In a major strategic maneuver, Tether has doubled down on its crypto investments—this time backing Bitcoin-focused investment firm Twenty One Capital with a massive $458.7 million BTC purchase. The transaction was revealed in a regulatory filing from Cantor Equity Partners, which is currently facilitating a Special Purpose Acquisition Company (SPAC) merger with Twenty One Capital.
The details are quite eye-catching: Tether acquired 4,812.2 BTC at an average price of $95,319 per coin and locked the funds into an escrow wallet on May 9. With this injection, Twenty One Capital now controls a substantial 36,312 BTC. Of that, 31,500 BTC are held by Cantor on behalf of the firm, and the remaining amount was recently added via Tether’s purchase.
Once the SPAC deal wraps up, the firm will begin trading under the ticker symbol XXI, signaling a new chapter for the company. In terms of publicly held Bitcoin reserves, Twenty One Capital now ranks third—only trailing industry giants Strategy (formerly MicroStrategy), which leads with over 568,000 BTC, and MARA Holdings, a Bitcoin mining firm with 48,237 BTC on its books.
This latest move underscores the ongoing consolidation of Bitcoin among institutional investors and the increasing role stablecoin issuers like Tether are playing in market-shaping activities.
VanEck Rolls Out Tokenized US Treasury Fund, Eyes RWA Growth
Meanwhile, traditional finance continues its steady march into blockchain territory. Investment firm VanEck has just unveiled VBILL, its very first tokenized real-world asset (RWA) fund. This fund offers exposure to U.S. Treasury bills and represents a significant step toward merging blockchain technology with traditional asset classes.
Developed in partnership with tokenization platform Securitize, VBILL will be deployed across several major blockchains—Ethereum, Solana, Avalanche, and BNB Chain. Minimum investment thresholds vary by chain, with Ethereum-based subscriptions starting at $1 million, while other networks will accept entries from $100,000.
VanEck isn’t alone in exploring this frontier. Financial behemoths like BlackRock, Franklin Templeton, and Apollo (which manages over $750 billion in assets) have also launched their own tokenized funds in recent months. The tokenized Treasury market is now valued at around $6.9 billion, according to RWA.xyz, making it the second-largest asset class in the space after private credit.
As for Securitize, the platform has already tokenized over $3.9 billion worth of assets. In a testament to its growing relevance, the firm closed a $47 million funding round in May 2024, led by BlackRock.
The fusion of RWAs with blockchain infrastructure is not just a trend—it’s fast becoming a cornerstone of the next-generation financial ecosystem.
Arizona’s Crypto Ambitions Halted by Governor’s Vetoes
Not all the crypto news today is about expansion. In Arizona, Governor Katie Hobbs has effectively slammed the brakes on several bills aimed at integrating crypto into the state’s fiscal framework.
On May 12, Hobbs vetoed Senate Bill 1373, which proposed the creation of a Digital Assets Strategic Reserve Fund. This fund would have allowed the state to hold cryptocurrencies sourced from seizures or allocated directly by lawmakers. Hobbs cited crypto’s market instability as a key reason for her decision, emphasizing that state funds shouldn’t be exposed to such volatile instruments.
This followed an earlier veto, on May 3, of Senate Bill 1025, also known as the Arizona Strategic Bitcoin Reserve Act. This legislation would have authorized the allocation of up to 10% of Arizona’s treasury and retirement funds into digital assets, including Bitcoin. The governor also struck down Senate Bill 1024, which aimed to enable cryptocurrency payments for taxes and government fees via state-approved providers.
Despite the setback, the legislative interest isn’t unique to Arizona. According to bitcoinlaws.io, 26 U.S. states have introduced similar strategic crypto reserve bills, with 18 currently active. However, Hobbs has made it clear that while she supports responsible crypto adoption, she won’t risk the state’s general fund on such emerging technologies—at least not yet.
Conclusion
Today’s crypto headlines reflect a mix of bullish institutional activity and cautious regulatory pushback. Tether’s hefty Bitcoin bet and VanEck’s entry into tokenized Treasurys signal increasing adoption from major players, while Arizona’s vetoes show that regulation is still playing catch-up. Whether you’re an investor, builder, or observer, these developments offer a snapshot of a rapidly evolving ecosystem where traditional finance, blockchain innovation, and government policy are all colliding.
