Urban Tea Inc. (NASDAQ: MYT) stock declined by 1.51% at last close whereas the MYT stock price gains by 5.1% in the pre-market trading session. On November 28, 2011, Urban Tea, formerly known as Delta Technology Holdings Ltd and CIS Acquisition Ltd., was registered as a private liability company in the British Virgin Islands. Since November 2018, Urban Tea has been a manufacturer and distributor of specialty tea goods in China (also known as the “PRC”), and we completed the sale of our fine and specialty chemical manufacturing company in April 2019. MYT’s current market consists of specialty tea beverage distribution and retail.
What is happening?
Starting this week, all of Urban Tea’s stores operated by 39 Pu Tea Co. Ltd in China and all of its restaurants managed by Guokui Management Inc. in the United States announced the acceptance of crypto-currency payments, including Bitcoin, Ethereum, and Dogecoin. This is definitely a promising development for urban tea which is most probably the reason behind the rise in MYT share price.
Also Urban Tea has agreed to begin operations in blockchain technology analysis and cryptocurrency mining, as previously reported. Urban Tea’s management plans to use a new subsidiary in China to perform blockchain-based platform and technology research and development, as well as the commercialization of those technologies and cryptocurrency mining.
Urban Tea’s CEO Mr. Xianlong (Jack) Wu commented:
Urban Tea intends to integrate cryptocurrency technology scenarios into consumers’ everyday lives by implementing cryptocurrency payment. MYT expects their crypto mining strategy to be phased in over time, and they are excited about the potential of this new venture for Urban Tea.