Key Facts

  • Twenty One Capital reported third-quarter net income of $1.087 billion, driven primarily by a $1.093 billion fair-value gain on its Bitcoin holdings.

  • The company ended September with 43,514 BTC and $102.8 million in cash, with $486.5 million of convertible notes secured by about 16,116 BTC.

  • CEO Rapha Zagury said the company is evaluating opportunities in mining, lending, treasury and energy, and that share repurchases deserve serious consideration when its shares trade below the value of the assets attributable to them.

Twenty One Capital reported third-quarter net income of $1.087 billion, driven primarily by a $1.093 billion fair-value gain on its Bitcoin holdings.

The company ended September with 43,514 BTC and $102.8 million in cash, with $486.5 million of convertible notes secured by about 16,116 BTC.

CEO Rapha Zagury said the company is evaluating opportunities in mining, lending, treasury and energy, and that share repurchases deserve serious consideration when its shares trade below the value of the assets attributable to them.

The company ended September with 43,514 BTC, valued at about $83,700 per coin, and $102.8 million in cash and cash equivalents, CEO Rapha Zagury said in a quarterly letter to shareholders on Friday.

Balance Sheet

The GAAP result was primarily driven by the fair-value gain "rather than operating cash flow," Zagury said. Twenty One had $486.5 million of convertible-note principal outstanding at the end of the quarter, secured by about 16,116 BTC.

Looking for Businesses

"Activity is not progress. A bad acquisition can destroy years of value creation," he wrote. When the company's shares trade below the value of the assets attributable to them, repurchases "deserve serious consideration," subject to liquidity, approvals and applicable restrictions, he said.

BTC traded at $68,444 at press time, down 4.2% over 24 hours, according to CoinMarketCap data.