{"id":158574,"date":"2026-04-30T00:37:57","date_gmt":"2026-04-30T00:37:57","guid":{"rendered":"https:\/\/mycryptomania.com\/?p=158574"},"modified":"2026-04-30T00:37:57","modified_gmt":"2026-04-30T00:37:57","slug":"strike-ceo-jack-mallers-announces-lending-proof-of-reserves-volatility-proof-loans-and-backs-tether-merger-plan","status":"publish","type":"post","link":"https:\/\/mycryptomania.com\/?p=158574","title":{"rendered":"Strike CEO Jack Mallers Announces Lending Proof-of-Reserves, Volatility-Proof Loans, and Backs Tether Merger Plan"},"content":{"rendered":"

Bitcoin Magazine<\/a><\/p>\n

Strike CEO Jack Mallers Announces Lending Proof-of-Reserves, Volatility-Proof Loans, and Backs Tether Merger Plan<\/a><\/p>\n

<\/div>\n

Strike CEO Jack Mallers announced a series of product updates and strategic moves Wednesday, including the launch of lending proof-of-reserves, a new \u201cvolatility-proof\u201d bitcoin-backed loan structure built with Tether, and a $2.1 billion credit facility.\u00a0<\/p>\n

He also said he supports a proposal<\/a> by Tether Investments to merge Strike with Twenty-One Capital and bitcoin miner Elektron Energy.<\/p>\n

Mallers said Strike\u2019s<\/a> bitcoin-backed loan and line-of-credit business has grown since launch, with users drawn to the ability to borrow against bitcoin rather than sell it.\u00a0<\/p>\n

He described bitcoin as a savings account for many customers and said Strike cut its rate tiers across the board. Pricing now ranges from approximately 10.5% APR for loans under $250,000 to approximately 7.49% APR for loans above $5 million.<\/p>\n

Strike announced the first iteration of its lending proof-of-reserves, which gives borrowers the ability to verify that their collateral is present and segregated in a distinct on-chain address.\u00a0<\/p>\n

\u201cWe want you to trust us and know that we are who we say we are,\u201d Mallers said. The disclosure mechanism was developed in partnership with Tether, which Mallers<\/a> credited with helping Strike build the transparency infrastructure.<\/p>\n

The two companies also jointly developed what Mallers called \u201cvolatility-proof\u201d bitcoin-backed loans, a structure that removes the risk of forced liquidation when bitcoin prices fall or broader markets drop.\u00a0<\/p>\n

Mallers said the segregated collateral product is available now through Strike\u2019s private client desk, and the volatility-proof loan feature is available to customers as part of the bitcoin-backed lending suite.<\/p>\n

Mallers announced that Strike has secured a $2.1 billion credit facility, which he said gives the company capacity to meet demand at any order size within its lending business.<\/p>\n

Merger proposal<\/h2>\n

Earlier Wednesday, Tether Investments published a proposal to merge Twenty-One Capital with Strike and Elektron Energy, a large-scale bitcoin mining operator that manages approximately 50 EH\/s, or roughly 5% of the current Bitcoin network hashrate.\u00a0<\/p>\n

Tether said the combined entity would integrate bitcoin treasury holdings, mining, financial services, lending, and capital markets under a single listed platform.<\/p>\n

Mallers said he backs the plan. \u201cSimply put, I think it\u2019s a great idea,\u201d he said, adding that building a Bitcoin company \u2014 not a narrow payments app \u2014 was his founding goal. Elektron founder Raphael Zagury has been proposed as President of the combined entity under the plan.<\/p>\n

The bitcoin company quadrant and Maller\u2019s vision<\/h2>\n

Mallers used a quadrant framework onstage to argue that the Bitcoin industry has a gap at the intersection of high conviction and high operating income.\u00a0<\/p>\n

He placed crypto exchanges<\/a> in the high-income, low-conviction corner, saying they run profitable businesses but list many coins and build products across asset classes. He placed bitcoin treasury companies in the high-conviction, low-income corner, describing them as deeply committed to bitcoin but limited in operating business scope.\u00a0<\/p>\n

He cited Coinbase as an exchange that could carry more bitcoin on its balance sheet, and praised MicroStrategy executive chairman Michael Saylor while drawing a distinction between a treasury strategy and a product strategy. \u201cI love him and his company,\u201d Mallers said of Saylor, \u201cbut I want to build bitcoin products.\u201d<\/p>\n

His answer to the gap was a four-pillar model: a financial services arm covering brokerage, custody, lending, payments, treasury, and prime services; bitcoin infrastructure spanning energy, power generation, mining, hardware, and hosting; a capital markets operation built around loan-book securitization, mining revenue securitization, bitcoin-backed debt, and structured products; and a mergers-and-acquisitions function targeting profitable bitcoin businesses across software, custody, payments, energy, and distribution.\u00a0<\/p>\n

The stated goal of the M&A arm, as presented on his slide, is to give \u201cevery dollar of operating income one job: buy more Bitcoin.\u201d<\/p>\n

Mallers closed by saying a platform of that scope could \u201cchange the world with its products\u201d and cited a phrase he has used throughout his career: \u201cFix the money, fix the world.\u201d<\/p>\n

This post Strike CEO Jack Mallers Announces Lending Proof-of-Reserves, Volatility-Proof Loans, and Backs Tether Merger Plan<\/a> first appeared on Bitcoin Magazine<\/a> and is written by Micah Zimmerman<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

Bitcoin Magazine Strike CEO Jack Mallers Announces Lending Proof-of-Reserves, Volatility-Proof Loans, and Backs Tether Merger Plan Strike CEO Jack Mallers announced a series of product updates and strategic moves Wednesday, including the launch of lending proof-of-reserves, a new \u201cvolatility-proof\u201d bitcoin-backed loan structure built with Tether, and a $2.1 billion credit facility.\u00a0 He also said he […]<\/p>\n","protected":false},"author":0,"featured_media":158575,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-158574","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/158574"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=158574"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/158574\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/media\/158575"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=158574"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=158574"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=158574"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}