Bitcoin Treasury Twenty One Shifts Strategy Under New CEO

Bitcoin treasury firm Twenty One is changing its business model. Raphael Zagury, who took over as CEO in July, sent a letter to shareholders on Tuesday addressing recent concerns. The company posted a net loss of $413.5 million in the second quarter of 2026, driven mostly by a non cash change in the fair value of its Bitcoin holdings.

Public crypto treasuries have struggled in 2026 due to a steep drop in Bitcoin prices. The leading cryptocurrency has fallen about 50 percent from its all time high of $126,080 reached in October. Zagury noted that shareholders were worried about the stock trading at a discount to its Bitcoin assets and growing too slowly. He stressed that the firm must become more than just a place to store coins.

To fix this, Twenty One plans to build a conservatively managed crypto backed credit business and fund Bitcoin developers without conditions. The firm holds 43,514 coins worth roughly $2.7 billion, making it the second largest public corporate holder. Zagury emphasized that investors wanting direct exposure should just buy Bitcoin, while Twenty One aims to offer a way to own businesses built around the ecosystem.

Traders should watch how quickly the new leadership can hire operating talent and launch its credit services. The company's stock has dropped over 50 percent year to date alongside the broader crypto market correction, proving that corporate treasury models face heavy pressure during prolonged bear trends.