YZi Labs (formerly Binance Labs), the investment arm of crypto exchange Binance, has accused the board of BNC (CEA Industries) of drifting toward disqualifying shareholders, obstructing reforms, and losing strategic direction.
In a statement released on social media, YZi Labs said the company is reviewing BNC’s recent actions from a legal and corporate governance perspective.
In a statement, YZi Labs claims that BNC’s actions regarding its shareholder group formation initiative and voting process are detrimental to shareholder interests. YZi Labs characterizes BNC’s invocation of the “poison pill” defense mechanism and amendment to its articles of association as an attempt to delay and prevent shareholder rights from being exercised by written consent. The company argues that these arrangements impose unnecessary restrictions and procedural burdens beyond those required by Nevada law.
YZi Labs said the BNC board took this action to protect its position despite previous warnings. YZi argued that it warned the board of potential legal risks and breaches of fiduciary duty, but instead of admitting its error, the board chose to limit shareholder rights. The company said this shows the board recognizes the lack of shareholder support.
The company also said that many shareholders share YZi Labs’ concerns about BNC’s strategic shift and decision to distance itself from the BNB ecosystem, and were “shocked” by these developments.
YZi Labs also refuted BNC’s statement that it has “never considered alternative tokens as part of its digital asset reserve strategy, nor has it launched a competing digital asset reserve business.” The company said this contradicts statements made by BNC CEO David Namdar, who said at an industry conference in November 2025 that BNC was considering moving to another crypto asset like Solana. In addition, the active promotion and financing activities of other digital asset reserve projects by Mr. Namdar and board member Hans Thomas, who held leadership roles at BNC, raised serious questions for shareholders.
*This is not investment advice.
