New initiatives from Nano Labs
Nano Labs has taken new action, announcing that it now accepts Bitcoin for payment of its goods and services through business accounts on Coinbase. The company, headquartered in Hangzhou and listed on Nasdaq, mentioned in a statement on November 11 that this move to accept Bitcoin payments is part of its commitment to embrace the latest financial technology, given the rising demand for "digital currency transactions in the tech sector."
Nano Labs also stated that as the adoption of cryptocurrency continues to rise, particularly among companies seeking efficient and secure cross-border transactions, it aims to take a proactive position in the evolving digital economy. According to the company, adopting Bitcoin (BTC) can provide "greater payment flexibility," although it did not provide details on whether it plans to retain the cryptocurrency received on its balance sheet.
Following the announcement, the stock price of this Nasdaq-listed company experienced a slight increase of 2.81%, rising to $3.29. However, this increase is insufficient to offset the impact of a significant drop in stock price over the past month. Previously, the stock price had fallen from a high of $8.33, dropping more than 60%, and is far below the historical high of $96.20 set shortly after the company was listed on Nasdaq in July 2022.
Other companies' acceptance of cryptocurrency payments
Nowadays, more and more companies are beginning to accept cryptocurrency for part of their service fees. For instance, Microsoft allows users in its Xbox store to pay with Bitcoin; McDonald's uses cryptocurrency as legal tender in its stores in El Salvador and Lugano, Switzerland; and the NBA team Dallas Mavericks also uses BitPay to accept Bitcoin for club merchandise and game tickets.
The complex relationship between China and cryptocurrency
The relationship between China and cryptocurrency can be described as complex. In May 2021, Beijing launched a crackdown on cryptocurrency-related activities, shutting down numerous mining companies and suspending cryptocurrency trading. However, there seems to be some changes recently; despite measures taken against Tether in January, the authorities' stance appears to have softened.
In September this year, former Chinese Finance Minister Lou Jiwei urged China to closely monitor developments in the cryptocurrency sector during a speech at the Tsinghua Wudaokou Chief Economist Forum held in Beijing on September 28. Moreover, just days earlier, on September 25, the Shanghai Intermediate People's Court acknowledged Bitcoin as a unique and irreplaceable digital asset in a report, recognizing its scarcity and intrinsic value. Additionally, earlier this year, on April 24, the Securities and Futures Commission (SFC) of Hong Kong approved the first spot Bitcoin and Ether (ETH) ETF.
The information provided in this article is for reference only and does not constitute any type of advice.
