NYSE-listed firm dumps millions in Bitcoin to repay loan

Cango (NYSE: CANG), a Bitcoin (BTC) mining company, said it sold 4,451 BTC implicit the weekend, generating nett proceeds of astir $305 cardinal arsenic it moves to trim leverage tied to a bitcoin-collateralized loan.

The institution said connected Feb. 9 the transaction was settled successful Tether’s USDT stablecoin, with the afloat magnitude utilized to wage down indebtedness backed by its Bitcoin holdings.

Related: Popular crypto institution exits Bitcoin amid crash

The determination comes arsenic mining economics stay volatile and reflects what the institution described arsenic a balance-sheet accommodation alternatively than a retreat from mining operations.

Cango said the merchantability followed a reappraisal of marketplace conditions and was approved by its committee of directors. The institution added that it remains committed to its Bitcoin operations portion prioritizing superior discipline.

Bitcoin mining is the process of utilizing specialized computing systems to lick analyzable cryptographic puzzles to verify and adhd blocks containing BTC transactions to the chain.

In exchange, miners person rewards successful the signifier of BTC.

But aggregate Bitcoin halvings, rising powerfulness costs, and the caller Bitcoin clang don't marque mining a lucrative endeavor anymore.

Bitcoin miners person found artificial quality (AI) alluring, and fixed their ready infrastructure, it's not a hard transition. The lawsuit is nary antithetic for Cango either.

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Beyond indebtedness reduction, Cango said the proceeds are expected to enactment its enlargement into AI. The institution is executing a strategical pivot by utilizing its globally accessed, grid-connected infrastructure to supply distributed compute capableness for the AI industry.

The archetypal signifier volition absorption connected providing inference capableness for tiny and midsized enterprises. A aboriginal signifier is expected to halfway connected processing bundle to coordinate Cango’s distributed GPU resources.

To enactment the effort, Cango appointed Jack Jin arsenic main exertion serviceman of its AI concern line. Jin antecedently led large-scale GPU infrastructure and orchestration systems astatine Zoom Communications, according to the company.

Cango entered the bitcoin mining assemblage successful precocious 2024 and closed 2025 with Bitcoin reserves exceeding 7,500 BTC. The institution said it plans to proceed balancing mining standard and ratio portion advancing its AI strategy.

The CANG banal was exchanging hands at 0.9690 successful pre-market hours connected Feb. 9, down 0.49%.