The shares of Twenty One Capital (XXI), a firm focused on Bitcoin investments, experienced an increase of over 8% in after-hours trading following a merger proposal from its majority shareholder, Tether Investments. This proposal aims to merge XXI with Strike, a global Bitcoin financial services provider, and Elektron Energy, a company specializing in Bitcoin mining.
Tether Investments, the investment division of the stablecoin issuer, announced its intention to support the merger, which would integrate Bitcoin treasury, mining, and financial services into a single entity. Jack Mallers, the CEO of XXI and co-founder of Strike, is poised to play a significant role in this consolidation.
“If completed, these transactions would position XXI to become the premier listed Bitcoin company in the world: a public company that combines Bitcoin treasury, mining, financial services, lending, capital markets, and strategic consolidation into one integrated platform,” Tether stated in its press release.
Details regarding the timeline and specific terms of the merger have not been disclosed. Elektron Energy, led by Raphael Zagury, currently manages around 5% of the Bitcoin network’s computing power, with production costs averaging below $60,000 per Bitcoin.
In addition to the merger, Tether has proposed that Zagury take on the role of President in the new entity, leveraging his expertise in mining and capital markets alongside Mallers’ experience in Bitcoin products and consumer engagement.
Twenty One Capital went public in December 2025 through a merger with Cantor Equity Partners, entering the market as a Bitcoin treasury firm with a substantial holding of 43,514 BTC. The company, supported by Tether, Bitfinex, and Mallers, initially focused on capital-efficient Bitcoin accumulation.
The anticipated merger would expand XXI’s operations beyond mere treasury holdings, integrating various Bitcoin services and creating recurring revenue opportunities. Tether emphasized that this strategic move would enhance XXI’s capabilities in long-term Bitcoin accumulation.
Tether Investments has proposed a merger involving Twenty One Capital, Strike, and Elektron Energy, aiming to create a comprehensive Bitcoin services platform. This move could significantly enhance XXI's operations beyond treasury holdings, integrating various financial services and mining capabilities.