Punycode domains

Hey,
I connected the following domain www.xn--xample-9gg.com (just an example) to my nginx server.
When I browse this domain it doesn't converted to its native name, which is www.ҽxample.com

I changed the configuration file to include the following:
server_name www.ҽxample.com www.xn--xample-9gg.com;

However, still no success.

Any idea what is the issue here?

Thanks!