Chinese chip manufacturer Nano Labs has announced an ambitious plan to purchase up to 10% of the circulating BNB for $1 billion, raising both interest and questions in the cryptocurrency market.
Nano Labs' Strategy for Acquiring BNB
Nano Labs has recently made a new purchase of $50 million in BNB. Its primary aim is to build a treasury focused entirely on cryptocurrency. The company now holds digital assets worth $160 million (including BNB and Bitcoin). According to its recent press release, it aims to acquire between 5% and 10% of the circulating supply of Binance's native token.
Market Skepticism
However, the market remains skeptical. The initial announcement of the plan caused stock prices to jump by 106%, but after the last purchase, it fell by 6.7%. Notably, BNB only rose by 0.3%. Acquiring 10% of BNB would require more than $926 million at the current price, while 71% of the supply is still held by Binance and its former CEO CZ, making Nano Labs' goal nearly unrealistic.
Criticism of Nano Labs’ Strategy
The strategy of Nano Labs is not universally approved among cryptocurrency experts. For example, Anthony Scaramucci, founder of SkyBridge Capital, expresses doubts about the long-term viability of crypto treasuries. He suggests it would be better to invest directly in the token. Even though he is bullish on Bitcoin, he urges investors to consider the hidden costs associated with such structures.
Nano Labs' crypto bet intrigues as much as it worries. Whether this is a strategic turning point or a risky hype remains to be seen. In any case, the cryptocurrency market is watching closely.
