BNB Hoarding Strategy Collapses as WINT Loses Nasdaq Bid

WINT, a U.S.-listed company that had adopted a BNB treasury strategy, has become the first such company to face delisting from the Nasdaq Capital Market. The decision followed the company’s inability to maintain a stock price above $1 for the required period, despite multiple reverse stock splits and a failed attempt to attract market attention through BNB token purchases [1]. On August 21, its stock was moved to the OTC market, with its share price closing at $0.11—a dramatic decline from over $517 a year earlier and over $567,000 at its 2020 listing peak [1].

Windtree Therapeutics, Inc. (WINT), a biotechnology firm engaged in the development of respiratory and cardiovascular therapies, had previously announced a $60 million securities purchase agreement with Build and Build Corp., part of which was intended to fund BNB acquisitions for asset diversification [1]. This move temporarily lifted its stock to $1.86. However, the company failed to sustain this momentum as BNB-focused investors increasingly shifted their attention to CEA Industries, later rebranded as BNB Network Company (BNC), which raised $500 million in a private placement led by YZi Labs and supported by major crypto and institutional investors [1]. BNC’s successful rebranding and institutional backing underscored the competitive disadvantage faced by WINT in the niche market of BNB treasury companies [1].

Nasdaq’s delisting rule, which mandates a minimum stock price of $1 for 30 consecutive trading days, had already given WINT a 180-day grace period earlier in the year. Despite this, the company could not meet the requirements, highlighting the limitations of the coin hoarding strategy as a standalone mechanism for maintaining stock viability [1]. The failure of WINT to retain its Nasdaq listing has sparked industry discussions on the conditions necessary for such strategies to succeed. Analysts have emphasized the importance of selecting a stable and widely accepted cryptocurrency—such as BTC—as a reserve asset, given its relatively predictable value and strong market recognition [1].

Furthermore, the effectiveness of the coin hoarding strategy is contingent upon a company’s ability to secure a unique niche in the market and maintain a strong institutional backing, both of which WINT lacked. Competitors like BNC, supported by prominent crypto firms and investment groups, have demonstrated superior market traction, illustrating the role of credibility and institutional validation in attracting investor confidence [1]. Additionally, the presence of real business operations—rather than a reliance on speculative financing—has been identified as a critical factor in determining the long-term success of companies adopting such strategies [1].

While WINT’s delisting marks a cautionary tale for the BNB treasury company model, the broader market remains divided on its long-term viability. With the emergence of other cryptocurrency reserve strategies, including those centered on ETH, the industry is poised to see continued experimentation and competition. The effectiveness of these approaches, however, will ultimately depend on whether they can generate sustainable value and meet evolving regulatory expectations [1].

Source: [1] BNB reserve company WINT delists, "hoarding" strategy fails to cure all ills (https://www.chaincatcher.com/en/article/2199145)