iPower stock price plummets due to cryptocurrency hardware expansion plans

2026-02-24 12:23:56

Abstract generation in progress

Investing.com – iPower Inc. (NASDAQ:IPW) stock dropped 28.9% on Monday after the company announced a strategic expansion into the cryptocurrency infrastructure hardware distribution sector.

The hydroponic and gardening equipment supplier signed a non-binding memorandum of understanding with Nanopulse Technology Ltd., a developer of hardware dedicated to the cryptocurrency and digital asset industry. The plan aims to leverage iPower’s supply chain and e-commerce capabilities in the U.S. to commercialize cryptocurrency infrastructure hardware.

The execution of this strategic expansion still requires final agreements and completion of compliance and due diligence reviews. The memorandum of understanding envisions multiple levels of economic benefits, including short-term revenue from hardware sales and potential ongoing commissions from future income generated through infrastructure hardware distributed by iPower.

iPower CEO Lawrence Tan stated, “Cryptocurrency networks are increasingly reliant on physical infrastructure, but most projects lack the capacity for large-scale, efficient sales, transportation, and support of hardware. This plan positions iPower as an execution layer, connecting native cryptocurrency innovation with real-world distribution, operational discipline, and compliance.”

The parties also plan to explore iPower’s potential involvement as a validator or node operator in the U.S., subject to separate technical, legal, and commercial agreements. Any such involvement remains exploratory and will be governed by independent agreements.

iPower emphasizes that the plan focuses on hardware distribution and infrastructure empowerment, not financial services. The company will not provide investment advice, custody user digital assets, or engage in digital asset trading activities.

The company believes this collaboration represents a replicable infrastructure empowerment model in the cryptocurrency industry, combining native crypto innovation with real-world execution and logistics capabilities.

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