Cango Inc., the Nasdaq-listed Bitcoin miner, cut its per-BTC production cost sharply in March—without chasing raw hash-rate growth. The company said it lowered its average production cost by 19.3% to $68,216 per BTC in March, down from $84,552 in Q4, largely through fleet optimization rather than buying new miners.
Operation overhaul, not expansion
Instead of expanding, Cango decommissioned older rigs and moved capacity to lower-cost power regions. In higher-cost hosting locations the firm shifted to hash-rate leasing arrangements, a model that lets it keep revenue streams while shedding full operational expenses and overhead. At the end of March Cango reported total hash rate of 37.01 EH/s—27.98 EH/s from its own mining operations and 9.02 EH/s from leased arrangements.
Balance-sheet moves: 2,000 BTC sold to cut debt
Cango sold 2,000 BTC during March—roughly $143 million at current valuations—to retire crypto-backed debt and substantially pare down leverage. The sale brought the company’s outstanding loan balances to $30.6 million. After that move, Cango still held 1,025.69 BTC in its treasury as of March 31, worth just over $73 million at the time of reporting.
Preparing for AI: redeploying capital and facilities
Management says the cost cuts are tactical preparation for a strategic pivot: the company plans to redeploy capital from deleveraging into AI computing infrastructure. Cango frames AI buildout as a natural extension of its existing power and facility investments, positioning lower unit costs as a foundation for broader data center and compute offerings.
Industry-wide trend: miners rethinking business models
Cango’s shift mirrors a wider industry recalibration. Public miners are increasingly focused on unit economics and alternative revenue streams as margins compress. Marathon Digital (MARA) recently sold about $1.1 billion in Bitcoin to repurchase convertible debt while trimming headcount by 15%. Core Scientific has explored monetizing its BTC holdings to fund an AI transition, and Cipher Digital has retooled toward data center operations under a long-term infrastructure deal. The moves highlight miners’ pivot from pure hash-rate competition toward diversified compute and data-center plays.
Market reaction
Cango shares (CANG) ticked up 3.3% on Wednesday to $0.4291 amid a broadly green market day following a conditional U.S.–Iran ceasefire, but remain under pressure—CANG has fallen nearly 39% over the past month.
Bottom line: Cango is cutting costs and trimming debt now to fund a possible expansion into AI compute, joining a growing cohort of miners leveraging power and real estate assets for higher-margin infrastructure opportunities.
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