Bitcoin Rallies Back to $94K, Paul Atkins Sworn In As SEC Chair, and Cantor Fitzgerald Strikes $3.6B Deal for Bitcoin Buying SPAC

Takeaways

• Bitcoin surged above $94,000 Wednesday after US Treasury Secretary Scott Bessent and President Donald Trump hinted at lower tariffs on China: With the latest price rally, bitcoin surpassed Google to become the fifth largest asset globally by market cap.
• Paul Atkins pledged to establish a clear, principled regulatory framework for digital assets upon his swearing-in as SEC chairman: His agenda places focus on investor protection, market efficiency, and a departure from the agency’s previous enforcement-heavy stance.
• Cantor Fitzgerald agrees to $3.6B SPAC deal to create bitcoin buying company: The new company, led by Brandon Lutnick, son of US Commerce Secretary Howard Lutnick, will be called Twenty One Capital and launch with 42,000 bitcoin. SoftBank and BitFinex will hold minority ownership stakes.
• Galaxy Digital exchanged 65,600 ETH for 752,240 SOL, reinforcing Ethereum's decreasing dominance of the crypto world: Ethereum's market cap relative to the broader crypto space has fallen below 7% for the first time.
• Metaplanet loads up on bitcoin: The Tokyo-based company acquired 331 bitcoin for its corporate treasury strategy, following recent similar moves from Strategy, GameStop, and others.

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Bitcoin Tops $94K on US-China Trade Optimism

With the latest surge, bitcoin surpassed Google to become the fifth largest asset globally by market cap and also turned positive year-to-date.

Bitcoin’s positive price movements were accompanied by broader rallies in tokens including ETH, DOGE, and SUI, with the total market cap of the crypto space increasing more than 11% week-over-week. . The stock market also recovered, after wobbling on President Trump’s criticisms of Jerome Powell as head of the Federal Reserve. President Trump reassured investors on Tuesday, saying he had no intention of removing Powell from office.

Spot bitcoin ETFs recorded $381.4 million in inflows Monday after pulling $107 million on Thursday as the US dollar index plunged.

New SEC Chair Atkins Pledges Rational Approach to Crypto Regulation

Atkins underscored a return to the SEC’s core congressional mandate focusing on investor protection, fair and orderly markets, and capital formation. Atkins echoed testimony he gave at a Senate hearing last month, when he said digital-asset rulemaking was his top priority.

Atkins brings considerable experience, having served as an SEC commissioner from 2002 to 2008 under President George W. Bush, and advising on economic policy during the Trump administration. His elevation follows former chair Gary Gensler’s departure and coincides with the SEC’s creation of a Crypto Task Force, which has already hosted roundtables on token classification and compliance. Atkins replaces acting chair Mark Uyeda, who will now return to a commissioner role.

Cantor Fitzgerald Reaches $3.6B Deal With Tether, SoftBank and Bitfinex

Tether will reportedly contribute at least $1.5 billion bitcoin and become the majority owner in the new entity, with SoftBank and Bitfinex serving as minority investors.

The company will launch with 42,000 bitcoin via a reverse merger with Cantor Equity Partners, a special-purpose acquisition company led by Lutnick that raised $100 million last year. It will employ a similar bitcoin treasury program used by Strategy, which leverages convertible debt to buy bitcoin. Lutnick is the son of US Commerce Secretary Howard Lutnick. Jack Mallers will serve as CEO of Twenty One Capital.

As part of the deal, Twenty One Capital has securded an additional $385 million in convertible notes and $200 million in PIPE financing to purchase bitcoin. Twenty One expects to trade on the NASDAQ under the symbol “XXI.”

Galaxy Digital Swaps $106M in ETH for SOL as Ethereum Hits Record Low

The reallocation mirrors growing skepticism around Ethereum’s status as the ‘number two’ force in crypto. Over the past few months, ether has suffered a price correction and waning institutional interest, while Solana, in addition to various Ethereum-based layer‑2s platforms, has drawn increased activity.

However, Ethereum’s development community is preparing for the Pectra upgrade expected May 7, while co-founder Vitalik Buterin has floated a proposal to replace Ethereum’s widely used ‘EVM’ bytecode with RISC‑V architecture, in what would be a significant enhancement to the protocol’s scalability.

Metaplanet Buys More Bitcoin

The move lifts its holdings to 4,855 BTC, now valued at roughly $458 million. CEO Simon Gerovich revealed that since the firm initiated its crypto strategy last year, it has around $414 million BTC at an average entry price near $85,386 per coin.

Sometimes referred to as “Asia’s MicroStrategy,” Metaplanet initially built its bitcoin reserves in 2024 after pivoting from its hotel business, mirroring the US software company’s move into digital assets. Metaplanet’s share price has climbed more than 1,200% since the launch of its crypto treasury, though it slipped nearly 1% on the day of the latest buy. Last month, Metaplanet also appointed Eric Trump to guide its crypto expansion.

-Team Gemini