Delisting could push trading to over-the-counter markets, where liquidity is thinner and investor interest often drops
Crypto mining hardware maker Canaan Inc. is facing the possibility of being removed from the Nasdaq after its share price slipped below required levels. The company disclosed that it received a formal notice from the exchange warning that it no longer meets minimum listing standards tied to share price performance.
Nasdaq informed Canaan that its stock had closed under $1 for 30 straight trading days, which violates exchange rules. Under Nasdaq guidelines, the company now has 180 days, or until July 13, to lift its closing bid price back to at least $1 for 10 consecutive sessions.
Canaan’s stock performance has struggled over the past year, with shares falling roughly 63% during that period. The company last traded above $1 in late November and ended the most recent session at $0.79. Shares have not crossed the $3 mark since December 2024.
The warning comes at a difficult time for crypto mining equipment makers. Many former customers have scaled back mining activity or shifted capital toward artificial intelligence computing, reducing demand for new mining rigs and pressuring manufacturers like Canaan.
Company officials noted that Nasdaq may allow additional time if progress is made. Canaan said it could apply for an extension and may consider steps such as a reverse stock split, which would reduce the number of outstanding shares in an effort to raise the stock price.
Despite the recent slide, Canaan has seen brief signs of momentum. In October, the company announced its largest hardware order in more than three years, involving 50,000 Avalon A15 Pro mining machines. That deal sparked a short-term rally in the stock.
If compliance is not restored and Nasdaq denies further extensions, Canaan could be delisted. Such a move would push trading to over-the-counter markets, where liquidity is thinner, and investor interest often drops, adding more pressure to the stock.
