BNB maintains gains as Nano Labs unveil $500 million treasury plan
- Nano Labs announced plans to raise $500 million to establish a BNB treasury.
- The announcement follows an earlier report that hedge fund executives intend to set up a $100 million BNB treasury through an unidentified company.
- BNB recorded a 3% gain over the past 24 hours following the development.
BNB saw a 3% gain on Tuesday as Nano Labs announced it entered a convertible notes purchase agreement to raise $500 million for a BNB treasury.
BNB rises as companies race for treasury reserve
Nasdaq-listed web3 infrastructure provider Nano Labs is preparing to establish a BNB treasury through a convertible note offering, according to a press release on Tuesday. The company entered into a purchase agreement to raise $500 million by offering zero-coupon convertible notes, which are set to mature in 360 days.
Nano Labs shared that it will assess the security and price of BNB before funding the treasury. It aims to purchase up to $1 billion worth of BNB from the sales of its convertible note. The company also plans to hold up to 10% of BNB's total circulating supply over the long term.
Binance founder Changpeng Zhao (CZ) celebrated the announcement in an X post, citing that neither he nor his entities have participated in Nano Labs' fundraising initiative.
The announcement comes barely a day after reports that former Coral Capital Holdings executives intend to launch a BNB-focused treasury. The public company, which will reportedly be renamed Build & Build Corporation, will be used to establish a $100 million treasury.
The move highlights a rising interest in BNB-focused crypto treasury strategies, joining the likes of Solana (SOL), XRP and Ethereum (ETH).
BNB is up 3% over the past 24 hours, testing the $645 resistance, which is strengthened by the 200-day Simple Moving Average (SMA). BNB could rally toward the $700 psychological level if it sees a crossover above $645 and breaks a descending trendline resistance. However, a rejection could send the altcoin to $600 if the $615 support fails.
BNB/USDT daily chart
The Relative Strength Index (RSI) and Stochastic Oscillator (Stoch) have risen toward their neutral levels, indicating a weakening bearish pressure.
Author
Michael Ebiekutan
FXStreet
With a deep passion for web3 technology, he's collaborated with industry-leading brands like Mara, ITAK, and FXStreet in delivering groundbreaking reports on web3's transformative potential across diverse sectors. In addi
