Nano Labs Surges on $500M Convertible Notes for BNB Treasury Plan

Nano Labs Ltd (NASDAQ: NA) shares spiked 168% on Tuesday following the company's announcement of a $500 million convertible notes offering to fund a massive BNB accumulation strategy.

The stock surged from Monday's close of $10.89 to an intraday high of $29.18 before closing at $14.85. After-hours trading saw shares decline further to $13.55.

The Hong Kong-based Web 3.0 company plans to acquire $1 billion worth of BNB through convertible notes and private placements, with a long-term goal of holding 5% to 10% of the cryptocurrency's total circulating supply, according to a statement .

The initial $500 million convertible notes mature in 360 days with zero interest. The notes convert to Class A ordinary shares at $20 per share - an 84% premium to Monday's closing price.

The convertible notes are unsecured and subject to customary closing conditions. Nano Labs cautioned that "there is no guarantee that closing will happen in full or at all."

The conversion price represents significant upside expectations, trading at a 34% premium to Tuesday's closing price despite the stock's massive rally.

The extreme volatility reflects investor speculation about the cryptocurrency treasury strategy, similar to corporate Bitcoin adoption seen in previous market cycles. The sharp pullback from intraday highs suggests profit-taking as investors weigh execution risks against potential upside from BNB holdings.

Nano Labs operates as a Web 3.0 infrastructure provider primarily serving China. The BNB strategy would represent a significant shift toward cryptocurrency treasury management alongside its core business operations.