
Twenty One Capital, which will be majority-owned by Tether and Bitfinex, and with SoftBank holding a significant minority stake, currently holds over 43,500 BTC, valued at around $5.1 billion. Tether, a stablecoin pioneer, and Bitfinex, a major crypto exchange, bring credibility and substantial Bitcoin treasury assets to the table, while SoftBank adds substantial venture capital backing.
The partnership allows Twenty One Capital to leverage its Bitcoin holdings for innovative financial products such as crypto loans denominated in dollars but secured by Bitcoin collateral. The listing via the SPAC merger provides transparency and public market access, affirming a long-term treasury strategy of holding Bitcoin and developing financial infrastructure linked to digital assets.
For Cantor Equity Partners 1, the partnership converts the SPAC into a publicly traded Bitcoin treasury company under the ticker “XXI” upon closing. It also secures major institutional backing and Bitcoin assets from Tether, Bitfinex, and SoftBank, increasing investor confidence and market relevance.
The partnership positions CEP as a leader in crypto asset investment and innovation, facilitating the expansion of Bitcoin-based financial products and services supported by experienced crypto and finance partners.
In the wake of the Terra stablecoin collapse that impacted several major centralized lenders, this strategic move by Cantor Fitzgerald LP underscores the growing interest in the crypto sector and the potential for Bitcoin-focused businesses to thrive in the public market.
[1] CoinDesk. (2022, July 12). Cantor Fitzgerald Launches $200 Million SPAC for Crypto Sector. Retrieved from https://www.coindesk.com/business/2022/07/12/cantor-fitzgerald-launches-200-million-spac-for-crypto-sector/
[2] Business Wire. (2022, July 12). Cantor Equity Partners 1, Inc. Announces Merger Agreement with Twenty One Capital, Inc. Retrieved from https://www.businesswire.com/news/home/20220712005731/en/Cantor-Equity-Partners-1-Inc.-Announces-Merger-Agreement-with-Twenty-One-Capital-Inc.
[3] Yahoo Finance. (2022, July 12). Cantor Equity Partners 1 Announces Merger Agreement with Twenty One Capital. Retrieved from https://finance.yahoo.com/news/cantor-equity-partners-1-announces-merger-203300213.html
[4] The Block. (2022, July 12). Cantor Fitzgerald SPAC to merge with Bitcoin treasury company Twenty One Capital. Retrieved from https://www.theblockcrypto.com/linked/111459/cantor-fitzgerald-spac-to-merge-with-bitcoin-treasury-company-twenty-one-capital
[5] Decrypt. (2022, July 12). Cantor Fitzgerald SPAC Merges with Bitcoin Treasury Company Twenty One Capital. Retrieved from https://decrypt.co/95171/cantor-fitzgerald-spac-merges-with-bitcoin-treasury-company-twenty-one-capital
- The strategic partnership between Cantor Equity Partners 1 and Twenty One Capital, which involves insights into the Bitcoin treasury sector, will facilitate the development of financial products and services, boosting the transparency and credibility of the crypto market.
- The analysis of the crypto market presented by the partnership between Cantor Equity Partners 1 and Bitcoin treasury company Twenty One Capital, along with the substantial capital from Tether, Bitfinex, and SoftBank, will be instrumental in driving innovation and investor confidence within the field of investing in technology.
- The public listing of Twenty One Capital, a Bitcoin treasury company with significant assets, supported by the merger with Cantor Equity Partners 1 and the backing of major institutional investors, is an illustration of the growing attention being paid to the potential for advancements in finance through the capitalization on Bitcoin and other digital assets.
