Tether initiated a proposed three-way merger combining Twenty One Capital, Strike, and Elektron into a single entity. The deal positions Elektron founder and CEO Raphael Zagury as president of the merged company, while Strike CEO Jack Mallers takes an executive role. Twenty One Capital's stock price rose following the announcement.
The merger consolidates three players operating in Bitcoin infrastructure and payments. Strike operates a Bitcoin payment network, while Elektron focuses on related infrastructure. Tether's involvement signals the stablecoin issuer's expansion beyond token issuance into operational businesses and financial services.
The structure places both Zagury and Mallers in senior positions, suggesting a power-sharing arrangement. Details on the merged entity's name, equity structure, and timeline remain undisclosed. The deal requires regulatory approval and shareholder consent.
This consolidation reflects ongoing competition in the Bitcoin payments space and attempts by major crypto firms to build integrated platforms rather than operate as standalone services.