diff --git a/.github/workflows/test-action.yml b/.github/workflows/test-action.yml
index a6e6bdc..d30d46a 100644
--- a/.github/workflows/test-action.yml
+++ b/.github/workflows/test-action.yml
@@ -30,6 +30,16 @@ jobs:
           INTERNAL=$((MINOR + VERSION_OFFSET))
           func version | grep -q "v0.${INTERNAL}"
 
+  test-nightly-version:
+    runs-on: ubuntu-latest
+    steps:
+      - uses: actions/checkout@v4
+      - name: Setup func CLI with nightly version
+        uses: ./
+        with:
+          version: 'nightly'
+      - run: func version
+
   test-custom-name:
     runs-on: ubuntu-latest
     steps:
diff --git a/README.md b/README.md
index 82255b6..df4fb16 100644
--- a/README.md
+++ b/README.md
@@ -14,8 +14,8 @@ GitHub Action to download and setup the func CLI. Automatically detects OS and a
 
 | Input | Description | Default |
 |-------|-------------|---------|
-| `version` | Version to download (e.g. `v1.20.0`) | latest |
-| `name` | Binary name | `func` |
+| `version` | Version to download (e.g. `v1.20.0`, `nightly`) | latest |
+| `name` | Filename for downloaded binary | `func` |
 | `binary` | Specific binary to download from GitHub release | auto-detected |
 | `destination` | Download directory | cwd |
 | `binarySource` | Full URL for the func binary | empty (uses GitHub releases) |
diff --git a/action.yml b/action.yml
index bdf1ce2..904ed62 100644
--- a/action.yml
+++ b/action.yml
@@ -6,7 +6,7 @@ inputs:
   binary:
     description: '(optional) Binary you want to download (exact string expected), otherwise will be determined via the OS of GH Runner'
   version:
-    description: '(optional) Version to download. Use "latest" or specify a version from release pages https://github.com/knative/func/tags'
+    description: '(optional) Version to download. Use "latest", "nightly", or specify a version from release pages https://github.com/knative/func/tags'
   destination:
     description: '(optional) Path where to move the desired downloaded binary, otherwise cwd is used'
   binarySource:
diff --git a/index.js b/index.js
index 134809d..9ebd611 100644
--- a/index.js
+++ b/index.js
@@ -3,7 +3,12 @@ const exec = require('@actions/exec');
 const path = require('path');
 const fs = require('fs');
 
-const LATEST = 'latest';
+// Using latest as default
+const DEFAULT_VERSION = 'latest';
+const NIGHTLY_VERSION = 'nightly';
+const DEFAULT_BINARY_SOURCE = 'https://github.com/knative/func/releases/download';
+const DEFAULT_LATEST_BINARY_SOURCE = 'https://github.com/knative/func/releases/latest/download';
+const DEFAULT_NIGHTLY_BINARY_SOURCE = 'https://storage.googleapis.com/knative-nightly/func/latest';
 
 function getOsBinName() {
     const osBinName = core.getInput('binary');
@@ -50,8 +55,9 @@ function smartVersionUpdate(version) {
 }
 
 function resolveVersion() {
-    const version = core.getInput('version') || LATEST;
-    if (version.toLowerCase().trim() === LATEST) return LATEST;
+    const version = core.getInput('version') || DEFAULT_VERSION;
+    if (version.toLowerCase().trim() === DEFAULT_VERSION) return DEFAULT_VERSION;
+    if (version.toLowerCase().trim() === NIGHTLY_VERSION) return NIGHTLY_VERSION;
     return smartVersionUpdate(version);
 }
 
@@ -62,12 +68,16 @@ function resolveDownloadUrl(version, binName) {
         return binarySource;
     }
 
-    if (version === LATEST) {
+    if (version === NIGHTLY_VERSION) {
+        core.info('Using nightly version...');
+        return `${DEFAULT_NIGHTLY_BINARY_SOURCE}/${binName}`;
+    }
+    if (version === DEFAULT_VERSION) {
         core.info('Using latest version...');
-        return `https://github.com/knative/func/releases/latest/download/${binName}`;
+        return `${DEFAULT_LATEST_BINARY_SOURCE}/${binName}`;
     }
     core.info(`Using specific version ${version}`);
-    return `https://github.com/knative/func/releases/download/${version}/${binName}`;
+    return `${DEFAULT_BINARY_SOURCE}/${version}/${binName}`;
 }
 
 async function downloadFuncBinary(url, binPath) {
@@ -93,7 +103,7 @@ function addBinToPath(binPath) {
 
 async function warnStaleVersion(version) {
     // Skip version check for 'latest' or custom binary source
-    if (version === LATEST || core.getInput('binarySource')) {
+    if (version === DEFAULT_VERSION || core.getInput('binarySource')) {
         return;
     }