Chinese automotive and Bitcoin mining company Cango executed a significant divestment of its cryptocurrency holdings in March, selling 2,000 Bitcoin (BTC) as part of a strategic financial restructuring. According to company statements, the sale was conducted at an average price between $68,000 and $69,000 per coin, netting the firm approximately $137 million in proceeds.
The primary objective of the sale was to reduce the company's debt burden. All revenue generated was used to repay Bitcoin-backed loans. As of March 31, Cango's outstanding Bitcoin-backed loan balance stood at $30.6 million, representing a significant reduction following the transaction. Despite the sale, the company retains a substantial treasury of 1,025.69 BTC, indicating it has not abandoned cryptocurrency assets but is pursuing a more balanced financial structure.
In a parallel development, Cango announced a 19.3% reduction in its Bitcoin production cost, lowering it to $68,215 per coin. This is down from an average cash cost of $84,552 per coin reported in the fourth quarter of 2025. The company attributes this improvement to a shift toward a "lean-production model" that prioritizes margin resilience and cost discipline over raw operational scale. This cost reduction is intended to help the company better weather Bitcoin price volatility.
The move is seen as part of a broader trend among publicly listed Bitcoin miners who are prioritizing deleveraging and cash-margin discipline amid tight financing conditions. Cango's update also revealed a $65 million equity investment from members of its leadership team and a $10 million convertible bond from DL Holdings. The miner stated it will continue its de-leveraging efforts to support a planned transition into energy and artificial intelligence (AI) infrastructure.
Cango is the world's sixth-largest Bitcoin mining company by hashrate, controlling 27.9 exahashes per second (EH/s), which accounts for 2.82% of the global Bitcoin mining network hash power. Its total operational hashrate is 37.01 EH/s, including self-mining and hashrate leasing. The company's stock price rose 3.44% in pre-market trading following the announcement, though it has fallen approximately 72% year-to-date.
Experts view Cango's decision as a cautious step from a risk management perspective, suggesting that companies may increasingly utilize crypto assets for debt restructuring and balance sheet optimization. The sale occurs alongside similar actions from other industry players, such as MARA Holdings, which sold about $1.1 billion worth of Bitcoin in March to repurchase convertible debt. In contrast, Michael Saylor's MicroStrategy continues to accumulate Bitcoin, recently disclosing a $330 million purchase.
