Nano Labs Positions as BNB Strategic Reserve with $500 Million Allocation

On June 24, Nano Labs Ltd (Nasdaq: NA) announced a $500 million private placement of convertible notes as part of its BNB treasury strategy. The notes will mature in 360 days and offer investors the flexibility to either convert their holdings into company shares or receive full repayment upon maturity. No interest will accrue on the outstanding principal amount.

According to the agreement, note holders can choose to convert all or part of their notes into Nano Labs' Class A ordinary shares at an initial conversion price of $20 per share. This conversion price is subject to adjustments based on the terms set forth in the notes. The notes are unsecured general obligations of the company, meaning they are not backed by specific assets.

This issuance is part of Nano Labs’ broader strategic growth plan, which includes a significant investment in BNB, the native token of the BNB Chain. In the initial phase, Nano Labs plans to acquire up to US$1 billion worth of BNB through convertible bonds and private placements. The company ultimately aims to hold 5% to 10% of BNB’s total circulating supply.

CZ: More Companies Are Planning BNB Treasury Strategies Worldwide

Changpeng Zhao (CZ), the founder and former CEO of Binance, responded to the announcement, stating, "Nano Labs Ltd (Nasdaq: NA) becomes a $BNB-only strategic reserve public co, bringing $500 million to BNB." He also clarified, “We (my affiliated entities) did not participate in this round, but remain extremely supportive.”

This development is part of a broader trend of growing institutional interest in BNB. On June 23, Bloomberg reported that a team of crypto hedge fund executives is planning to raise $100 million to invest in BNB. CZ further noted that other companies around the world are also planning similar BNB treasury strategies. He emphasized that BNB is a public blockchain native coin and is not linked to Binance Holdings Ltd or the Binance centralized exchange (CEX).

Nano Labs Stock Surges Nearly 200% After BNB Treasury Announcement

Following the announcement, Nano Labs' stock experienced a sharp rally of nearly 200%, driven by investor excitement about its BNB treasury strategy. Trading volume spiked significantly during the rally. The stock price has since pulled back and is now stabilizing around the $14 to $15 range.

Besides, Nano Labs also announced on June 23 its intention to apply for licenses to issue Hong Kong Dollar (HKD) and offshore Renminbi (RMB) stablecoins.

As regulatory frameworks evolve in Asia, particularly in Hong Kong, Nano Labs' expansion into both the BNB ecosystem and the stablecoin market reflects the growing interest from companies exploring opportunities in the digital asset space.