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Shares in the Bitcoin-buying company Twenty One Capital climbed in after-hours trading on Wednesday after its majority shareholder, Tether, proposed a three-way merger with two other crypto companies.<\/p>\n
Tether said<\/a> Wednesday that it intends to vote in favor of a proposed merger between Twenty One Capital and Bitcoin payments company Strike, followed by a proposed merger of the combined company with Bitcoin mining firm Elektron Energy.<\/p>\n Tether added that if the mergers go through, \u201cStrike would be contributing a profitable financial services platform, global distribution and regulatory infrastructure and Elektron would be adding large-scale Bitcoin mining infrastructure, operational depth and proven execution capabilities.\u201d<\/p>\n Shares in Twenty One Capital (XXI) ended trading on Wednesday down 1.7% at $7.83, but jumped to a high of $9.28 after hours before settling at $8.35 for a gain of 6.6% after the bell.<\/p>\n Shares in Twenty One Capital on Wednesday surged after hours. Source: <\/em>Google Finance<\/em><\/a><\/p>\n The company has the second-largest Bitcoin holdings among public companies and its share price has slid over 10.5% so far this year alongside Bitcoin\u2019s decline.<\/p>\n Tether did not share the terms of the mergers or a timeline for their completion, but proposed that Elektron founder and CEO Raphael Zagury serve as president of the new company.<\/p>\n It added that Jack Mallers, the founder and CEO of Strike and co-founder and CEO of Twenty One Capital, would also serve in an executive role.<\/p>\n \u201cThe proposed leadership structure is intended to combine Mallers\u2019 product, brand, and consumer Bitcoin leadership with Zagury\u2019s capital markets, operating, and execution experience,\u201d Tether said.<\/p>\n Related: <\/strong><\/em>Tether launches open-source mining framework to unify Bitcoin infrastructure<\/strong><\/em><\/a><\/p>\n Twenty One Capital went public in December through a merger with Cantor Equity Partners and came to market with holdings of 43,500 Bitcoin and an aim of increasing its Bitcoin per share.<\/p>\n Tether said if the mergers are successful, Twenty One would move \u201cbeyond treasury exposure alone and toward a platform with operating businesses, recurring revenue opportunities, and long-term Bitcoin accumulation capabilities.\u201d<\/p>\n Twenty One Capital currently holds 43,514 Bitcoin and is behind only Strategy, Inc. in terms of public company Bitcoin holdings, which holds 818,334 Bitcoin.<\/p>\n Magazine: <\/strong><\/em>Adam Back says current demand is \u2018almost\u2019 enough to send Bitcoin to $1M<\/strong><\/em><\/a><\/p>\n<\/div>\n