Bitcoin miner Cango (NYSE: CANG) could be relocating, upgrading, and retiring as much as 31% of its hashrate, as roughly one third of its 50 EH/s fleet remained offline in February, according to the company’s latest operational update.
Cango said that it averaged 34.55 EH/s in February due to “temporary downtime associated with fleet optimization and relocation efforts.” The operator plans to upgrade certain ASIC miners while also divesting others to clear space for an AI/HPC rollout.
“To better navigate the current market and industry challenges, Cango is optimizing its mining operations through measures such as renegotiating hosting agreements, upgrading equipment, and divesting select rigs. The proceeds are strengthening our balance sheet and financial resilience, funding the migration of operations to lower-cost power regions, and supporting strategic capital allocation for AI computing infrastructure,” the press release reads.
The shift is occurring at a time when hashprice, a metric for tracking bitcoin mining revenue, is hovering just above the all-time low it set in late February.
This operational adjustment aligns with capital events designed to fund Cango’s AI shift. Cango sold 4,451 Bitcoin in February to repay a cryptocurrency-collateralized loan, with the transaction generating $305 million.The sale frees cash flow to deploy modular GPU nodes at existing mining sites, management noted. Cango held 3,313.4 Bitcoin in its treasury as of February 28 and mined 454.83 Bitcoin in February.
Cango is also reworking its c-suite to prepare to enter the new business line, as it recently named Zoom executive Jack Jin as CTO of its AI division to oversee the technical buildout and transition of existing infrastructure.
Prior to entering bitcoin mining in late 2024, Cango operated as an auto-financing business in China. The enterprise pivoted into cryptocurrency in 2024 through hardware acquisitions from Bitmain. The initial purchase established the 50 EH/s foundation and positioned the operator within the mining sector.
