Brandon Lutnick Launches $3B Bitcoin SPAC with SoftBank and Tether Support

Brandon Lutnick of Cantor Fitzgerald is launching a $3B bitcoin SPAC with support from SoftBank, Tether, and Bitfinex. The SPAC, Cantor Equity Partners, has raised $200 million to establish 21 Capital, converting BTC to equity valued at $85,000 per coin. Tether is contributing $1.5 billion, alongside SoftBank’s $900 million and Bitfinex’s $600 million, amid renewed crypto optimism.

Brandon Lutnick, Chair of Cantor Fitzgerald, is initiating a bitcoin-focused investment through a special purpose acquisition company (SPAC) named Cantor Equity Partners. This venture is supported by major players including SoftBank, Tether, and Bitfinex, and seeks to gather $3 billion in bitcoin investments. The SPAC initially raised $200 million and aims to establish a new entity, 21 Capital, to manage these assets.

The bitcoin investment strategy mirrors the approach taken by MicroStrategy, aiming to convert bitcoin holdings into equity at a projected valuation of $85,000 per coin. Cantor Fitzgerald, an influential financial services firm, acts as a custodian for Tether, managing a significant portion of its U.S. Treasury holdings. Despite previous concerns, Howard Lutnick has moderated his comments on Tether’s liquidity in Senate testimony.

The funding includes contributions of $1.5 billion from Tether, $600 million from Bitfinex, and $900 million from SoftBank. The investment group also plans to secure an additional $550 million through bonds and private equity for bitcoin purchases. This SPAC operation comes during a period of increased interest in cryptocurrency, with bitcoin values nearing $92,000 amid a supportive regulatory environment. The official announcement of this deal is anticipated in the near future, although details may still evolve.