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In February and March 2026, Cango Inc. successfully sold 6,451 BTC, resulting in a substantial $442 million to eliminate bitcoin-backed debts. This strategic move significantly reduced Cango’s outstanding BTC-collateralized debt to $30.6 million and lowered its hashrate to 37.01 EH/s by the end of March. Furthermore, Cango secured a $65 million insider equity investment and a $10 million convertible note from DL Holdings to drive its AI compute transformation.
Bitcoin Miner Cango Reduces Crypto-Backed Debts Through Major BTC Sales
Cango Inc. (NYSE: CANG) initiated the first sale around February 7-8, selling 4,451 BTC on the open market, resulting in net proceeds of approximately $305 million in USDT. The average sale price was calculated at $68,524 per coin. This transaction, announced on February 9, was approved by the board and conducted after a thorough assessment of market conditions.
All funds from the February sale were directed towards repaying a portion of a Bitcoin-backed loan. Following the sale, Cango retained 3,313.4 BTC in treasury and mined an additional 454.83 BTC during the month.
In March, Cango further reduced its crypto-secured debt by selling an additional 2,000 BTC, effectively clearing the remaining balance. While the exact sale price was not disclosed in the April 8 update, reports suggested an average sale price ranging between $68,000 to $69,000, resulting in proceeds close to $137 million.
By the end of March, Cango’s bitcoin treasury contained 1,025.69 BTC, down from over 7,500 BTC prior to the February sale. Simultaneously, the outstanding balance on Bitcoin-backed loans decreased to $30.6 million.
On the mining front, Cango reported a total operational hashrate of 37.01 EH/s by month-end, consisting of 27.98 EH/s from self-mining and 9.02 EH/s through hashrate leasing. This marked a deliberate reduction from the peak hashrate of approximately 50 EH/s achieved in late 2025, showcasing Cango’s strategic shift towards optimizing margins over scale.
The average cash cost per bitcoin mined in March was noted at $68,215.83, representing a significant 19.3% improvement from the fourth quarter of 2025, where the cost stood at $84,552. This improvement was attributed to decommissioning older equipment, deploying newer Bitmain S21 and S21XP mining rigs, relocating to lower-cost power regions, and implementing revenue-sharing agreements at select high-cost facilities.
To facilitate the transition while diversifying revenue streams, Cango finalized a $65 million equity investment from internal stakeholders on March 31, settled in USDT. Additionally, the company secured a $10 million convertible note from DL Holdings and received a previous equity injection of around $10.5 million in February.
Having entered the bitcoin mining sector in November 2024, Cango shifted from its original automotive financing and used-car export business. Initially expanding operations across 40+ sites worldwide, the company later pivoted towards modular, containerized GPU-based AI inference compute, targeting small- and medium-sized enterprises with this innovative infrastructure.
For the fiscal year 2025, Cango reported revenues totaling approximately $688 million, accompanied by a net loss of approximately $453 million, primarily attributed to the mining expansion, price volatility, and transition costs.
In early April 2026, NYSE notified Cango of its stock trading below $1 on a 30-day average closing price basis, prompting a continued-listing review. The company now has a six-month cure period to restore the share price to compliance standards.
Through the two impactful BTC sales, Cango significantly reduced its exposure to crypto-collateralized debts, freeing up capital for AI deployment throughout its established grid-connected locations. While mining remains a core focus, Cango aims to prioritize per-site cash margins over overall hashrate moving forward.
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