Blab Crypto
BSTR Holdings and Cantor Equity Partners Scrape Original Bitcoin Treasury SPAC Deal Amid Market Downturn
In a dramatic pivot that underscores the fragility of the digital‑asset treasury boom, BSTR Holdings and Cantor Equity Partners I announced on July 8 2026 that the merger they inked in July 2025 would not go ahead as originally planned. The two companies said they are negotiating a revised structure that better aligns with the market’s new reality.
The original deal would have merged BSTR’s bitcoin‑treasury business with Cantor Equity Partners to create one of the largest publicly listed digital‑asset treasury companies, or DATCO. Under that framework, the combined balance sheet would have held more than 30,000 bitcoins and required a private investment in public equity (PIPE) commitment of up to $1.5 billion. According to the filing, the parties are dropping the PIPE requirement and postponing the shareholder vote that was slated for July 10.
The shake‑up follows a steep slide in the share prices of several DATCOs. MicroStrategy (MSTR), the biggest corporate holder of bitcoin, has fallen roughly 75 percent since the high of the 2025 crypto cycle and plans to sell up to $1.25 billion of its holdings. Bitmine Immersion Technologies (BMNR), led by Tom Lee, has seen its stock tumble from a high of $161.3 to around $15, while Eightco (ORBS) slid from more than $80 to 64 cents. Twenty One Capital (XXI), which went public on the NYSE via a SPAC merger in December, has lost about 40 percent of its value since the start of the year.
BSTR’s original public‑listing strategy was to raise capital through a SPAC merger and then deploy the proceeds to acquire additional bitcoin and other digital assets. The company’s stated goal is to hold a significant portion of the bitcoin supply in its treasury, but the market downturn has made the original financing terms less attractive to investors. The revised plan will likely involve a smaller capital raise and a more conservative treasury build‑out.
This episode fits into a broader shakeout among digital‑asset treasury firms that sprouted during the summer of 2025. According to reports, many of the companies built on high‑profile SPAC deals are now facing consolidation or exit. Analysts note that the decline in bitcoin and ether prices, coupled with a tightening of capital markets, has eroded the perceived value of holding large balances of digital assets.
BSTR’s leadership has signaled that the firm will continue to pursue its treasury strategy, albeit with a restructured funding approach. The company has not yet disclosed the specifics of the new terms, and the shareholder vote that would approve the merger has been postponed until further notice.
Investors and market observers are now watching how the revised deal will affect the valuation of BSTR and Cantor Equity Partners. The outcome will also influence the trajectory of other DATCOs still raising capital or expanding their treasury holdings.
At present, the merger remains in negotiation. The parties have not announced a new timeline for the shareholder vote or the completion of the transaction. The next development will likely be a formal filing detailing the revised terms and the expected impact on the combined company’s balance sheet and capital structure.
The situation underscores the volatility of the digital‑asset treasury sector and the sensitivity of SPAC‑based deals to broader market conditions. As the industry continues to adjust, the fate of BSTR Holdings and Cantor Equity Partners will serve as a barometer for the viability of large‑scale bitcoin‑treasury models in a market that has moved well below the highs of 2025.
The original deal would have merged BSTR’s bitcoin‑treasury business with Cantor Equity Partners to create one of the largest publicly listed digital‑asset treasury companies, or DATCO. Under that framework, the combined balance sheet would have held more than 30,000 bitcoins and required a private investment in public equity (PIPE) commitment of up to $1.5 billion. According to the filing, the parties are dropping the PIPE requirement and postponing the shareholder vote that was slated for July 10.
The shake‑up follows a steep slide in the share prices of several DATCOs. MicroStrategy (MSTR), the biggest corporate holder of bitcoin, has fallen roughly 75 percent since the high of the 2025 crypto cycle and plans to sell up to $1.25 billion of its holdings. Bitmine Immersion Technologies (BMNR), led by Tom Lee, has seen its stock tumble from a high of $161.3 to around $15, while Eightco (ORBS) slid from more than $80 to 64 cents. Twenty One Capital (XXI), which went public on the NYSE via a SPAC merger in December, has lost about 40 percent of its value since the start of the year.
BSTR’s original public‑listing strategy was to raise capital through a SPAC merger and then deploy the proceeds to acquire additional bitcoin and other digital assets. The company’s stated goal is to hold a significant portion of the bitcoin supply in its treasury, but the market downturn has made the original financing terms less attractive to investors. The revised plan will likely involve a smaller capital raise and a more conservative treasury build‑out.
This episode fits into a broader shakeout among digital‑asset treasury firms that sprouted during the summer of 2025. According to reports, many of the companies built on high‑profile SPAC deals are now facing consolidation or exit. Analysts note that the decline in bitcoin and ether prices, coupled with a tightening of capital markets, has eroded the perceived value of holding large balances of digital assets.
BSTR’s leadership has signaled that the firm will continue to pursue its treasury strategy, albeit with a restructured funding approach. The company has not yet disclosed the specifics of the new terms, and the shareholder vote that would approve the merger has been postponed until further notice.
Investors and market observers are now watching how the revised deal will affect the valuation of BSTR and Cantor Equity Partners. The outcome will also influence the trajectory of other DATCOs still raising capital or expanding their treasury holdings.
At present, the merger remains in negotiation. The parties have not announced a new timeline for the shareholder vote or the completion of the transaction. The next development will likely be a formal filing detailing the revised terms and the expected impact on the combined company’s balance sheet and capital structure.
The situation underscores the volatility of the digital‑asset treasury sector and the sensitivity of SPAC‑based deals to broader market conditions. As the industry continues to adjust, the fate of BSTR Holdings and Cantor Equity Partners will serve as a barometer for the viability of large‑scale bitcoin‑treasury models in a market that has moved well below the highs of 2025.
