The mining company Cango reported a net loss of $452.8 million for the year 2025. The firm’s CFO, Michael Zhang, attributed the result to one-time costs related to business transformation and market volatility.
Revenue amounted to $688.1 million, with nearly the entire sum ($675.5 million) derived from bitcoin mining. In its first full year of industrial-scale operations, the company produced 6,594.6 BTC — averaging about 18 coins per day.
Operating expenses exceeded $1.1 billion. Key items included:
- depreciation of mining equipment ($338.3 million);
- revaluation of loans secured by the first cryptocurrency ($96.5 million).
In the fourth quarter, Cango lost $285 million with revenue of $179.5 million and operating expenses of $456 million. The cost of production rose to $106,251 per BTC. With the current price of digital gold at $73,900, mining has ceased to be profitable.
Following the release of the financial report, the company’s shares fell by 14.4%. Over the year, the stock depreciated by more than 60%.
Sale of Reserves and Strategic Shift
In February 2026, Cango sold 4,451 BTC to reduce debt and strengthen its balance sheet. In March, it was also revealed that the firm had shut down 30% of its hash rate.
Instead of accumulating and mining, the company now views bitcoin as a treasury asset to finance new ventures.
CEO Paul Yu stated that Cango is “moving towards AI infrastructure.” In the near term, the company plans to implement modular container solutions for computational tasks in the neural network sector.
The shift towards artificial intelligence has become one of the most notable trends in the crypto industry. Demand for HPC is growing, and miners possess equipment suitable for these needs. Moreover, AI hosting yields more revenue than traditional digital asset mining, which has become unprofitable following the latest halving and prolonged cryptocurrency price declines.
TeraWulf Expansion
TeraWulf continues to increase debt financing as part of its strategy to transition to high-performance computing. The firm has opened a $500 million credit line for one year. The funds will be used to build a data center in Hayesville, USA, reports TheEnergyMag.
The new borrowings are part of a large-scale campaign to raise funds, which has already altered TeraWulf’s capital structure.
By the end of February 2026, the company had completed financing totaling approximately $6.5 billion. The total contracted capacity of the firm’s HPC infrastructure now stands at 522 megawatts of critical IT load. Resources are distributed between the Lake Mariner and Abernathy sites.
In March, analysts at Hashrate Index warned that the oil crisis amid the war in Iran would impact miners through the price of bitcoin.