Cango Sells $305M in Bitcoin to Fund Global AI Expansion
Bitcoin miner Cango (CANG) sold 4,451 BTC over the weekend, raising approximately $305 million in USDT as part of a strategic move to reduce leverage and pivot toward artificial intelligence infrastructure. The average sale price worked out to around $68,524 per coin, slightly above bitcoin’s multi-year lows.
Shares were largely unchanged in Monday trading but remain down 83% compared with the same period last year.
The company said the bitcoin sales were “based on a comprehensive assessment of current market conditions” and used the proceeds to repay a bitcoin-backed loan, strengthening its balance sheet. Cango still holds 3,645 BTC, valued at more than $250 million, according to BitcoinTreasuries data.
Cango plans to deploy modular GPU units across over 40 global sites, offering on-demand AI inference capacity to small and mid-sized businesses. “In response to recent market conditions, we have made a treasury adjustment to strengthen our balance sheet and reduce financial leverage, which provides increased capacity to fund our strategic expansion into AI compute infrastructure,” the company wrote in a letter to shareholders.
The shift into AI comes as Cango identifies a growing gap between rising compute demand and existing grid capacity, positioning the company to capitalize on new opportunities.
Cango’s strategy mirrors a broader trend among bitcoin miners moving beyond traditional crypto mining. Bitfarms (BITF) has announced plans to exit bitcoin mining by 2027, emphasizing high-performance computing and AI workloads. Analysts at KBW note that while the industry’s pivot to AI is compelling, monetization remains challenging and execution risks are high, prompting downgrades on companies including Bitfarms, Bitdeer (BTDR), and Hive Digital (HIVE).
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