TLDR
Cantor Fitzgerald plans to acquire 30,000 BTC from Blockstream in a deal valued at $4 billion.
The SPAC, Cantor Equity Partners 1, will be renamed BSTR Holdings after the Bitcoin-for-equity deal.
Blockstream’s Adam Back will exchange Bitcoin for shares in the new Cantor-led Bitcoin investment vehicle.
Cantor’s combined crypto ventures may hold nearly $10 billion in Bitcoin by the end of 2025.
Cantor Fitzgerald is in the final stages of securing a $4 billion agreement with Blockstream, the Bitcoin infrastructure company led by Adam Back. The deal, which may be announced this week, would see Cantor acquire a large amount of Bitcoin through its SPAC, Cantor Equity Partners 1.
If completed, this will mark one of the largest institutional Bitcoin transactions of the year. The move comes as more firms continue to build Bitcoin positions on their balance sheets, following the rise in the asset’s market price.
Cantor Equity Partners 1 to Acquire 30,000 Bitcoin
Cantor Equity Partners 1, a special-purpose acquisition company (SPAC), is expected to purchase around 30,000 Bitcoin from Blockstream Capital. At current prices, the Bitcoin is worth around $3.5 billion. Adam Back, a long-time Bitcoin supporter and the CEO of Blockstream, will receive shares in the SPAC in exchange for the Bitcoin.
The SPAC is also planning to raise an additional $800 million from outside investors. Once the transaction is complete, Cantor Equity Partners 1 will be renamed BSTR Holdings. The capital raised will support further Bitcoin purchases, pushing the total value of the deal toward $4 billion.
The Financial Times reported that the deal is in late-stage negotiations, citing unnamed sources familiar with the matter. These sources also indicated that the final agreement may still be adjusted before it is made public.
Cantor Fitzgerald Expands Crypto Strategy
Cantor Fitzgerald, led by Chairman Brandon Lutnick, has increased its activity in the cryptocurrency market this year. In April, the firm partnered with SoftBank and Tether to launch Twenty One Capital, another Bitcoin-focused entity. That venture raised $3.6 billion and is preparing for a public listing.
Combined, the two investment vehicles—Twenty One Capital and the newly forming BSTR Holdings—could hold close to $10 billion worth of Bitcoin by year’s end. This places Cantor among the largest institutional Bitcoin holders, aligning it with the growing trend of corporate Bitcoin accumulation.
Cantor Equity Partners 1 raised $200 million in January through its IPO. That capital, combined with Adam Back’s Bitcoin contribution and the expected external funding, sets the foundation for BSTR Holdings to focus heavily on Bitcoin acquisition.
Institutional Bitcoin Buying Continues to Rise
The announcement comes during a busy week for the digital asset sector in Washington, where lawmakers are reviewing new crypto-related proposals. The timing has drawn attention, as more firms add Bitcoin to their treasuries while prices remain high.
Data shows that treasury firms added over $550 million worth of Bitcoin last week alone. MicroStrategy, now known as Strategy, has reached 600,000 Bitcoin on its books. Other firms, such as Metaplanet and The Blockchain Group, have also boosted their holdings in recent months.
Adam Back has supported several of these companies and has a track record of investing in firms that maintain Bitcoin as a core asset. His involvement in this latest initiative signals continued momentum for Bitcoin-focused corporate strategies.
SPAC Structure Central to Deal Execution
The use of a SPAC allows Cantor Fitzgerald to fast-track the acquisition without going through a traditional merger or purchase structure. This setup enables rapid capital deployment and shareholder involvement through share issuance rather than direct cash payments.
Blockstream Capital will not receive cash but instead take equity in the new entity. This aligns the interests of both parties and sets a path for future joint expansion within the Bitcoin space.
Market observers are watching closely as the deal may close this week. While terms could still change, the structure and size of the deal suggest it could reshape institutional Bitcoin holdings going forward.
Stay Ahead of the Market with Benzinga Pro!
Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders:
- Breaking market-moving stories before they hit mainstream media
- Live audio squawk for hands-free market updates
- Advanced stock scanner to spot promising trades
- Expert trade ideas and on-demand support
