Nasdaq Firm Makes Historic Shift to Ethereum-Based Treasury

BioNexus Gene Lab Corp. has become the first Nasdaq-listed company to adopt an Ethereum -focused treasury strategy. The biotech firm announced the move Tuesday.

The company did not disclose the exact percentage allocated to Ethereum. The decision follows Ethereum's inclusion in the U.S. " Crypto Strategic Reserve ."

BioNexus released its Ethereum Strategy Whitepaper detailing the cryptocurrency's advantages as a financial infrastructure asset. The document emphasizes Ethereum's role in stablecoin settlements and decentralized finance. It also positions the cryptocurrency as a viable corporate treasury asset.

The whitepaper highlights Ethereum's growing institutional adoption and staking rewards. It also discusses upcoming upgrades that could enhance its long-term value and utility for corporations.

"By integrating Ethereum into our corporate treasury, BioNexus Gene Lab Corp. is embracing the future of financial infrastructure," said CEO Sam Tan. "Ethereum offers high liquidity, utility, and stability compared to other digital assets, positioning BGLC as a leader in blockchain-integrated corporate finance."

Wyoming's blockchain-friendly regulations influenced the company's strategy. As a Wyoming-incorporated entity, BioNexus benefits from the state's progressive legal framework. This includes the recent Wyoming Stable Token Act supporting digital assets.

The board's decision was driven by several factors. These include Ethereum's increasing credibility among financial institutions, its Proof-of-Stake yield capabilities, and its dominance in stablecoin transactions. The upcoming Pectra update is expected to improve Ethereum's efficiency and adoption.

Former President Donald Trump recently announced plans to add Ethereum, XRP , Solana , and Cardano to a national crypto reserve alongside Bitcoin . After a brief rally, prices dropped. Ethereum fell to $2,032, its lowest level in 16 months, before recovering.

Recent market downturns have pushed Ethereum into potentially undervalued territory. The Market Value to Realized Value ratio dropped below 1, which historically marks buying opportunities. On-chain data shows increasing accumulation addresses, suggesting institutional investors are buying at current prices.

Whale investors maintain support around $2,200-$2,300, potentially countering further price declines.

Disclaimer: The information provided in this article is for educational purposes only and should not be considered financial or legal advice. Always conduct your own research or consult a professional when dealing with cryptocurrency assets.