Leadership Transition at Bitcoin Treasury Firm

Twenty One Capital announced on July 21, 2026, that founder Jack Mallers has stepped down as CEO effective July 20, returning his full attention to Strike, the Bitcoin payments company he leads. Raphael Zagury, previously involved with the firm as a director and head of Elektron Energy, has taken over the top role at the NYSE-listed entity known for its substantial Bitcoin holdings.

The transition marks a significant shift for Twenty One Capital, which went public through a SPAC merger in late 2025 and has positioned itself among the largest corporate Bitcoin treasuries. Mallers will no longer hold an executive position but worked with Zagury on an orderly handover.

Collapse of Proposed Three-Way Merger

Tether Investments, Twenty One Capital's majority shareholder, had proposed in April 2026 a complex transaction that would first integrate Strike into Twenty One Capital and then combine the entity with Elektron Energy, a Bitcoin mining operation. The plan aimed to create a vertically integrated Bitcoin-focused public company encompassing treasury management, payments, and mining.

That structure has now been abandoned. Strike will remain an independent business and is no longer part of any combination with Twenty One Capital. Discussions regarding a potential two-way merger between Twenty One Capital and Elektron Energy continue at a preliminary stage, subject to review as a related-party transaction under company policy and Texas law, with no guarantee of completion.

New Strategic Direction Under Zagury

Zagury, who brings extensive Wall Street experience from roles at Goldman Sachs, Deutsche Bank, and Merrill Lynch, along with fintech leadership, outlined a focus on building operational strength around the company's large Bitcoin balance sheet.

The updated priorities emphasize corporate governance, acquiring operating businesses, capital markets development, mergers and acquisitions, and the creation of a Bitcoin-native lending and credit platform. The company cited Berkshire Hathaway as a model for long-term ownership and disciplined capital allocation, signaling a move beyond pure treasury accumulation toward sustainable cash flow generation.

Tether's Role and Market Reaction

Tether CEO Paolo Ardoino, a board member at Twenty One Capital, praised Mallers' contributions while expressing confidence in the new leadership.

Following the announcements, Twenty One Capital's shares declined more than 14% to around $4.54. The company maintains a Bitcoin-only treasury policy and holds one of the largest such reserves among public firms.