Cango (CANG) Offloads 2,000 Bitcoin Worth $143M to Slash Debt and Mining Expenses

Key Highlights

• Cango liquidated 2,000 BTC (approximately $143M) during March to reduce Bitcoin-collateralized debt obligations
• Remaining loan obligations now stand at $30.6M, while treasury holdings include 1,025.69 BTC
• Per-unit Bitcoin mining expenses dropped 19.3% to $68,216, down from $84,552 during Q4 2024
• Combined hashrate capacity reaches 37.01 EH/s through direct mining operations and leasing partnerships
• Strategic focus shifting toward artificial intelligence and energy infrastructure investments

Cango Inc. disposed of 2,000 Bitcoin during March, channeling the revenue toward repaying its cryptocurrency-collateralized obligations. Based on prevailing market rates, the transaction generated approximately $143 million.

Cango Inc., CANG

This strategic divestment reduced Cango’s total debt burden to $30.6 million. Treasury reserves as of March 31 included 1,025.69 BTC, representing more than $73 million in current valuation.

The transaction occurred alongside a $65 million equity infusion from senior executives and a $10 million convertible bond arrangement with DL Holdings, both contributing to improved financial stability.

Cango simultaneously achieved a reduction in Bitcoin mining expenses, bringing per-coin costs down to $68,216 during March. This represents a 19.3% decrease compared to the $84,552 figure recorded in Q4 2025.

The efficiency gains weren’t achieved through expansion. Instead, the company retired outdated, less efficient equipment and relocated operations to jurisdictions offering more competitive electricity rates.

For facilities in higher-cost regions including Paraguay and Oman, Cango has deployed its most advanced mining equipment — specifically the S21 and S21XP models. The company has also implemented revenue-sharing arrangements with infrastructure providers at certain locations to preserve profit margins without shouldering complete operational expenses.

Mining Capacity and Performance Metrics

Cango’s aggregate hashrate capacity reached 37.01 EH/s as of March 31. Direct mining operations contributed 27.98 EH/s, while hashrate leasing agreements accounted for 9.02 EH/s.

The leasing strategy enables Cango to generate income from expensive locations without bearing the complete burden of operational costs.

Management characterizes this strategy as a “lean-production model” emphasizing profitability sustainability rather than maximum expansion.

Artificial Intelligence Strategy Emerging

Cango has indicated intentions to allocate resources freed through debt reduction toward AI computing infrastructure development. Management views existing power infrastructure and facilities as a logical foundation for this strategic evolution.

This approach mirrors broader industry trends. MARA recently liquidated $1.1 billion worth of Bitcoin while reducing headcount by 15%. Core Scientific has evaluated divesting its complete BTC portfolio to finance an AI transformation. Cipher Digital executed a 15-year infrastructure agreement to transition toward data center services.

Bitcoin currently trades near $71,329, remaining approximately 43% below its October peak of $126,080. Sustained price pressure has compelled mining operators to scrutinize operational efficiency and explore diversified revenue opportunities.

Despite Wednesday’s 3.3% uptick, CANG shares have declined nearly 39% over the preceding month and have dropped more than 80% across the past six months.

Bitcoin posted approximately 4% gains during the trading session at publication time, supported by reports of a conditional ceasefire agreement between the United States and Iran.

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