Bitcoin contender publicly discusses proposed $3.5 billion transaction involving cryptocurrency
In a move that could shake up the public Bitcoin treasury landscape, Adam Back, a renowned British cryptographer and potential Satoshi Nakamoto candidate, has launched a new entity called Bitcoin Standard Treasury (BSTR). This venture is set to merge with Cantor Equity Partners I (CEPO), a move that will make BSTR the fourth-largest public Bitcoin holder globally.
The deal, worth $3.5 billion, sees Adam Back contributing over $3 billion worth of Bitcoin (approximately 30,000 BTC) in-kind to BSTR in exchange for freshly issued equity shares. This substantial Bitcoin treasury is one of the largest corporate Bitcoin holdings in history and signals a focus on maximising Bitcoin ownership and creating Bitcoin-native financial products.
Cantor Fitzgerald, the financial firm chaired by Howard Lutnick, is also raising additional capital—over $1.5 billion through a PIPE financing—to further build out BSTR’s Bitcoin holdings and develop capital market offerings. Brandon Lutnick, the son of Howard Lutnick, is also involved in the BSTR merger rollout.
The partnership between BSTR and CEPO reflects a strategic alignment between traditional institutional finance and Bitcoin-focused investing. Adam Back, as the CEO of BSTR, will leverage his deep expertise and reputation within the Bitcoin ecosystem to drive adoption and growth for the company.
The capital in the BSTR-CEPO merger is legally anchored in a U.S.-regulated entity, providing structure and security for Adam Back's Bitcoin holdings. Some of his original 80,000 BTC have been reportedly sold through Galaxy Digital, while the remaining 30,000 BTC are now part of what could be the largest regulated Bitcoin treasury move of the decade.
The PIPE offering is the first of its kind denominated in Bitcoin, marking a significant step towards mainstream adoption of digital assets. The BSTR-CEPO merger, anchored by Adam Back, is poised to revolutionise the public Bitcoin treasury landscape, offering a unique opportunity for investors to gain exposure to a significant Bitcoin holding within a regulated and publicly traded entity.
[1] Wikipedia, Adam Back [2] Bitcoin.org, Hashcash [3] Blockstream.com, About Us [4] Coindesk, Bitcoin Standard Treasury to Merge with Cantor-Backed SPAC [5] Cointelegraph, Adam Back's Bitcoin Standard Treasury to Go Public Via SPAC Merger
- The Bitcoin Standard Treasury (BSTR), now a significant public Bitcoin holder thanks to a $3.5 billion merger with Cantor Equity Partners I (CEPO), will use over $3 billion worth of Bitcoin (approximately 30,000 BTC) from Adam Back contributed in-kind to develop Bitcoin-native financial products.
- The strategic alignment between traditional institutional finance and Bitcoin-focused investing, represented by the BSTR-CEPO merger, is marked by a PIPE offering, a first of its kind denominated in Bitcoin, signaling a step towards mainstream adoption of digital assets.
- As the CEO of BSTR, Adam Back, a potential Satoshi Nakamoto candidate and renowned cryptographer, will leverage his expertise and reputation in the Bitcoin ecosystem to drive adoption and growth, maintaining a portion of his Bitcoin holdings within one of the largest regulated Bitcoin treasuries in history.
