Cantor Fitzgerald’s white check -affiliate is in the late stages to acquire more than $ 3 billion in Bitcoin (BTC) of the Blockstream capital from Adam Back via a transaction that could amount to $ 4 billion, the Financial Times reported on July 15.
Cantor Equity Partners 1, a special acquisition company that collected $ 200 million in an IPO in January, would issue new shares to go back in exchange for no less than 30,000 BTC. The amount represents around $ 3 billion at the current prices.
Moreover, the company is planning to look for up to $ 800 million in extra external capital for further Bitcoin purchases. After completion of the transaction, the vehicle is renamed BSTR Holdings.
Deal Details
If completed, the deal would reflect a Bitcoin -buy company of $ 3.6 billion, twenty -one capital, which Cantor Fitzgerald’s Brandon Lutnick set up with Softbank and Tether in April.
Combined, the two Spacs could collect nearly $ 10 billion in Bitcoin this year, so Cantor would position one of the most active institutional buyers of active people.
Back is best known for inventing hashcash and the co-founder of Blockstream in 2014. As part of the deal, Back will change the contributed Bitcoin for equity in the public company.
The importance of Blockstream Capital would in addition to all subsequent purchases, the Spac finances with newly raised capital would rise. Brandon Lutnick was appointed chairman of Cantor Fitzgerald in February after his father, Howard Lutnick, became the American trade secretary.
The movement of Cantor follows a Playbook that is made popular by strategy, whose bitcoin treasury approach a wave of companies and spacs has encouraged to increase equality or convertible bonds to buy BTC downside.
Timing and regulatory background
Negotiators strive to complete the conditions in this week and the announcement in the middle of what Republican legislators have branded ‘Crypto -Week’, in which the house debates about several digital asset bills.
The Push of Cantor is also in accordance with the deregulating attitude of President Donald Trump in relation to crypto markets, a shift that managers describe as a beneficial balance allocations.
The transaction would require approval and assessment of the shareholders through the Securities and Exchange Commission of updated disclosures with details about the Bitcoin contribution and capital increase.
If the Spac were to complete its acquisition and the subsequent fundraising, BSTR Holdings would come to the fore as one of the world’s largest listed holders of Bitcoin, with only strategy and a handful of spot ETF Trusts.
