Urban Tea, a publicly-traded tea company has started accepting cryptocurrencies as payment in all its Chinese stores. A press release unveiled this news on May 10, noting that all Urban Tea stores operated by 39 Pu Tea Co. LTD in China would accept Bitcoin (BTC), Ethereum (ETH), and Dogecoin (DOGE) as payment starting this week. These changes would apply to all the restaurants managed by Guokui Management Inc. in the US as well.
According to the news release, this move seeks to bring cryptocurrencies into the lives of the company’s clients.
Are you looking for fast-news, hot-tips and market analysis?
Sign-up for the Invezz newsletter, today.
Urban Tea’s Chairman of the Board, Xianlong Jack Wu said by introducing crypto payment, Urban Tea aims to bring cryptocurrency application scenarios into the daily lives of its customers. He added that the company expects its crypto mining plan to be gradually implemented. Apart from this, Wu said the company is hopeful for the promising prospect of this new opportunity.
Not a crypto newbie
This news comes after Urban Tea announced in February that it would expand its business by venturing into crypto mining. The company commemorated this expansion by appointing two new executives, namely Fengdan Zhou as COO and Yunfei Song as an independent director. According to the announcement, these officials would play a pivotal role in supporting the strategic expansion in blockchain and crypto mining.
Explaining why the company had decided to take this course of action, Urban Tea’s CEO, Yi Long, said both the blockchain and cryptocurrencies are gaining mass adoption, which is set to make them mainstream. Due to the increasing interest in the nascent sector, the firm’s management team decided to explore, research, study, and discuss the prospects of entering into the crypto space. In doing so, the company sought to generate greater value for its shareholders.
Bullish on how appointing Zhou and Song would help the company venture into crypto, Long said,
We expect that their industry expertise, combined with our growth strategy, will lead our expansion plan into the cryptocurrency mining industry. Going forward, we expect Urban Tea will start expanding into blockchain ecology, such as cryptocurrency mining, blockchain mine construction and maintenance, and cryptocurrency exchange operations.