Nano Labs sees share boost after accepting Bitcoin payment

Nano Labs, a Huangzhou-based crypto mining chip maker, has begun accepting Bitcoin (CRYPTO:BTC) as payment for its products and services through Coinbase.

This strategic move reflects its commitment to modern financial technology as digital currency transactions gain momentum in the tech sector.

In a statement on Nov. 11, Nano Labs emphasised a “proactive stance in the evolving digital economy” as cryptocurrency adoption among businesses continues to expand, particularly those requiring efficient and secure cross-border payments.

The announcement saw the Nasdaq-listed company's shares rise by 2.81%, closing at $3.29.

Despite this uptick, the company's stock has faced a significant decline over the past month, dropping over 60% from a recent high of $8.33.

This current value remains well below its all-time high of $96.20, reached in July 2022 shortly after its public listing.

Nano Labs noted that accepting Bitcoin provides “greater payment flexibility,” although it did not disclose whether it plans to retain the cryptocurrency as part of its assets.

The company joins a growing list of businesses integrating crypto payments, including tech giants and other firms, signaling a broader shift toward digital currency acceptance.

This development is notable against the backdrop of China’s complex relationship with cryptocurrency.

While Beijing’s crackdown in 2021 led to a suspension of crypto mining and trading, recent signals indicate a softened stance.

In September, courts in Shanghai recognised Bitcoin as a unique digital asset with inherent value.

Additionally, Hong Kong’s Securities and Futures Commission approved its first spot Bitcoin and Ether (CRYPTO:ETH) ETFs in April.

At the time of writing, the Bitcoin price was $88,728.22.