Cantor Fitzgerald, Tether, and SoftBank have teamed up to form a $3 billion Bitcoin investment fund managed through 21 Capital, which aims to buy Bitcoin at a defined price. The announcement has prompted enormous interest across crypto markets and social media.
Cantor Fitzgerald, led by Brandon Lutnick, the son of U.S. Commerce Secretary Wilbur Ross, is pioneering a $3 billion Bitcoin company. The business oversees Tether’s treasury portfolio and holds a 5% stake in the stablecoin issuer. Tether will give $1.5 billion in Bitcoin, SoftBank $900 million, and Bitfinex $600 million.
Meanwhile, Cantor Equity Partners secured $200 million in January to finance the project. The group also plans to raise an additional $550 million through convertible bonds and private equity. Copper and Anchorage Digital will handle custody and collateral management for the fund.
21 Capital: Capital Allocation and Investment Plan
21 Capital begins with $3 billion in Bitcoin, split among the three companies. Moreover, each partner’s Bitcoin is turned into equity at $10 per share, valuing BTC at $85,000. The fund will seek an additional $550 million, raising $350 million via convertible bonds and $200 million through private equity. Copper and Anchorage Digital manage custody and collateral for enhanced security. This structure mirrors MicroStrategy’s methodology but with a larger institutional reach.
21 Capital is designed to replicate the playbook of Strategy (previously MicroStrategy), which controls over 531,000 BTC, presently valued at over $45 billion. 21 Capital’s backers are contributing Bitcoin directly, exhibiting significant conviction in BTC as a core asset. This method enables 21 Capital to become one of the largest institutional holders soon, to attract additional traditional investors as regulatory views in the U.S. shift positively.
Former President Trump’s recent pro-Bitcoin stance has further encouraged institutional involvement. With Bitcoin price trading near all-time highs, the fund’s timing aligns with renewed market momentum and increased need for secure, large-scale crypto exposure.
Upcoming Developments and Market Outlook
The official launch of the 21 Capital project is expected soon, though details may yet vary before the public announcement. Cantor Fitzgerald is actively pursuing future crypto acquisitions through this and other special purpose acquisition companies (SPACs).
Industry experts emphasize that this fund will be a big boost to institutional Bitcoin demand, potentially driving prices higher. The move also reflects rising confidence due to favorable U.S. regulatory signals and renewed interest from major investors. This project could establish a new strategy for large-scale crypto investment techniques.
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