Cantor Fitzgerald Makes $3.5B Bitcoin Power Move—Snapping Up BTC from Blockstream Capital
Wall Street's institutional Bitcoin frenzy hits hyperdrive as Cantor Fitzgerald drops a $3.5 billion bid for BTC—straight from Blockstream's vaults.
Why it matters: When traditional finance players start writing checks this size, crypto's 'wild west' era is officially over. The suits aren't just coming—they're bulldozing the saloon doors.
The fine print: Blockstream Capital, long known for its Bitcoin-maximalist stance, suddenly looks like an investment bank with extra steps. Nothing unites ideologies like nine-figure paydays.
Bottom line: The same firms that mocked crypto in 2018 are now scrambling to hoard it. Funny how a few trillion in market cap turns skeptics into true believers—especially when their clients demand it.
TLDR
- Brandon Lutnick’s Cantor Fitzgerald is negotiating to acquire 30,000 Bitcoin worth $3.5 billion from Adam Back’s Blockstream Capital
- The deal involves Cantor Equity Partners 1 SPAC that raised $200 million in January, which would be renamed BSTR Holdings
- Blockstream would receive shares in the Cantor vehicle in exchange for the Bitcoin holdings
- Cantor plans to raise an additional $800 million in outside capital for more Bitcoin purchases
- The deal could be finalized within days, making Cantor one of the world’s largest Bitcoin buyers
Brandon Lutnick of Cantor Fitzgerald is in advanced talks to acquire more than $3.5 billion worth of Bitcoin from Blockstream Capital. The deal involves his blank-check company Cantor Equity Partners 1 purchasing 30,000 Bitcoin from Adam Back’s crypto trading firm.
The 27-year-old son of US Commerce Secretary Howard Lutnick became chairman of Cantor Fitzgerald in February. He has been leading the firm’s push into cryptocurrency investments through various vehicles.
The transaction WOULD use Cantor Equity Partners 1, a special purpose acquisition company that raised $200 million in January. This SPAC would be renamed BSTR Holdings as part of the deal structure.
Blockstream Capital would contribute up to 30,000 bitcoin in exchange for equity shares in the renamed vehicle. At current prices, this Bitcoin holding is valued at approximately $3.5 billion.
The deal includes plans to raise an additional $800 million from outside investors. This capital would be used for further Bitcoin acquisitions beyond the initial Blockstream purchase.
Deal Timeline and Structure
Financial Times reports suggest the deal could be announced within days. However, terms are still being negotiated and could change before completion.
The structure follows a trend of companies using Bitcoin treasury strategies to maximize BTC per share. This approach focuses on accumulating Bitcoin rather than traditional earnings metrics.
Adam Back is a pioneer in Bitcoin’s development history. His 1997 Hashcash cryptographic work was cited by Satoshi Nakamoto and became foundational to Bitcoin’s proof-of-work system.
Cantor’s Bitcoin Strategy
This deal would be Cantor’s second major Bitcoin initiative this year. The firm previously created Twenty One Capital, a $3.6 billion Bitcoin acquisition company with backing from SoftBank and Tether.
Twenty One Capital aims to copy Michael Saylor’s strategy, which has accumulated $70 billion worth of Bitcoin since 2020. The vehicle is headed by Jack Mallers, CEO of Bitcoin payments app Strike.
If completed, Cantor’s combined crypto purchases through BSTR Holdings and Twenty One Capital could reach nearly $10 billion this year. This would make Cantor one of the world’s largest Bitcoin buyers.
Cantor closed its first Bitcoin lending deal in May, expanding its cryptocurrency services. The firm has been building a comprehensive crypto business across multiple areas.
Back has personally invested in several Bitcoin companies this year, including Sweden’s H100 Group and France’s Blockchain Group. His involvement adds credibility to the Cantor deal from a technical perspective.
