SoftBank has reportedly joined forces with Tether, Bitfinex, and Cantor Fitzgerald to launch 21 Capital. It will be seeded with $3 billion in Bitcoin (BTC). The joint venture is set to go public via SPAC.
SoftBank will contribute $900 million to buy Bitcoin at $85,000. Tether will contribute the biggest share ($1.5 billion). This will make it the third-largest Bitcoin holder among public companies (behind only Strategy and Marathon Digital).
VanEck's Matthew Sigel has described the deal as Masayoshi Son's biggest Bitcoin bet yet.
"It seems to me that Masa’s looking to build a Bitcoin-AI-energy flywheel," he commented.
Earlier this year, SoftBank also put $50 million into Cipher Mining, acquiring approximately 10.4 million shares (3%).
The most recent move could potentially trigger a massive institutional Bitcoin buying spree.
As reported by U.Today, Softbank's Son personally bought $200 million Bitcoin close to the top of the 2017 bull market. Son ended up selling his Bitcoin stash shortly after this and taking a significant loss. In 2020, however, he predicted that digital currency would be "useful" in the future.
Now, Japan's third-richest man is ready to dive much deeper into Bitcoin with the massive purchase.
Vladislav Sopov
Dan Burgin