A planned three-way merger involving Twenty One Capital, Strike, and Elektron Energy has fallen apart. The deal, which was backed by $2.1 billion in Tether credit, is no longer moving forward. Jack Mallers has resigned from the venture, and a figure named Zagury is taking over, though the full scope of that transition remains unclear.
Why the deal collapsed
The merger was meant to combine Twenty One Capital, Strike, and Elektron Energy into a single entity. Tether had committed $2.1 billion in credit to support the transaction. But the parties could not reach final terms, and the agreement was scrapped. No official reason has been given for the breakdown.
Jack Mallers out, Zagury in
Jack Mallers, who was involved in the venture, has resigned. His departure comes as Zagury steps into a leadership role. Details about Zagury's background or exact position are not yet available. The source material does not specify whether Zagury is taking over the entire venture or just one of the companies.
What happens next
With the merger dead, the three companies will continue operating independently. Tether's $2.1 billion credit line is no longer tied to the deal, but it is not clear if the funds will be redeployed elsewhere. Investors and employees are waiting for more clarity on the future of each firm and the leadership structure under Zagury.
