Twenty One Capital holds 43,514 Bitcoin — more than any public company except Michael Saylor's Strategy. At current prices that's about $2.8 billion in coins. The market values the entire firm at $1.6 billion. Buyers are paying roughly 57 cents for every dollar of Bitcoin on the books.
That's the hole new CEO Rapha Zagury walked into three weeks into his tenure. The company lost $413.5 million in Q2 2026, and the first half of the year ran up a $1.27 billion deficit. Bitcoin's slide from $87,316 at the start of 2026 to $58,605 by June 30 erased $401.5 million in the quarter alone, per the company's 10-Q.
The discount, in numbers
The gap isn't just about the coin price. XXI carries $106.1 million in cash against $484.5 million in convertible notes. More than a third of its coins — 16,116 of them — sit locked as collateral for debt. Bitcoin Treasuries data puts the discount at 0.70x even after counting debt and cash.
The stock tells the same story. Shares traded near $4.53 on Tuesday, down roughly 85% from a 52-week high of $30.43.
Zagury said as much in a shareholder letter: the market values XXI at less than the Bitcoin it owns, and management shares that view. It's a rare admission from a CEO, and it frames everything he's proposed since.
A Berkshire-style fix
Zagury's remedy borrows from Berkshire Hathaway. Strong balance sheet at the center, cash-earning businesses around it. He's laid out five priorities: governance, operating businesses, capital-markets tools, M&A, and low-leverage lending backed by Bitcoin.
The firm earns no revenue yet, so the operating piece is the hard part. An earlier blueprint floated merging XXI with Strike — founder Jack Mallers' Bitcoin financial services firm — and Elektron Energy, the mining company Zagury previously led. That plan hasn't moved forward in public.
Tether's control, and a new board
The ownership picture changed this spring. Tether took full control of XXI in May by buying out SoftBank. Mallers resigned as CEO in July. Two new independent directors, Paul Lalljie and Karl Olsoni, now sit on the board, with Lalljie chairing the audit committee.
Zagury has pledged to handle any dealings with Tether strictly and transparently. Given Tether's size and its history of drawing scrutiny, that promise will get tested.
Closing the gap
Zagury has promised a fuller strategy update before year-end. The unresolved question is whether he can close the gap between the coin value and the share price — and whether the lending and operating businesses he's betting on can generate the cash flow to justify a higher multiple. The discount has persisted for months. The plan is on paper. The execution starts now.
