Twenty One Capital shares rise as Tether pushes merger with Strike, Elektron

Tether has proposed a multi-step plan for Twenty One Capital Inc. (NYSE: XXI) to merge with crypto trading platform Strike and bitcoin (BTC) miner Elektron Energy.

The proposal outlines a two-stage merger: an initial combination of XXI and Strike, followed by a merger with Elektron Energy. Tether Investments, the majority shareholder of Twenty One Capital, announced Wednesday that it intends to vote its shares in favor of the proposal. 

Twenty One Capital, a bitcoin-focused treasury venture, went public in December 2025 through a SPAC merger in New York. Its shares jumped 6.6% in after-hours trading on Wednesday following Tether's announcement, though the stock remains down 15.8% year-to-date.

Strike, founded by Jack Mallers, is a bitcoin financial services firm that allows investors to trade and borrow against bitcoin. Elektron Energy, led by Raphael Zagury, is a bitcoin mining firm that manages roughly 50 EH/s of hashrate, representing about 5% of the current Bitcoin network, according to the statement.

Tether also proposed that Zagury, founder and CEO of Elektron, serve as president of the combined entity.

"If consummated, the transactions would allow the combined entity to leverage a strong balance sheet, a large-scale profitable operating business, and a financial services division built to spearhead Bitcoin adoption," said Tether.

Tether added that the merger could position XXI to "become the premier listed Bitcoin company in the world," moving it beyond a treasury-focused model toward a "platform with operating businesses, recurring revenue opportunities, and long-term Bitcoin accumulation capabilities."