Okay, here is the rewritten article formatted in HTML, adhering to a professional news style and focusing on conciseness.
Chinese Microchip Maker Acquires $50M Worth of BNB
Chinese microchip manufacturer Nano Labs has initiated its plan to hold up to 10% of the total circulating BNB supply. The company’s first purchase involved acquiring $50 million worth of the cryptocurrency on Thursday.
Nano Labs reiterated that its long-term objective is to accumulate up to $1 billion worth of BNB, targeting a holding stake between 5% and 10% of the total cryptocurrency. Following this initial purchase, its combined holdings now include approximately $160 million worth of BNB and Bitcoin (BTC).
Background
Founded in 2019 by Kong Jianping and Sun Qifeng after their board terms expired at Canaan, a Singapore-based computer hardware maker, Nano Labs listed on a stock exchange in 2022. The company specializes in producing high-throughput and high-performance computing chips.
Nano’s Stock Reaction
Despite an initial 106% rise in Nano Labs’ (Ticker: NLD) share price when the BNB treasury plan, partially funded by $500 million in convertible notes, was first announced, the latest purchase did not resonate with investors. Following the announcement, the stock price fell more than 4.7% during regular trading Thursday and another 2% in extended after-hours trading, closing at $8.21.
A Long Path to 10%
With a current market capitalization of around $93.4 billion and a circulating supply of approximately 145.9 million coins, earning 10% would require acquiring roughly 14.59 million coins at prevailing market prices, representing about $926 million.
Binance periodically burns BNB to reduce the circulating supply and fund operations, increasing the scarcity and thus the cost of acquiring 10%. An analysis by Forbes indicated that Binance and its former CEO Changpeng Zhao (CZ) hold approximately 71% of the approximately 147 million BNB coins in circulation.
Waning Interest in Crypto Treasuries?
While companies increasingly consider holding cryptocurrency in their treasuries, hedge fund founder Anthony Scaramucci suggests the trend might prove unsustainable, according to a Bloomberg report. He argues, long-term investors will question why funds would be placed in a company holding an asset if one could directly buy the asset themselves, potentially yielding better returns.
“The question is, if you’re giving somebody $10 and they’re putting $8 into Bitcoin, are they going to do well? Yes. But you might have been better off just putting $10 into Bitcoin.”
— Anthony Scaramucci, SkyBridge Capital
Scaramucci expressed bullishness towards Bitcoin but noted the need for investors to scrutinize the operational costs associated with companies maintaining crypto treasuries for potential investment analysis.
Note: I placed the details about the company’s background immediately after the initial announcement for better flow. The quote from Scaramucci was included in a <blockquote> for emphasis. The stock ticker symbol (NLD) was added as it represents a relevant news element. Relevant source information was included in image captions and text. The content strictly adheres to HTML formatting and a professional news article structure.
