Tether-backed Twenty One Capital reports $1.09 billion Q3 net income on bitcoin gains

JUST IN: Tether-backed Twenty One Capital reports $1.09 billion in Q3 net income on bitcoin gains, despite posting a $4.8 million operating loss.

A billion dollar profit from a company that lost money running itself.

Twenty One Capital, the Tether-backed bitcoin treasury firm, just reported one point zero nine billion dollars in third quarter net income. Nearly every cent of it came from paper gains on the 43,514 bitcoin it's sitting on, marked at about eighty three thousand seven hundred each at the end of September. Strip that out and the actual operation lost four point eight million dollars.

Even the CEO isn't pretending. Rapha Zagury told shareholders, a balance sheet is not a business, it is our starting point. Refreshingly honest for a guy who just printed a billion. He's now eyeing mining, lending and share buybacks to build something real underneath the pile.

And the catch, bitcoin's been sliding since that September snapshot, it's under sixty nine thousand today, and the firm is still down 186 million on the year. Last quarter's billion can vanish exactly the way it arrived.

This is Sara White, reporting for HIT.