Cango Inc. (NYSE: CANG) completed a major bitcoin liquidation between February and March 2026, selling 6,451 BTC for approximately $442 million to fully repay its cryptocurrency-backed loans. Simultaneously, the company secured $75 million in new capital through internal equity financing and convertible bonds to support its pivot from bitcoin mining to artificial intelligence (AI) computing services.
Two Massive Bitcoin Sales
The first sale occurred around February 7-8, 2026, when Cango sold 4,451 BTC on the open market, generating net proceeds of about $305 million (settled in USDT). The implied average selling price was $68,524 per bitcoin. The proceeds were used to partially repay a bitcoin-collateralized loan. After the sale, Cango held 3,313.4 BTC as corporate treasury and produced 454.83 new BTC that month.
In March, Cango sold an additional 2,000 BTC to clear the remaining balance of its crypto-backed debt. Market reports indicate the average selling price ranged between $68,000 and $69,000, bringing in nearly $137 million. As of March 31, Cango's bitcoin reserves stood at 1,025.69 BTC, down from over 7,500 BTC before the sales. The outstanding balance of bitcoin-backed loans fell to $30.6 million.
Hashrate Reduction and Cost Improvements
Following the bitcoin sales and debt reduction, Cango's total operational hashrate declined to 37.01 EH/s as of March 31, compared to a peak of approximately 50 EH/s at the end of 2025. Self-mining contributed 27.98 EH/s, while hosted hashrate provided 9.02 EH/s. The company stated it intentionally scaled down mining operations to improve margins. In March, the average cash cost per bitcoin mined was $68,215.83, a 19.3% improvement from $84,552 in Q4 2025. Cost reductions were attributed to retiring older equipment, deploying newer Bitmain S21 and S21XP miners, relocating capacity to lower-cost power regions, and implementing revenue-sharing agreements at some high-cost sites.
$75 Million Capital Raise and AI Pivot
To fund its business transformation, Cango closed an approximately $65 million internal equity round on March 31, settled in USDT and sourced from company management and insiders. Additionally, the company obtained a $10 million convertible note from DL Holdings, following an earlier ~$10.5 million equity injection in February. In total, $75 million in fresh capital will be used to expand the Ecohash AI computing platform, which leverages GPU-based modular, containerized AI inference computing to serve small and medium enterprises. Cango entered bitcoin mining in November 2024 and has since scaled operations across 40+ sites in North America, the Middle East, South America, and East Africa, while winding down its legacy auto financing and used-car export business.
Financial Performance and NYSE Compliance Notice
For fiscal year 2025, Cango reported revenue of approximately $688 million but a net loss of about $453 million, primarily due to mine construction costs, price volatility, and transition expenses. In early April 2026, the New York Stock Exchange notified Cango that its average closing stock price had fallen below $1 over a 30-day trading period, triggering a continued listing review. The company has six months to regain compliance. Cango stated it will continue mining but will prioritize cash profit margins at each mine site over total hashrate going forward.