Crypto trading firm FalconX to buy ETF manager 21shares
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The news: Crypto broker FalconX has agreed to acquire 21shares, the provider of the world’s largest suite of cryptocurrency exchange-traded funds and products (ETFs/ETPs) as a more welcoming US regulatory climate spurs deals across digital assets.
The numbers: Terms of the transaction, which was financed through a mix of cash and equity, weren’t disclosed.
FalconX, founded in 2018, has facilitated more than USD2 trillion in crypto trades for more than 2,000 institutional clients. The private company raised USD150 million in venture financing in 2022, valuing the firm at USD8 billion, and is now considering an initial public offering, the WSJ reports.
Also founded in 2018, 21shares has grown into a global leader in digital asset ETPs, managing over $11 billion in assets across 55 listed products as of September 30, 2025. The company is known for having launched one of the first US spot bitcoin ETFs, with Cathie Wood’s ARK Investment Management in 2024.
The context: The combined company will develop crypto funds focused on derivatives and structured products, and reflects a surge in dealmaking across the sector as the Trump administration pushes to create a more friendly regulatory environment.
Coinbase acquired Echo in a USD375 million deal earlier this week, while Ripple Labs agreed to buy GTreasury for USD1 billion.
What they said: Raghu Yarlagadda, CEO of FalconX said: “We’re witnessing a powerful convergence between digital assets and traditional financial markets, as crypto ETPs open new channels for investor participation through regulated, familiar structures. FalconX has built the institutional backbone for trading, derivatives, and credit, and extending that infrastructure into listed markets through 21Shares is a natural next step toward strengthening market efficiency. For FalconX, this is a deliberate, long-term investment in building durable enterprise value across market cycles.”
