Twenty One Capital is reportedly exploring a method that might enable it to challenge US greenback loans backed by Bitcoin collateral, Bloomberg reported Wednesday, citing an individual acquainted with the matter.
“Optionality is wealth; for us every thing is on the desk as a result of we expect we are able to do something,” a spokesperson for the crypto firm reportedly mentioned.
Twenty One Capital, backed by Cantor Fitzgerald, has expanded its Bitcoin holdings to at the very least 43,500 BTC, about 1,500 Bitcoin (BTC) greater than initially projected. The corporate just lately acquired about 5,800 BTC from stablecoin issuer Tether, pushing its whole holdings to an estimated $5.13 billion at present costs.
Launched in April, the corporate goals to construct one of many largest Bitcoin treasuries and is supported by Tether, Bitfinex and SoftBank. A deliberate merger with SPAC Cantor Fairness Companions is predicted to take the corporate public within the close to future.
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Companies transfer past hodling
As digital belongings turn into a part of steadiness sheets, public corporations and funds are transferring past the outdated hodl technique. Many now lend out Bitcoin, stake Ether (ETH) or write choices to generate yield on dormant holdings.
Bitcoin miners like MARA Holdings and CleanSpark are pioneering yield-generating methods, utilizing crypto choices and derivatives to spice up income as a substitute of passively holding Bitcoin. CleanSpark reportedly plans to discover extra complicated derivatives, aiming to revenue from market volatility.
JPMorgan Chase can be reportedly exploring the choice of lending in opposition to crypto belongings like Bitcoin and Ether (ETH). The Monetary Occasions reported this will likely occur by 2026, although the plans are topic to vary.
Cointelegraph reached out to Twenty One Capital for remark however had not obtained a response by publication.
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Crypto lending picks up
As reported, San Francisco-based Divine Analysis has issued about 30,000 unbacked short-term USDC (USDC) loans since December 2024, concentrating on underserved abroad debtors. The agency makes use of Sam Altman’s iris-scanning World ID to confirm customers and forestall repeat defaults via duplicate accounts.
In the meantime, decentralized finance lending has additionally seen a rebound. In accordance with Sygnum’s Q3 2025 Funding Outlook, DeFi lending hit an all-time excessive of $70 billion locked final quarter, and liquid staking surpassed 30% of Ether’s provide.
“The DeFi lending sector is among the strongest beneficiaries of market rallies, with energetic loans on Ethereum surging to new all-time highs as buyers tackle better danger and leveraged publicity,” Sygnum wrote.
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