Twenty One Capital: Emerging Leader in Bitcoin Holdings Surpassing Tesla

Twenty One Capital: Emerging Leader in Bitcoin Holdings Surpassing Tesla

Twenty One Capital, with 37,230 BTC, is set to surpass Tesla and aims to build Bitcoin-centric financial products and an educational platform.

Key Takeaways

Twenty One Capital has amassed 37,230 BTC, outpacing Tesla's holdings, with plans to reach 42,000 BTC before going public.
The firm is backed by Tether, Bitfinex, and SoftBank, and will trade on Nasdaq under the ticker XXI after a SPAC merger.
Focused on Bitcoin-only investments, it aims to create financial products and educational resources related to Bitcoin.
The current leader in corporate Bitcoin holdings is Strategy, boasting 582,000 BTC, compared to Tesla's 11,509 BTC.

In the evolution of Bitcoin, it has transitioned from a niche currency used by tech enthusiasts to a prominent asset on corporate balance sheets. Major companies, including Tesla and SpaceX, have adopted Bitcoin as a reserve asset. However, one emerging investment firm, Twenty One Capital, is now outpacing Tesla with its substantial Bitcoin stash even before it goes public.

What is Twenty One Capital?

Founded in April 2025, Twenty One Capital is designed to be a Bitcoin-only investment firm. The company aims to operate as a Bitcoin treasury fund, providing its investors regulated exposure to BTC. Its primary objective is to expand its Bitcoin holdings over time. Once publicly traded, each share will correlate with a specific amount of Bitcoin, directly linking shareholder value to Bitcoin's performance.

The company is a collaboration between Tether, Bitfinex, and SoftBank. Tether and Bitfinex, operating as sister companies under iFinex, collectively hold a 58.8% stake, while SoftBank owns 24%. Leading the initiative is Jack Mallers, CEO of Strike, who defines Twenty One Capital as a "pure play Bitcoin business."

Recently, Bitfinex made headlines by withdrawing 7,000 BTC, valued at approximately $730 million, confirming it's for Twenty One Capital. In addition, Tether purchased 14,000 BTC, and SoftBank invested 10,500 BTC, contributing to Twenty One Capital’s substantial pre-launch funding.

Insight:

This collaborative approach underscores the growing trend of corporate partnerships in the crypto space, driven by the desire for regulated exposure and increased liquidity.

Twenty One Capital's Bitcoin Strategy

Upon launch, Twenty One Capital will offer shares representing equity in a public company that holds Bitcoin assets. This framework allows investors to engage with Bitcoin without the need to manage the digital asset directly. As of June 2025, the firm already possesses 37,230 BTC, significantly surpassing Tesla's holdings, and aims to increase this to 42,000 BTC prior to its public listing.

Looking longer-term, Twenty One Capital envisages developing Bitcoin-native financial products, including lending, borrowing, and advisory services. They also plan to launch an educational platform about Bitcoin, thus providing vital resources for both investors and the broader public.

The firm plans to go public through a merger with Cantor Fitzgerald’s Cantor Equity Partners, with the proposal presently pending approval from the SEC and shareholders. Once approved, shares will be traded on Nasdaq under the ticker XXI, a nod to Bitcoin's maximum coin supply of 21 million.

Context Note:

The use of SPAC mergers has become increasingly popular as a method for companies to go public, particularly in the tech and crypto sectors, providing a faster and often more efficient pathway to market.

Tesla's Bitcoin Journey

Twenty One Capital's current Bitcoin holdings eclipse Tesla's, but the electric vehicle titan once led the way. Tesla initially acquired about 43,200 BTC in February 2021, making headlines as the second-largest corporate Bitcoin buyer at that time. However, the company has since sold off a significant portion of its Bitcoin, primarily due to liquidity testing and environmental concerns regarding Bitcoin mining.

The company sold around 75% of its holdings by June 2022, leaving it with only 11,509 BTC as of June 2025. This represents a steep decline from its earlier position as a major player in corporate Bitcoin accumulation.

Who Holds the Most Bitcoin in 2025?

As of now, Strategy leads the corporate Bitcoin landscape, holding an impressive 592,345 BTC, which is valued at over $63 billion as of June 2025. The firm has transformed its approach toward Bitcoin since 2020, focusing primarily on it as a treasury asset.

Other Notable Corporate Bitcoin Holders:

MARA Holdings: 49,678 BTC
Twenty One Capital: 37,230 BTC (soon to be third largest)
Riot Platforms: 19,225 BTC
Galaxy Digital: 12,830 BTC
CleanSpark: 12,502 BTC
Tesla: 11,509 BTC
Hut 8: 10,273 BTC
Coinbase: 9,267 BTC

Insight:

As the landscape of corporate investment in Bitcoin evolves, understanding who holds the most BTC can provide insights into market trends and institutional confidence in cryptocurrency.

Risks of Holding Bitcoin in Corporate Treasury

Despite Bitcoin's potential for high returns, there are significant risks for companies holding substantial BTC reserves. Market fluctuations can severely impact balance sheets and investor sentiment. Matthew Sigel from VanEck has highlighted potential pitfalls, such as capital erosion if companies issue new shares close to their net asset value.

He advises corporations to consider share buybacks to bolster shareholder value during volatile times. As seen with Twenty One Capital, equity tied to Bitcoin can be susceptible to sharp downturns, thus emphasizing the need for strategic safeguards.

Conclusion

Twenty One Capital's ambitious approach to corporate Bitcoin investment sets it apart in a rapidly changing market. By focusing on Bitcoin-centric financial products and education, it aims to carve out a unique niche, although it must navigate the inherent risks of holding digital assets.