Twenty One Scraps Strike Merger as Jack Mallers Resigns CEO Role

The dissolution of the merger marks a departure from the vision proposed by Tether in April, which aimed to unite Twenty One’s treasury business, Strike’s payment infrastructure, and Elektron Energy’s mining operations under a single corporate umbrella. With the Strike combination off the table, the company has pivoted toward a new leadership structure, appointing Elektron Energy founder Raphael Zagury as the new CEO of Twenty One effective July 20.

Mallers framed the resignation as a necessary refocusing of his efforts, stating that his primary commitment remains to Strike. While the broader consolidation plan is dead, Twenty One confirmed that discussions regarding a potential transaction with Elektron Energy are still active. However, the company cautioned that these talks remain preliminary and subject to regulatory scrutiny regarding related-party transactions.

Under Zagury’s leadership, Twenty One is transitioning away from acting solely as a corporate Bitcoin treasury vehicle. The firm’s updated roadmap emphasizes the development of capital markets services, Bitcoin-backed lending products, and recurring revenue streams. This strategic shift follows a period of internal volatility, including a compliance notice from the NYSE triggered by board departures, and a significant ownership change in May when Tether acquired SoftBank’s stake in the firm. Whether the remaining link to Elektron will materialize into a final deal remains uncertain, as the company navigates its new identity in the Bitcoin ecosystem.