Building the Berkshire Hathaway of Bitcoin | Twenty One Capital CEO Rapha Zagury
Bitcoin Magazine Building the Berkshire Hathaway of Bitcoin | Twenty One Capital CEO Rapha Zagury Twenty One Capital holds 43K BTC at a discount. CEO Rapha Zagury breaks down its mNAV, share buybacks...
Twenty One Capital holds 43K BTC at a discount. CEO Rapha Zagury breaks down its mNAV, share buybacks, and why Tether's backing provides a permanent edge.
Twenty One Capital holds roughly 43,000 Bitcoin but trades at a discount, and CEO Rapha Zagury is working to fix that. He breaks down how to calculate Twenty One’s mNAV, why he doesn’t love the metric for an operating company, and whether share buybacks could be on the table. He also explains how Tether’s backing gives Twenty One permanent capital, a key edge over other treasury companies.
Chapters:0:00 – Twenty One CEO Rapha Zagury on Building the Berkshire Hathaway of Bitcoin0:53 – What Twenty One Looks for in Bitcoin Acquisition Targets3:10 – Twenty One’s Five Pillars and Tether’s Backing6:57 – mNAV, the 30% Discount and Share Buybacks9:38 – Would Twenty One Issue Preferred Stock Like Strategy?11:01 – Building a Bitcoin Capital Markets and Energy Trading Arm12:48 – Why Bitcoin Is the Best Collateral for Lending15:49 – Bitcoin’s Strength vs. Gold Amid Macro Uncertainty19:21 – Institutions as Bitcoin’s Next Big Buyers21:30 – Hash Rate Bear Market, AI and Bitcoin Mining Opportunities
DISCLAIMER: The views and opinions expressed in this show are those of the participants and do not necessarily reflect the official policy or position of BTC Inc., Bitcoin Magazine, or any affiliated entities. This content is provided for informational and educational purposes only and should not be construed as investment, legal, tax, or accounting advice. Nothing contained in this show constitutes a solicitation, recommendation, endorsement, or offer to buy or sell any securities or financial instruments. Viewers should consult their own advisors before making financial or business decisions.
Asanat Analysis — Why it matters
Twenty One Capital's strategy mirrors the Berkshire playbook: accumulating Bitcoin at discount-to-NAV valuations, executing share buybacks to compress the discount, and positioning as a long-duration holder rather than a trading vehicle. With 43K BTC (~$2.7B notional at current prices), the vehicle is material enough to influence market microstructure during volatility events. The mNAV (modified NAV) framework signals management believes intrinsic Bitcoin value exceeds current spot pricing—a narrative that gains traction during periods of institutional uncertainty or regulatory overhang.
This structure addresses a persistent inefficiency: public Bitcoin exposure vehicles (trusts, ETFs, closed-end funds) trade at persistent premiums or discounts to underlying asset value. Twenty One Capital's explicit focus on NAV management implies confidence that Bitcoin volatility will eventually compress spreads, rewarding long-term shareholders. Historically, similar approaches (e.g., closed-end equity funds trading at discount) have worked during bull markets but created capital traps during extended bearish cycles. The buyback program functions as a valuation floor only if the organization maintains sufficient capital reserves.
The comparison to Berkshire Hathaway carries implicit claims about governance durability and decision-making autonomy that cryptocurrency vehicles have rarely sustained across multiple market regimes. Success depends on whether the Bitcoin thesis remains uncorrelated to broader macro stress.