Bionxus Gene Lab, based in Malaysia, announced on 5 March that it approved its Treasury strategy, which prioritizes Ethereum (ETH) over Bitcoin (BTC).
The company said that the decision was driven by the recent inclusion of Ethereum in the US crypto strategic reserve and the “broader usefulness as a programmable financial platform”.
Bionexus said The extensive internal analysis of the board of directors identified the institutional acceptance, the use of the potential and the dominance of financial infrastructure in Defi as important factors that support the integration of treasury integration.
From September 30, 2024, the market capitalization of the company was $ 6 million, the turnover was $ 2.6 million and the net income was negative $ 1.3 million. It is intended to become the first Nasdaq-listed company that takes on an Ethereum-Exclusive Treasury strategy, although it does not determine the investment amount.
Sam Tan, CEO of Bionexus, stated:
“Ethereum offers high liquidity, usefulness and stability compared to other digital assets, which positions BGLC as a leader in blockchain-integrated business financing. The regulatory leadership of Wyoming further validates our decision, because it promotes an environment in which blockchain companies can thrive. “
Bionexus also mentioned the blockchain-friendly regulatory environment of Wyoming and emphasized the “Wyoming Stable Token Act”, as an extra factor in the decision.
The Wyoming Stable Token Act, adopted in March 2023, enables the Wyoming Stable Token Commission to publish Wyoming -stable tokens (WYST), which can be exchanged for US Dollars.
Strike and stablecoin rails
In one white paper With the title ‘ETH strategy’, Bionexus argued that Ethereum contrasts with the primary use of Bitcoin as a store of value by offering an procrastination mechanism that generates an extra yield annually from 3% to 5%, making it an attractive option for treasury management.
The document emphasized the deployment as a key factor in the Bionexus decision to prioritize ETH for his treasury and emphasizes Ethereum’s key role in global finances.
It noted that Ethereum acts as the settlement layer for Tether USD (USDT), USD Coin (USDC) and other stablecoins and processes dollars of dollars in transactions annually.
The report added that this infrastructure enables cost -effective and efficient cross -border payments, which positions Ethereum as a central part of the digital economy.
Financial infrastructure for institutions
Other important differentiators are the role of Ethereum in Enterprise Blockchain solutions, financial settlements and smart contract functionality, while Bitcoin is mainly used as a treasury activum.
The financial solutions from Ethereum mentioned in the white paper are the tokenization of financial assets, decentralized payments and improved compliance with the regulations, which strengthens its usefulness in institutional finances.
As a result, banks, investment firms and listed companies take Ethereum wider, indicating the regular financial acceptance. The company also expects an acceleration in the approval of companies of Ethereum Exchange-Trade Funds (ETFs).
In addition, the white paper states that the integration of ETH Bionexus is on each other with the continuous evolution of business financing, the use of blockchain technology to improve financial efficiency and liquidity management.
The white paper expressed optimism about the future upgrades of Ethereum, with reference to the Pectra update, which will go live in April. Pectra will improve wallet wallets, validator activities, network performance, smart contract implementation and account abstraction.
