Cango (CANG) Shares Plummet as Miner Abandons Bitcoin Mining for AI After First Year

TLDR

• Cango (CANG) reported a net loss of $452.8 million for the 2025 fiscal year, despite generating $688.1 million in revenue.
• The company saw a $285 million loss in Q4 alone, impacted by an $81.4 million impairment on mining hardware and a $171.4 million fair-value loss on Bitcoin-backed receivables.
• In February 2026, the firm sold approximately $305 million worth of Bitcoin to reduce its debt obligations.
• Cango is rebranding as EcoHash as it transitions its focus from Bitcoin mining to AI infrastructure.
• The stock price has plummeted more than 84% over the last six months, currently trading at roughly $0.68.

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(SeaPRwire) –   Cango (CANG) experienced a difficult inaugural year in the Bitcoin mining sector. The firm posted a full-year net loss of $452.8 million for 2025, even as it brought in $688.1 million in total revenue—with $675.5 million of that coming from mining operations. High expenses ultimately overwhelmed the company’s earnings.

Cango Inc., CANG

The fourth quarter of 2025 followed a similar pattern. While revenue reached $179.5 million for the period, total operating costs and expenses surged to $456.0 million, resulting in a quarterly net loss of $285 million.

The primary contributors to these losses were non-cash charges, including an $81.4 million impairment on mining equipment and a $171.4 million loss related to fair-value changes in Bitcoin-collateralized receivables. Additionally, all-in mining costs rose to $106,251 per BTC during the fourth quarter.

CFO Michael Zhang noted that the losses were largely the result of non-recurring costs associated with the company’s transformation and market-driven adjustments to fair value.

For the full year, Cango produced 6,594.6 Bitcoin, averaging approximately 18.07 BTC per day. However, total operating expenses reached $1.1 billion, which included $338.3 million in impairment losses on its mining fleet.

Cango’s Transition to AI

The firm has been quietly shifting its strategic direction. In April 2025, Cango divested its legacy Chinese auto financing unit for $352 million to Ursalpha Digital Limited, a company associated with Bitmain. That transaction included the transfer of 32 exahashes per second of mining capacity, instantly turning Cango into a dedicated Bitcoin miner.

Now, the company is pivoting once more. In February 2026, Cango secured $75.5 million in equity and liquidated 4,451 BTC for about $305 million to lower its leverage. CEO Paul Yu stated that the organization is “moving forward with our transition to become a provider of AI infrastructure.”

This new strategic focus includes a name change to EcoHash. The company intends to repurpose its existing energy and computing infrastructure to support AI inference workloads.

Cango is following a trend seen across the industry. Following the Bitcoin halving in April 2024, which reduced block rewards by half, many miners began looking for alternative uses for their power-intensive facilities. The rising demand for AI has provided a new opportunity.

Companies such as Bitfarms, Hut 8, Riot Platforms, and Core Scientific have all made similar moves. Last year, Core Scientific was acquired by CoreWeave in a $9 billion transaction, signaling that AI firms place high value on the energy contracts held by mining operations.

Stock Performance

The broader market environment has also been difficult. Bitcoin’s price fell below $90,000 in November 2025, a nearly 30% drop from its October peak of over $126,000. By March 2026, the cryptocurrency was trading near $73,700.

CANG shares have reflected this downward pressure. The stock price slid from approximately $4.50 on October 1, 2025, to about $1.50 by the end of the year. At the time of this report, it is trading at $0.68, marking a decline of over 84% in six months.

The company’s 2025 production of 6,594.6 Bitcoin came at an all-in cost of $106,251 per BTC in Q4, a figure that left little room for profit even before accounting for impairment charges.