Binance Co-Founder Backs New BNB Treasury Firm Aiming for US IPO

Binance co-founder Changpeng Zhao’s family office, YZi Labs, has announced its backing for a new treasury firm focused on BNB, the native token of the Binance Smart Chain. This firm, named “The BNB Treasury Company,” aims to provide investors with exposure to BNB and is planning to go public on a major US exchange.

YZi Labs revealed on Wednesday that it will support 10X Capital in establishing this new company. 10X Capital will act as the asset manager for the planned BNB buying company, with David Namdar appointed as its CEO. Namdar is a senior partner at 10X Capital and a co-founder of Galaxy Digital, where he previously served as co-head of trading.

The BNB Treasury Company is part of a growing trend where firms are acquiring large amounts of cryptocurrencies to offer Wall Street a means of investing in digital assets. BNB, originally known as Binance Coin, is a token created by Binance, the world’s largest crypto exchange by volume. It provides holders with discounts on the platform and is used in various products on the BNB Chain blockchain.

According to 10X Capital founder and CEO Hans Thomas, BNB Chain is one of the largest and highest-performing digital asset ecosystems globally, powering hundreds of millions of users. However, institutional and retail investors in the US have limited exposure to the growth of BNB. Ella Zhang, Head of YZi Labs, echoed this sentiment, stating that BNB Chain is one of the most widely adopted blockchain ecosystems and that expanding its institutional access can deliver meaningful benefits to the broader public.

The BNB Treasury Company expects to announce the closing of its related financing in the coming weeks. This move is seen as a proxy to allow traders to invest in a crypto exchange, potentially opening the US market to Binance.

The investment by Zhao's family office highlights the growing interest in the cryptocurrency sector and the potential for significant financial returns. The firm's decision to pursue an IPO indicates a desire to tap into public markets for additional capital and to provide liquidity to existing shareholders. This move could also attract more institutional investors, further bolstering the firm's financial position and market presence.

The backing from Zhao's family office is a testament to the confidence in the firm's capabilities and the potential of the BNB ecosystem. The firm's focus on BNB, one of the most widely used cryptocurrencies, positions it well to capitalize on the growing adoption of blockchain technology and decentralized finance (DeFi) applications.

The potential IPO of the BNB Treasury Company is a significant development in the cryptocurrency industry. It represents a shift towards greater institutional involvement and mainstream acceptance of digital assets. As more firms in the sector pursue public listings, it could lead to increased regulatory scrutiny and the development of more robust frameworks for managing and investing in cryptocurrencies. This, in turn, could foster greater stability and growth in the market, benefiting both investors and the broader economy.