Strike CEO Jack Mallers announced major product expansions and endorsed a proposed merger that could reshape opportunities in bitcoin financial services. The company launched lending proof-of-reserves, introduced "volatility-proof" bitcoin-backed loans, and secured a $2.1 billion credit facility to scale its lending operations.
The announcements come as Mallers backed a Tether Investments proposal to merge Strike with Twenty-One Capital and bitcoin mining operator Elektron Energy, which controls approximately 5% of Bitcoin's network hashrate.
New Products Signal Growth in Bitcoin Lending
Strike rolled out proof-of-reserves for its lending business, allowing borrowers to verify their collateral exists in segregated on-chain addresses. The company developed this transparency infrastructure in partnership with Tether, reflecting growing demand for verifiable custody solutions in crypto financial services.
The platform also launched volatility-proof bitcoin-backed loans that eliminate forced liquidation risk during price drops. Both features are now available through Strike's private client desk, with loan rates ranging from 10.5% APR for amounts under $250,000 to 7.49% APR for loans exceeding $5 million.
The $2.1 billion credit facility provides Strike with expanded capacity to meet institutional demand across loan sizes, signaling potential hiring needs in credit operations, risk management, and private client services.
Merger Proposal Targets Integrated Bitcoin Platform
The proposed three-way merger would combine bitcoin treasury management, mining operations, financial services, and capital markets under one entity. Elektron Energy founder Raphael Zagury is proposed to serve as President of the combined company.
Mallers outlined a four-pillar operational model covering financial services (brokerage, custody, lending, payments), bitcoin infrastructure (energy, mining, hardware), capital markets (securitization, structured products), and M&A targeting profitable bitcoin businesses. The stated M&A strategy focuses on directing operating income toward bitcoin acquisition.
Workforce Implications
This consolidation strategy suggests growing demand for professionals who bridge multiple domains—from mining operations and energy infrastructure to structured finance and custody solutions. The model represents a shift from specialized bitcoin companies toward integrated platforms requiring cross-functional expertise.
For web3 professionals, the developments signal expanding career paths in bitcoin-native financial services, particularly roles combining traditional finance skills with bitcoin technical knowledge and regulatory compliance experience.
