Crypto mining chip design company Nano Labs on Thursday said it has received 600 BTC as part of the initial investment in $500 million convertible notes deal. The company plans to acquire $1 billion in BNB tokens through convertible notes and private placements.
Nano Labs Receives $63.6 Million in BTC
According to a filing with the U.S. SEC, Nano Labs disclosed additional details regarding the $500 million convertible notes private placement for its BNB treasury strategy. The company revealed that it has received 600 Bitcoin worth nearly $63.6 million and issued two notes to the investors.
Notably, convertible promissory notes in the aggregate principal amount of $500 million are payable in cash or an equivalent amount of cryptocurrencies. After the latest raise, Nano Labs holds 1,000 BTC in its treasury.
“The company is doubling down on its BNB treasury strategy. BNB will be at the core of our next phase,” said Nano Labs.
On June 24, the company announced a plan to buy $1 billion worth of BNB through convertible notes and private placements in the initial phase. And in the long term, Nano Labs aims to hold 5% to 10% of BNB’s total circulating supply. Notably, 5% of BNB circulating supply accounts for 7 million BNB tokens, valued at $4.5 billion at the current price.
Nano Labs (NA) stock price has jumped by more than 14% in the premarket trading hours on Thursday. The price is up 205% in a month after the firm announced Bitcoin and BNB treasury strategy, as per Yahoo Finance.
BNB Price Continues Sideways Movement After Recovery
BNB price is moving range-bound between $640-$650 after recovering from a crash earlier this week. The price is trading at $647.72 at the time of writing. The 24-hour low and high were $642.56 and $649.98, respectively. Furthermore, the trading volume has decreased by 5% in the last 24 hours, indicating a slight decline in interest among traders.
In the daily timeframe, BNB price is below 50-SMA, but above 100-SMA and 200-SMA at the time of writing. Whereas, the Relative Strength Index (RSI) slightly rose to 50.48, signaling a potential upside move in the coming days.
