Crypto mining hardware manufacturer Canaan Inc. received a warning from Nasdaq after its share price remained below the exchange’s minimum bid requirement, putting the company at risk of delisting unless it regains compliance within six months.
On Jan. 14, Nasdaq notified Canaan in writing that its American depositary shares (ADSs) had closed below $1 for 30 consecutive business days, a violation of Nasdaq Listing Rule 5550(a)(2). The notice does not affect the current trading or listing of the company’s shares.
Canaan now has 180 calendar days, until July 13, 2026, to raise its closing bid price above $1 per share for at least 10 consecutive trading days to regain compliance. The company may request additional time if it fails to meet the requirement by the deadline. Such an extension could involve a reverse stock split to increase the share price by reducing the number of outstanding shares.
Nasdaq staff will review any application for additional time and determine whether Canaan can realistically meet the listing requirements. If the company cannot comply or chooses not to apply for an extension, Nasdaq may delist its shares, which typically results in trading over the counter and reduced liquidity.
Share price history shows long-term pressure
Canaan’s shares have struggled for months. The stock last closed above $1 on Nov. 28, 2025, and currently trades around $0.79, down 3.8% on Friday and roughly 63% over the past 12 months. According to Yahoo Finance, the shares have not traded above $3 since December 2024.
The stock has experienced temporary spikes following business announcements. In October 2025, the company received an order for 50,000 Avalon A15 Pro mining rigs, its largest order in more than three years. Canaan Chairman and CEO Nangeng Zhang described the deal as a “significant win for Canaan” and a reflection of “the robust resurgence of the U.S. market.” The announcement drove the stock up 25% on the day it was released.
Despite occasional boosts, Canaan faces persistent challenges due to broader market trends. Some crypto mining firms have shifted focus toward providing computing power for artificial intelligence, reducing demand for traditional mining hardware.
Compliance options and market risks
Canaan will continue monitoring its ADS closing prices closely and take steps to regain compliance. If necessary, the company may execute a reverse stock split to meet Nasdaq standards. Such a measure would reduce the number of outstanding shares while increasing the price per share proportionally, without changing the overall valuation.
Other crypto-related firms have faced similar situations. In December 2025, Bitcoin treasury company Kindly MD received a Nasdaq notice due to shares trading below $1 for 30 consecutive days. Kindly MD has until June 2026 to regain compliance. Nasdaq also delisted biotech firm Windtree Therapeutics in August 2025 after it failed to meet listing requirements, leading to a 77% drop in the company’s stock on the delisting announcement.
Canaan’s next six months will be critical. The company must stabilize its share price to maintain Nasdaq listing, protect shareholder value, and continue accessing capital markets efficiently.
Oleksii Shumak
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