China-based Nano Labs now accepts Bitcoin payments via Coinbase, aiming to meet growing demand for digital currency options in tech.
According to a Nov. 11 statement, Nano Labs, a crypto mining processor designer based in China, is now accepting Bitcoin as payment for its products through its business account on Coinbase.
Nano Labs on Bitcoin Payments
In response to the growing demand for digital currency options in the technology sector, the organization implemented Bitcoin payments. The payment flexibility is intended to benefit clients and partners, particularly as businesses worldwide adopt crypto for secure, streamlined cross-border transactions, it was added.
Nano Labs stated that the move is advantageous for the company in terms of attracting a broader audience of tech-savvy clients who prioritize digital payment systems that are flexible.
Nano Labs was established in 2019 and is a leader in the field of fabless integrated circuit design. The company is also dedicated to the development of high-performance computing (HPC) chips, smart network interface cards (NICs), and other advanced computing solutions. Additionally, it is concentrated on high-throughput computing (HTC) chips.
Stock performance
Nano Labs raised $50 million in July 2022 to become publicly traded in the United States. Nevertheless, the stock has underperformed since the IPO, with a decline of approximately 95% since it commenced trading that year.
Nano Labs was reportedly informed by Nasdaq earlier this year that its stock had declined below the mandatory minimum market value of publicly held shares (MVPHS) of $15 million for a period of 30 consecutive trading days.
The company resolved the issue and complied with Nasdaq’s requirement by maintaining an MVPHS of $15 million for a period of 10 days by October 9.
Nano Labs’ decision to accept Bitcoin may serve as a counterbalance to its recent stock performance. Bitcoin-related equities of numerous micro-cap companies, including Metaplanet and Semler Scientific, have skyrocketed this year as a result of their decision to adopt the most prominent digital asset.
The stance of China
Nano Labs’ adoption of Bitcoin may indicate subtle changes in China’s traditionally restrictive crypto policies, given that the company is headquartered in China.
Institutions have been prohibited from participating in crypto transactions and mining activities by China’s rigorous regulatory framework in recent years.
The Asian nation continues to be a significant player in the global crypto landscape, despite the implementation of these measures, as it maintains control over half of the Bitcoin network’s hashrate.
At the same time, recent calls for a policy reevaluation from individuals such as former Deputy Finance Minister Zhu Guangyao suggest that China’s stance on digital currencies may change in accordance with global trends that favor the widespread adoption of cryptocurrencies.
