Binance CEO Changpeng Zhao (CZ)’s investment company, YZi Labs, has taken action against a BNB acquisition firm, CEA Industries, in a move seeking to regain control. The filing for a consent decree with the SEC highlights concerns about shareholder value destruction by the firm’s management and strategic decisions regarding Binance Coin (BNB). YZi Labs asserts that the current board is jeopardizing BNC shareholders’ interests. ),
The request from YZi Labs seeks significant changes in leadership, including expanding the board to include qualified individuals chosen by themselves. The filing urges BNC shareholders to support these proposed changes which will ultimately allow YZi Labs to assume control of the world’s largest publicly traded BNB treasury company.
YZi Labs alleges that CEA Industries’ CEO, David Namdar, actively engaged in fundraising for another digital asset treasury alongside his role at BNC. This involvement is reportedly linked to November’s revelations about Namdar and Thomas seeking funding for other digital assets (DATs).
Following the announcement of a BNB treasury plan in July, BNC shares reached $57.59 before plummeting nearly 89%. The company saw a sharp decline on Monday, closing at $6.47 after losing around 10% of its value.
*This is not investment advice.*