Nano Labs Acquires $50M BNB in Strategic Crypto Shift

Nasdaq-listed Nano Labs has officially kicked off its ambitious Binance Coin (BNB) accumulation strategy with a significant over-the-counter (OTC) purchase. The company acquired 74,315 BNB tokens for approximately $50 million, paying an average price of $672.45 per token. This acquisition marks a major pivot for the China-based chipmaker, known primarily for its high-throughput computing chips used in Bitcoin mining and AI systems.

With this purchase, Nano Labs now holds about $160 million in digital assets, including Bitcoin and BNB, and has announced plans to own between 5% and 10% of the total circulating supply of Binance Coin over time. This move establishes the firm as the first U.S.-listed public company to adopt Binance Coin as a treasury anchor.

A Strategic Shift Beyond Chipmaking

Nano Labs’ $50 million purchase of BNB is more than a routine treasury move; it represents a strategic overhaul of its business model. The company’s recent financials reveal a sharp decline in its traditional hardware sector. Revenues dropped 39% year-over-year to $2.2 million in the second half of 2024, while operating losses stood at $8.4 million despite cost-cutting efforts.

Despite recent revenue declines and operational losses, Nano Labs has aggressively cut costs, slashing research and development expenditures by 62%. Inventory adjustments have also helped improve gross margins. 

However, the decline in hardware sales and shrinking revenues have compelled Nano Labs to rethink its future. Its decision to scale up crypto reserves—initially by holding 400 BTC acquired for $40 million—now extends to Binance Coin, a token closely linked to one of the most active blockchain ecosystems. 

Nano Labs plans to finance its BNB accumulation through convertible notes and private placements, targeting a total of $1 billion in BNB purchases over time. The company recently raised 600 BTC (about $63.6 million) via its first convertible notes offering, part of which was converted strategically into BNB.

Why Binance Coin?

BNB is the native token of Binance’s blockchain ecosystem and ranks among the top five cryptocurrencies by market capitalization, currently valued near $88 billion. Beyond its value as a tradable asset, BNB serves multiple functions within the Binance ecosystem, including trading fee discounts, token burns, and smart contract operations.

Nano Labs’ focus on BNB distinguishes it from many companies that concentrate primarily on Bitcoin or Ethereum reserves. The company believes in BNB’s potential as a “platform-native utility token,” offering greater practical value and use cases in decentralized finance (DeFi) and blockchain applications.

While BNB currently trades at a discount due to regulatory pressures surrounding Binance, Nano Labs’ aggressive accumulation strategy could influence institutional perception and valuation of the token. If Nano successfully amasses between 5% and 10% of BNB’s circulating supply, it would significantly impact market dynamics and signal strong institutional confidence in the asset.

Industry Context

Nano Labs’ move is part of a broader trend where publicly traded companies integrate cryptocurrencies into their treasury strategies. The practice began in earnest with MicroStrategy’s Bitcoin purchases starting in 2020 and has since expanded to include other tokens and platforms.

Notably, former Coral Capital Holdings partners are reportedly working to raise $100 million to buy BNB, planning to convert a Nasdaq-listed shell company into Build & Build Corporation, which would hold BNB as a treasury asset.

Diversifying crypto reserves allows companies to hedge against inflation and position themselves for growth in an emerging digital economy.