diff --git a/pkgs/development/python-modules/pypass/default.nix b/pkgs/development/python-modules/pypass/default.nix
index 3a2fc269ceda4..784a5e213c3ba 100644
--- a/pkgs/development/python-modules/pypass/default.nix
+++ b/pkgs/development/python-modules/pypass/default.nix
@@ -8,11 +8,11 @@
   git,
   gnugrep,
   gnupg,
-  nose,
   pbr,
   pexpect,
   pythonAtLeast,
-  pythonOlder,
+  pytestCheckHook,
+  setuptools,
   substituteAll,
   tree,
   xclip,
@@ -23,11 +23,11 @@
 buildPythonPackage rec {
   pname = "pypass";
   version = "0.2.1";
-  format = "setuptools";
+  pyproject = true;
 
   src = fetchPypi {
     inherit pname version;
-    sha256 = "1nm4mj7pd7gz4ghic6b3wrnd1b59hd1f0axavdabfl79wy511l7r";
+    hash = "sha256-+dAQiufpULdU26or4EKDqazQbOZjGRbhI/+ddo+spNo=";
   };
 
   # Set absolute nix store paths to the executables that pypass uses
@@ -47,42 +47,39 @@ buildPythonPackage rec {
     substituteInPlace requirements.txt --replace "enum34" ""
   '';
 
+  build-system = [ setuptools ];
+
   nativeBuildInputs = [ pbr ];
 
-  propagatedBuildInputs = [
+  dependencies = [
     click
     colorama
     pexpect
   ];
 
-  doCheck = pythonOlder "3.12";
-
-  nativeCheckInputs = [ nose ];
+  nativeCheckInputs = [ pytestCheckHook ];
 
   # Configuration so that the tests work
   preCheck = ''
-    HOME=$TEMP ${git}/bin/git config --global user.email "nix-builder@nixos.org"
-    HOME=$TEMP ${git}/bin/git config --global user.name "Nix Builder"
-    HOME=$TEMP ${git}/bin/git config --global pull.ff only
-    HOME=$TEMP make setup_gpg
+    export HOME=$(mktemp -d)
+    export GNUPGHOME=pypass/tests/gnupg
+    ${git}/bin/git config --global user.email "nix-builder@nixos.org"
+    ${git}/bin/git config --global user.name "Nix Builder"
+    ${git}/bin/git config --global pull.ff only
+    make setup_gpg
   '';
 
-  # Run tests but exclude the test that uses clipboard as I wasn't able to make
-  # it work - probably the X clipboard just doesn't work in the build
-  # environment..
-  checkPhase = ''
-    runHook preCheck
-    HOME=$TEMP GNUPGHOME=pypass/tests/gnupg nosetests -v --exclude=test_show_clip .
-    runHook postCheck
-  '';
+  # Presumably this test needs the X clipboard, which we don't have
+  # as the test environment is non-graphical.
+  disabledTests = [ "test_show_clip" ];
 
-  meta = with lib; {
+  meta = {
     broken = stdenv.isDarwin;
     description = "Password manager pass in Python";
     mainProgram = "pypass";
     homepage = "https://github.com/aviau/python-pass";
-    license = licenses.gpl3Plus;
-    platforms = platforms.all;
-    maintainers = with maintainers; [ jluttine ];
+    license = lib.licenses.gpl3Plus;
+    platforms = lib.platforms.all;
+    maintainers = with lib.maintainers; [ jluttine ];
   };
 }