Cantor Fitzgerald Plans $3.5B Bitcoin Buy from Blockstream via SPAC Deal Led by Brandon Lutnick
The American financial services firm, Cantor Fitzgerald, is aiming for a large acquisition through a SPAC merger, targeting 30,000 BTC from Adam Back’s Blockstream Capital. Brandon Lutnick, who is the son of US Commerce Secretary Howard Lutnick, is the one to finalize the deal to buy Bitcoin through his firm, Cantor Fitzgerald. The deal involves Cantor Equity Partners 1, a blank-check (SPAC), and Blockstream Capital. This article will further discuss this deal between Cantor Fitzgerald and Blockstream, so keep reading to learn more.
The Truth Behind Cantor Fitzgerald Plans $3.5 Billion Bitcoin Buy from Blockstream
It is reported that Blockstream would contribute 30,000 Bitcoin, currently worth $3.5 billion, in exchange for shares in the Cantor vehicle, which would later be renamed BSTR Holdings. Back, a pioneer in the industry, is expected to contribute up to 30,000 Bitcoin to the Cantor Equity Partners 1, which is valued at over $3 billion. He was one of the first Bitcoin developers and corresponded directly with the pseudonymous Bitcoin creator Satoshi Nakamoto. Back is also the one whose Hashcash proof-of-work system happens to be foundational to securing the Bitcoin blockchain. His other Bitcoin investments include European firms, such as The Blockchain Group and Sweden’s H100 Group. All these ventures point out his ongoing strategy to build long-term Bitcoin positions through corporate partnerships.
This deal also plans to raise around $800 million in additional outside capital to make future Bitcoin purchases. This deal is said to take place as early as this week, but its terms could still change. Once this deal is completed, it will result in Cantor becoming one of the world’s top Bitcoin buyers. Also, the combined crypto purchases between the two vehicles, Twenty One Capital and BSTR Holdings, are likely to reach $10 billion this year. Earlier, $3.6 billion crypto deal was made between Cantor Fitzgerald, SoftBank, and Tether in April to create a Bitcoin acquisition company. It is said that Brandon Lutnick became the head of a finance firm once his father was confirmed as Trump’s trade official.
This move is believed to be part of a broader trend of Bitcoin-native capital formation since companies are focused on maximizing BTC per share rather than earnings per share. In this deal, in exchange for the Bitcoin, Back and Blokstream Capital are expected to receive shares in the Cantor Vehicle, which is to be renamed BSTR Holdings. Ultimately, this deal would be Cantor’s second major Bitcoin acquisition this year, following a $3.6 billion venture with Softbank and Tether.
Many claim that Brandon Lutnick’s leadership aligned Cantor Fitzgerald with the growing institutional interest in Bitcoin through strategic SPAC deployments. Also, this latest transaction is said to reflect a broader pattern of high-level accumulation of digital assets. Understand that the final deal will be announced shortly, though its terms are still being negotiated. When this deal is finally announced, Back is intended to be the company’s public face.
Crypto & Blockchain Expert