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BTC $96,420 +2.34% ETH $3,280 +1.82% SOL $185.40 -0.92% BNB $642.50 +0.45% XRP $2.18 +3.12% DOGE $0.082 -1.50% ADA $1.05 +0.80% AVAX $42.10 +1.15%
04/23/2025

SoftBank and Tether Team Up for $3B Bitcoin Investment, Led by U.S. Commerce Secretary's Son

As the Trump administration signals a more crypto-friendly regulatory stance, Cantor Fitzgerald — one of America's most established financial firms — is joining forces with SoftBank, Tether, and Bitfinex to launch a $3 billion Bitcoin investment venture, aiming to replicate the success of MicroStrategy. The project is led by Brandon Lutnick, the newly appointed Chairman of Cantor Fitzgerald and son of current U.S. Commerce Secretary Howard Lutnick. According to the Financial Times, the venture will be structure

SoftBank and Tether Team Up for $3B Bitcoin Investment, Led by U.S. Commerce Secretary's Son

As the Trump administration signals a more crypto-friendly regulatory stance, Cantor Fitzgerald — one of America's most established financial firms — is joining forces with SoftBank, Tether, and Bitfinex to launch a $3 billion Bitcoin investment venture, aiming to replicate the success of MicroStrategy.

The project is led by Brandon Lutnick, the newly appointed Chairman of Cantor Fitzgerald and son of current U.S. Commerce Secretary Howard Lutnick. According to the Financial Times, the venture will be structured through a SPAC called Cantor Equity Partners, which raised $200 million earlier this year. The goal is to establish a publicly listed company called 21 Capital, dedicated to Bitcoin investment.

The investment structure breaks down as follows:

  • Tether: $1.5 billion in BTC
  • SoftBank: $900 million in BTC
  • Bitfinex: $600 million in BTC
  • Additional fundraising: $350 million in convertible bonds & $200 million in private placement

BTC will be valued at $85,000 and converted into 21 Capital shares at $10 per share.

Replicating the MicroStrategy Playbook

MicroStrategy — now rebranded as "Strategy" — has become the gold standard for corporate Bitcoin investing, holding over 538,000 BTC as of April 2025. 21 Capital hopes to follow the same path, combining SPAC capital with Bitcoin's institutional appeal to attract large-scale investors.

Cantor and Tether's Deep-Rooted Relationship

Cantor Fitzgerald has long served as the custodian for hundreds of billions of dollars in Tether's assets — primarily U.S. Treasuries. Sources indicate Cantor currently holds roughly a 5% stake in Tether, at one point valued at up to $600 million.

Cantor has also facilitated Tether's $775 million investment in conservative video platform Rumble — a move that has drawn scrutiny over the intersection of crypto, media, and politics.

SoftBank's Return to Crypto

SoftBank took heavy losses on its Bitcoin investment in 2018 and its bet on FTX in 2022, but is now re-entering the market with a more disciplined approach. Investing through a SPAC structure and partnering with established crypto names like Tether signals that SoftBank is playing it more cautiously and institutionally this time around.

Long-Term Implications

If this deal succeeds, it would be a strong signal that institutional capital is flowing back into Bitcoin. It could also set a precedent for other traditional financial institutions to enter the digital asset space in a more legitimate, regulated, and structured manner.