History may not repeat, but it often rhymes, especially in markets. That might be the case for SoftBank, the Japanese investment powerhouse now stepping back into the crypto arena years after a painful $130 million loss on bitcoin by its founder, Masayoshi Son.

SoftBank has joined forces with crypto players Tether, Bitfinex, and Cantor Fitzgerald to back Twenty One Capital, a new investment firm focused on Bitcoin, Reuters reported.

The move signals renewed interest in crypto from the $308.7 billion asset manager, even as questions linger over whether the group has learned from its past missteps.

Masayoshi Son’s Costly Bitcoin Bet

SoftBank’s previous brush with bitcoin made headlines for the wrong reasons. Masayoshi Son jumped into crypto during the 2017 boom, just as bitcoin peaked near $20,000.

The billionaire founder of SoftBank lost $130 million of his own money by acquiring Bitcoin near the peak and later selling it, ForexLive reported citing Dow Jones.

But when the market crashed in early 2018, he exited, suffering a $130 million loss. If he had held on, his position would have multiplied significantly; Bitcoin now trades above $90,000.

That backdrop makes SoftBank’s new crypto involvement especially noteworthy. Unlike Son’s solo gamble, the current move is part of a collaborative institutional venture, a factor some believe could alter the outcome.

SoftBank’s re-entry into crypto coincides with larger shifts across its investment strategy. Open AI recently announced up to $40 billion funding round led by SoftBank Group, valuing the AI firm at $300 million. The project includes Oracle and OpenAI, with SoftBank positioned as a major contributor.

AI Ambitions and a Broader Investment

At the time of publication, Bitcoin traded for $93,445, representing a nearly 10% price increase in the past week. The total crypto market cap is currently at $2.92 trillion.

The new crypto initiative suggests a more calculated approach from SoftBank. Rather than a personal bet by its founder, this time it's a multi-firm effort embedded in a broader financial strategy. Still, given the past, market watchers remain cautious.

SoftBank’s move could indicate a growing institutional acceptance of bitcoin. The stakes are higher, the environment is more mature, and the partners are more experienced.

Source: Finance Magnates