Cango (CANG) offloaded 4,451 bitcoins in February 2026. The once auto-services company turned miner used the proceeds to slash debt and finance a full pivot into AI infrastructure.
Behind the 4,451 BTC Sale
For full-year 2025, Cango posted $688.1 million in revenue but a net loss of $452.8 million. Impairment charges on mining machines, fair value losses, and an all-in production cost of roughly $97,000 per bitcoin crushed profitability. The company mined 6,594 BTC in 2025, with bitcoin operations contributing $675.5 million to the top line — rapid growth, but profitability was weak.
CFO Michael Zhang attributed the loss to “non-recurring transformation costs” while emphasizing efforts to secure capital for AI investments. CEO Paul Yu stated the firm is “advancing our pivot to become an AI infrastructure provider,” with its EcoHash platform targeting “flexible, cost-effective AI inference solutions.”
Mining Cost Near $100K Per BTC
The bitcoin sale does not signal a change in treasury strategy — the company explicitly said it was used to “reduce the overall finance leverage and strengthen the balance sheet,” freeing up capital for new initiatives. Bitcoin is being deployed as a treasury asset rather than accumulated.
The high production cost stemmed from heavy capital expenditure on machine procurement and deployment, plus impairment triggered by BTC price moves. With all-in cost nearing $100,000, some output was barely above breakeven.
AI Pivot: From Mining Rigs to Compute Services
EcoHash, the platform CEO Paul Yu referenced, focuses on AI inference rather than training — targeting customers that need flexible, low-cost solutions. Cango has not disclosed the platform's compute capacity or any client contracts, but management said capital freed from BTC sales is already flowing into AI infrastructure buildout.
CFO Michael Zhang added that “non-recurring” items in the loss include disposal costs of old mining rigs and restructuring expenses. He framed these as one-time payments to allow the company to enter the AI sector with a clean balance sheet.
Miners Flock to AI
Cango's move mirrors a broader industry trend. CoinDesk research shows public miners have continued selling bitcoin to fund AI developments. Shrinking mining margins and surging demand for high-performance computing are pushing miners to repurpose infrastructure and monetize BTC holdings to access the faster-growing AI market.
Cango shares trade around $0.68, down 43% over the past three months. The market remains skeptical, but the company's cash position and AI plan details will be key to watch in upcoming reports.