This time, two major companies have jointly announced an investment of over $1 billion in BNB. The companies are Liminatus Pharma and CEA Industries. Many of you may already know, earlier Windtree Therapeutics had announced a $700 million BNB purchase, which took BNB to $858.
Liminatus Pharma has planned to form a new BNB strategy. Therefore, it has stated that it wants to invest $500 million in BNB as a long-term asset. They say the reason for choosing BNB is its globally active user base and staking models like Launchpool. Liminatus CEO Chris Kim has referred to it as a long-term strategy.
On the same day, another company named CEA Industries Inc, with the help of 10X Capital and YZi Labs, announced a $500 million BNB investment.
Meanwhile, in response to all these investment announcements, Binance founder CZ said this was the third company within the past week to adopt BNB as part of their corporate treasury.
This wave of institutional interest actually started just 5 days ago, when Windtree Therapeutics announced their $700 million BNB investment. As a result, a positive sentiment developed among traders in the market, and on July 28, BNB reached $858. Consequently, BNB’s market cap surpassed $120 billion for the first time.
Increase in Positive Trend
Due to the rise in BNB’s price and volume, investor interest in exchange-based native tokens has increased. That’s why in the past 5 days, along with BNB, other tokens have also seen price increases.
Especially Uniswap’s UNI token rose from $9.48 to $11.11 a 13.5% increase. Additionally, Bitget’s BGB token rose from $4.43 to $4.80 a 12% increase. Therefore, overall, there has been a significant rise in the positive trend towards native coins. According to Coingecko, the total market cap of these exchange tokens has reached $161 billion.
Basically, this $500 million BNB investment by Windtree Therapeutics proves that institutional diversification is now entering crypto. And they are inspired by BlackRock’s Bitcoin iShare and MicroStrategy’s Bitcoin accumulation strategy.
Today, at the time of writing this article, BNB is trading at $813.44. This upward trend might be signaling that BNB could re-enter price discovery mode.
Impact of BNB’s Rise
Due to investments from institutional traders, demand for non-custodial storage solutions like Best Wallet is also increasing.
Therefore, crypto users are leaning towards solutions that offer multi-chain access, higher staking rewards, and low fees to withdraw profits and transfer assets.
Conclusion
Due to the surge in Binance’s native token BNB, the market has suddenly become volatile. Alongside this, the prices of other exchange-based tokens have also increased. However, due to these investments by institutional traders, retail traders often get liquidated. So, it is important to regularly follow market news and trade with great caution.
