> At a Glance
> – YZi Labs has filed SEC papers to oust CEA’s board
> – Investor says “poison pill” and bylaw tweaks silence shareholders
> – CEO David Namdar floated Solana treasury swap in November
> – Why it matters: Outcome could reset how crypto-listed firms treat token-focused mandates
YZi Labs, CEA Industries’ largest backer, is mounting a public campaign to overhaul the Nasdaq-listed company’s board. The fight centers on fears that management is quietly abandoning its BNB-centric treasury plan.
Board Accused of Silencing Dissent
The venture firm filed preliminary proxy materials on January 7, charging the board with “manipulative behavior.” At issue:
- A newly adopted poison-pill defense
- By-law amendments that curb written-consent actions
- A delayed 2025 annual meeting-already past the December 17 anniversary
YZi warned both moves entrench directors and breach fiduciary duty. “When leadership uses poison pills to block accountability… the trust is broken,” the firm posted.
BNB vs. Solana Treasury Debate
Management discussions have spooked shareholders. At a November 2025 conference, CEO David Namdar reportedly said the firm was “contemplating a switch” to assets like Solana. YZi rejects the company’s claim that no alternative assets were ever considered, citing that remark as proof of a looming pivot.
| Date | Event |
|---|---|
| Nov 2025 | Namdar floats SOL treasury idea |
| Jan 3 2026 | XRP flips BNB in market cap |
| Jan 7 2026 | YZi files SEC solicitation |
Market watchers note XRP’s recent surge has intensified the strategy debate inside CEA.
Key Takeaways
- YZi wants a “free and fair” election to reshape the board
- Other BNC shareholders have yet to pick sides
- The standoff could set a precedent for crypto-linked public companies balancing token mandates with strategic flexibility
The proxy battle now heads toward a shareholder vote that will decide whether CEA stays the BNB course or charts a new treasury path.
