I know I've said this before in other threads, but if you use your Nano/iPhone for something where you're constantly using the pause, or rewinding for a few seconds, like listening to language lessons, the Nano is much easier to use. You can do that on the Nano without even looking at it. I have an iPhone but also kept my Nano just for this, even buying a new one when the old one gave up the ghost.
If you don't do that, don't want to keep it for the car or have it as a back up you might as well sell it or give it away.