The focus keyword BNB treasury takes center stage in Windtree Therapeutics’ ambitious plans—but now it’s at odds with financial reality. Windtree’s bid to convert a portion of its corporate reserves into BNB, Binance’s native token, has hit a major hurdle as the company faces suspension from the Nasdaq Capital Market.

BNB Treasury Plan Collides With Listing Requirements

In July, Windtree disclosed it would become the first Nasdaq-listed company to develop a BNB treasury, announcing a $60 million securities purchase agreement with blockchain infrastructure firm Build and Build Corp. The deal had the potential to scale to $200 million, aiming to follow in the footsteps of companies like MicroStrategy with Bitcoin.

This innovative move sparked excitement in the crypto and biotech communities alike. Following the news, Windtree’s stock jumped over 20% during pre-market trading, with investors lauding its aggressive strategy to align closer with the cryptocurrency sector.

However, that excitement was short-lived. Windtree’s share price began to fall steadily through late July and into August, closing at just 48 cents before the company confirmed it had failed to meet Nasdaq’s critical minimum bid threshold of $1 per share, as mandated by Listing Rule 5550(a)(2).

Transitioning to OTC Markets as Visibility Shrinks

As a result of not maintaining the qualifying share price, Nasdaq will officially delist Windtree as of August 21. The biotech company, headquartered in Warrington, Pennsylvania, plans to transition trading to over-the-counter (OTC) markets under the symbol “WINT.” Still, as noted in its public filing, there is no assurance that this transition will be successful or smooth.

The delisting significantly weakens the effectiveness of its BNB-centric treasury strategy. Without the backing and prestige of a Nasdaq listing, Windtree faces diminished exposure, especially to institutional investors who often avoid OTC stocks due to lower liquidity and visibility.

Mimicking MicroStrategy’s well-publicized conversion of its reserves into Bitcoin was an ambitious choice. Yet, Windtree’s smaller market cap and lack of sustained investor confidence meant it was less able to weather the market volatility such a strategy invites.

BNB Treasury Strategy Faces Real-World Limits

The idea of creating a corporate-reserve strategy centered around BNB was bold and aimed to position Windtree as a crypto-aligned innovator in biotech. But unlike Bitcoin, which has secured more widespread institutional support, BNB suffers from regulatory headwinds and limited adoption by publicly traded firms.

Windtree’s stock has slumped dramatically since its July announcement. After losing over 80% of its value, the stock closed at just 11 cents following the Nasdaq’s delisting notice. These developments place the entire BNB treasury strategy at risk, as declining market confidence and lessened access to institutional capital make such high-risk financial moves difficult to sustain.

For now, Windtree remains committed to its staking in BNB and hopes to build a hybrid model that bridges biotech and blockchain. Time will tell if it rebounds in OTC markets—or if the BNB treasury experiment remains a cautionary tale.

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Read more: Biotech Company Windtree to Raise Up to $200M for BNB Treasury