Chinese blockchain infrastructure firm Nano Labs is making a bold move into the Binance Coin (BNB) ecosystem, announcing a $500 million convertible notes deal to acquire a significant portion of BNB’s circulating supply. The initiative could give Nano Labs ownership of up to 10% of all BNB tokens, further institutionalizing the asset.
Up to $1B in BNB Acquisition Planned
In a statement released Tuesday, Nano Labs revealed it will fund the BNB acquisition through convertible promissory notes and private placements. The total acquisition goal? As much as $1 billion worth of BNB, depending on market conditions and execution.
“Over the long term, Nano Labs aims to hold 5% to 10% of BNB’s total circulating supply,” the company said.
This move aligns with the company’s broader strategy to establish BNB as a reserve asset within its blockchain operations, signaling deep confidence in Binance’s native token.
Convertible Notes Details
- Maturity: 360 days from issuance
- Interest: Zero interest during the holding period
- Conversion Price: $20 per Nano Labs Class A ordinary share (subject to adjustment)
- Security: Unsecured, and the company notes “no guarantee” of full closing
Investors can convert the notes into equity before maturity. Otherwise, the principal must be repaid.
Stock Soars Following Announcement
Following the news, Nano Labs’ stock price more than doubled, surging over 106% to $22.50, up from $10.90 the previous trading day.
Binance founder Changpeng “CZ” Zhao commented on the move via X, saying:
“Stock went through the roof. We didn’t participate in this round, but we remain extremely supportive.”
His statement affirms Binance’s continued relevance in the institutional crypto space, even amid regulatory scrutiny.
BNB Institutional Demand Grows
This is not the first time BNB has attracted large-scale institutional attention. Earlier this month:
- A crypto hedge fund reportedly sought $100 million to build a BNB-focused portfolio.
- VanEck filed for a spot BNB ETF, signaling interest from traditional finance.
Standard Chartered even predicted that BNB could more than double in 2025, adding further bullish sentiment around the asset.
Why This Matters
This move reflects a broader trend in crypto: BNB is increasingly seen as an institutional-grade asset, alongside BTC and ETH. If Nano Labs succeeds in acquiring 10% of the circulating supply, it could solidify BNB’s role as a de facto reserve asset for blockchain firms, pushing it closer to mainstream financial integration.
Key Takeaways
- Nano Labs aims to buy up to $1B in BNB, funded by $500M in convertible notes
- Stock price surged 106% after the announcement
- BNB demand grows among hedge funds and ETF managers
- No interest on the notes, but repayment or conversion due in 360 days
- BNB’s path to institutional adoption is accelerating rapidly
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.