Tether-backed Twenty One, Strike merger plan scrapped: BloombergStrike will remain a standalone company after the proposed three-way merger was scrapped, while Twenty One Capital and Elektron continue discussions, Bloomberg reported.
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A proposed three-way merger involving Tether-backed crypto companies Twenty One Capital, Strike, and Elektron Energy has been scrapped, according to Bloomberg. Strike will continue to operate as a standalone company, while Twenty One Capital and Elektron Energy remain in discussions about a potential deal. The original merger plan envisioned combining Twenty One Capital and Strike, the Bitcoin payments company led by Jack Mallers, followed by a merger with Bitcoin miner Elektron Energy.
As part of this development, Jack Mallers will step down as CEO of Twenty One Capital but will remain CEO of Strike. Elektron Energy’s CEO, Raphael Zagury, has been appointed to succeed Mallers at Twenty One Capital. Both Twenty One Capital and Elektron Energy have majority ownership by Tether, which also acquired SoftBank’s stake in Twenty One Capital in May 2025.
Twenty One Capital is a significant Bitcoin holder, with 43,514 BTC, making it the world’s second-largest corporate Bitcoin holder after Michael Saylor’s MicroStrategy, according to the BitcoinTreasuries tracking website. Despite the merger plans falling through, Twenty One’s shares traded on the NYSE showed little change in premarket activity following the announcement. The source emphasizes ongoing discussions between Twenty One and Elektron Energy, although no further details have been announced.