#What does it mean for Canaan to receive a Nasdaq notice?
Canaan Inc, known for its crypto mining hardware, is currently under scrutiny after it received a deficiency notice from Nasdaq. This notice was issued because the American depositary shares of the company have traded below the $1.00 mark for an uninterrupted period of 30 business days. The formal notification, dated January 14, 2026, indicates the company's failure to comply with Nasdaq Listing Rule 5550(a)(2), which mandates a minimum bid price.
Nazdaq's notification does not trigger any immediate changes in trading or listing status for Canaan's securities. Shares will continue to be traded on the Nasdaq Global Market, allowing the company time to address the issue.
#How much time does Canaan have to regain compliance?
Canaan has been granted a compliance period of 180 calendar days, giving them until July 13, 2026, to rectify their price situation. In order to achieve compliance, the company's ADS price must rise above the $1.00 threshold and close at that level for at least 10 consecutive business days within the designated window.
If Canaan fails to meet the compliance requirement by this deadline, the company might qualify for an additional compliance period, pending Nasdaq's approval. This secondary opportunity would involve submitting a transfer application, covering a non-refundable $5,000 fee, fulfilling other initial listing criteria, and demonstrating its intention to remedy the deficiency. Such remediation could potentially involve a reverse stock split, a common strategy used to increase the share price.
#How is Canaan addressing the situation?
To safeguard its listing status, Canaan has indicated that it will continuously keep an eye on its stock performance and is committed to implementing reasonable strategies to restore compliance. The company’s disclosure of this notice aligns with Nasdaq’s regulations that mandate timely public announcements concerning any listing deficiencies. This proactive approach not only showcases their commitment but also aims to reassure current and potential investors of their intent to rectify the situation swiftly.