CEA Industries Acquires $160M in BNB Holdings

CEA Industries' subsidiary, BNC, announced on Sunday its acquisition of 200,000 BNB for $160 million, making it the largest public holder of this cryptocurrency. The purchase was executed through the company's treasury management wing, BNB Network Company. Last month, the Nasdaq-listed firm revealed a strategic shift from nicotine vapes to establishing a BNB treasury, changing its ticker symbol from VAPE to BNC. They successfully raised $500 million in a private placement to back this strategy, led by 10X Capital and Changpeng Zhao's YZi Labs. BNC’s press release stated, "Deflationary token burns, increased on-chain activity, and possible catalysts like a BNB spot ETF make this asset an attractive long-term investment." The company aims to boost institutional participation in the BNB ecosystem, which is currently limited in the U.S. BNC intends to continue purchasing BNB until its initial treasury capital is exhausted and may pursue an additional $750 million through its warranty structure, potentially totaling $1.25 billion in BNB acquisitions. The trend of corporate crypto treasuries is growing beyond Bitcoin and Ether, with firms like Nano Labs and Windtree allocating around $500 million to their own BNB treasuries. As of now, BNB stands as the fourth largest cryptocurrency by market capitalization and is the native token of BNB Chain, which ranks third in total value locked. BNB has seen a 1% increase in the last day, currently trading at $820.5, according to The Block's BNB price page. According to Google Finance data, CEA Industries saw a 3.7% rise to $17.10 on Nasdaq last Friday, marking a 92% increase since the announcement of its BNB strategy. Disclaimer: The Block is an independent media outlet providing news, research, and data. As of November 2023, Foresight Ventures is a majority investor in The Block, which maintains its independence to deliver timely and impactful information about the crypto sector. This article is for informational purposes only and not intended as legal, tax, investment, or financial advice.