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Twenty One Capital is reportedly exploring a strategy that would let it to contented US dollar loans backed by Bitcoin collateral, Bloomberg reported Wednesday, citing a idiosyncratic acquainted with the matter.
“Optionality is wealth; for america everything is connected the array due to the fact that we deliberation we tin bash anything,” a spokesperson for the crypto institution reportedly said.
Twenty One Capital, backed by Cantor Fitzgerald, has expanded its Bitcoin holdings to astatine slightest 43,500 BTC, astir 1,500 Bitcoin (BTC) much than primitively projected. The institution precocious acquired astir 5,800 BTC from stablecoin issuer Tether, pushing its full holdings to an estimated $5.13 cardinal astatine existent prices.
Launched successful April, the institution aims to physique 1 of the largest Bitcoin treasuries and is supported by Tether, Bitfinex and SoftBank. A planned merger with SPAC Cantor Equity Partners is expected to instrumentality the institution nationalist successful the adjacent future.
Twenty One Capital holds implicit 43,000 BTC. Source: BitcoinTreasuries.NetRelated: Fees, collateral springiness DeFi borderline arsenic TradFi eyes crypto loans: 1inch exec
Firms determination beyond hodling
As integer assets go portion of equilibrium sheets, nationalist companies and funds are moving beyond the old hodl strategy. Many present lend retired Bitcoin, involvement Ether (ETH) oregon constitute options to make output connected dormant holdings.
Bitcoin miners similar MARA Holdings and CleanSpark are pioneering yield-generating strategies, utilizing crypto options and derivatives to boost gross alternatively of passively holding Bitcoin. CleanSpark reportedly plans to research much analyzable derivatives, aiming to nett from marketplace volatility.
JPMorgan Chase is besides reportedly exploring the enactment of lending against crypto assets similar Bitcoin and Ether (ETH). The Financial Times reported this whitethorn hap by 2026, though the plans are taxable to change.
Cointelegraph reached retired to Twenty One Capital for comment but had not received a effect by publication.
Related: How to bargain a location with a crypto-backed loan
Crypto lending picks up
As reported, San Francisco-based Divine Research has issued astir 30,000 unbacked short-term USDC (USDC) loans since December 2024, targeting underserved overseas borrowers. The steadfast uses Sam Altman’s iris-scanning World ID to verify users and forestall repetition defaults done duplicate accounts.
Meanwhile, decentralized concern lending has besides seen a rebound. According to Sygnum’s Q3 2025 Investment Outlook, DeFi lending deed an all-time high of $70 cardinal locked past quarter, and liquid staking surpassed 30% of Ether’s supply.
“The DeFi lending assemblage is 1 of the strongest beneficiaries of marketplace rallies, with progressive loans connected Ethereum surging to caller all-time highs arsenic investors instrumentality connected greater hazard and leveraged exposure,” Sygnum wrote.
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