Key Insights:
- Nano Labs is planning to raise $500 million via convertible notes to acquire up to $1 billion in BNB.
- This aggressive strategy sets up Nano Labs as a major stakeholder in Binance as a platform.
- The convertible notes are unsecured, bear no interest, and can be converted into Nano Labs’ Class A shares at $20.
Altcoins are gaining more and more of a foothold in institutional portfolios. Recently, China-based blockchain infrastructure company Nano Labs announced plans to raise $500 million through a convertible note agreement.
The funds will be used to accumulate up to $1 billion worth of Binance Coin (BNB). This move will also put the company on track to own between 5% and 10% of BNB’s total circulating supply.
This aggressive accumulation strategy has put Nano Labs among the number of corporate entities looking to gain deeper exposure to digital assets aside from Bitcoin. Here are the major details to keep in mind..
A Closer Look at the Deal
The agreement, which was announced on 24 June, shows details of a convertible promissory notes purchase with unnamed private investors.
These notes have a 360-day maturity period and bear no interest.
Announcement#NanoLabs has entered into a $500M convertible notes purchase agreement to launch our $BNB Strategic Reserve. $NA
— Nano Labs (@NanoLabsLtd) June 24, 2025
However, investors will have the option to convert the notes into Nano Labs’ Class A ordinary shares at a fixed price of $20 per share, subject to potential adjustment.
More importantly, the notes are unsecured. This means that they are not backed by any collateral. Nano Labs has pointed out that the deal’s closure depends on standard closing conditions.
In essence, there’s no guarantee it will be completed.
Still, the sheer scale of the plan could shake the entire altcoin market. A full $500 million raise for acquiring BNB shows that Nano Labs is not merely experimenting with tokens.
Instead, it is tying its future to one of the largest altcoins in the market.
Why BNB?
BNB has been a major part of Binance’s trading platforms and even defi protocols from the start.
Users spend BNB on everything from transaction fee discounts, smart contract execution on the BNB Chain to staking and more.
Nano Labs said it plans to fully evaluate BNB’s utility, security features and possible long-term value creation before moving ahead with the deal.
And in doing so, the firm is setting itself up not just as a holder, but also as a stakeholder in the success of the Binance platform. If the full plan comes to fruition, Nano Labs could become one of the largest non-Binance BNB holders in the world.
Changpeng Zhao Weighs In on Nano Labs’ Move
While Binance co-founder and former CEO Changpeng “CZ” Zhao made it clear that neither he nor any other affiliated entities participated in the funding round, he was quick to show support.
Nano Labs Ltd (Nasdaq: NA) becomes a $BNB-only strategic reserve public co, bringing $500 million to BNB.
Their stock price went through the roof. We (my affiliated entities) did not participate in this round, but remain extremely supportive.
Not financial advice! https://t.co/2ULQ6NGDBG
— CZ
CZ shared Nano Labs’ announcement on X, and noted that the firm’s stock had surged soon after the news.
And it did surge. Nano Labs’ share price more than doubled, closing at $22.50 from $10.90 the previous trading day. This market reaction shows that there is a great deal of investor enthusiasm around the company’s crypto strategy.
Bitcoin Still Dominates Institutional Interest
While Nano Labs is going against the grain by targeting BNB over BTC, other firms are sticking with the original cryptocurrency.
On June 12, Nasdaq-listed Mercurity Fintech Holding raised $800 million to build its own Bitcoin reserve.
Around the same time, France-based Blockchain Group announced a $340 million fundraising effort with a similar endgame.
As it stands, institutions are now more and more willing to invest heavily in crypto. However, they are becoming more selective about which ones.
What’s Next for Nano Labs?
For now, Nano Labs has only completed the first phase of its BNB strategy. No detailed timeline has been released for the full $1 billion accumulation. Though, the company describes the ongoing raise as the beginning of a much larger digital asset roadmap.
In the coming months, the crypto space will be watching more closely.
Will Nano Labs complete the full raise? Will it follow through on its target to control up to 10% of BNB’s circulating supply? More importantly, will other tech firms follow its lead?
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