(Reuters) – Brandon Rutnick, son of U.S. Commerce Secretary Howard Lutnick and son of brokerage Cantor Fitzgerald, is partnering with SoftBank, Tether and Bitfinex to create a multi-billion-dollar Bitcoin acquisition vehicle, the Financial Times reported Tuesday.
The vehicle, Cantor Equity Partners, uses cash to create a new company called 21 Capital. When they receive $3 billion in Bitcoin from other cryptocurrency investors and trading companies, the report names and quotes unnamed sources.
According to the report, Tether will donate $1.5 billion in Bitcoin, while SoftBank and Bitfinex will donate $900 million and $600 million in digital currencies, respectively.
The FT said the announcement is likely to come in the coming weeks. However, he added that the transaction still fails and the numbers could change.
Cantor CEO billionaire Howard Lutnick resigned last month to run President Donald Trump’s Department of Commerce. His sons, Brandon and Kyle Lutnick, each took over as chairman and vice-president of the brokerage.
Trump has promised to be the “crypto president” who will popularize mainstream use in the United States. He said he supports crypto because it can improve the banking system and increase control of the US dollar.
Cantor, SoftBank, Tether and Bitfinex did not immediately respond to Reuters’ requests for comment.
(Reporting by Janaki Venugopalan of Bengaluru, Editing by Alan Barona)