Bitcoin miner Congo (CANG) completed the sale of 4,451 BTC over the weekend, raising approximately $305 million in USDT as it looks to reduce leverage and restructure its business around artificial intelligence infrastructure.
The company said it raised $305 million from the sale, indicating an average sale price of about $68,524 per coin or not much higher than multi-year low prices for Bitcoin.
Shares were little changed in Monday trading, but shares are down 83% on a year-to-date basis.
The company’s Bitcoin sale was “based on a comprehensive assessment of current market conditions,” the firm said, as it plans changes to its AI computing infrastructure. Cango plans to deploy the modular GPU units across its global network of more than 40 sites to serve small and medium-sized businesses requiring on-demand AI inference capability.
The company used the proceeds from its BTC sale to pay off the Bitcoin-collateralized loan, strengthening its balance sheet. According to BitcoinTreasury data, the company still holds 250 BTC worth more than $3,645 million.
“In response to recent market conditions, we have made a treasury adjustment to strengthen the balance sheet and reduce financial leverage, providing increased ability to finance our strategic expansion into AI compute infrastructure,” the company wrote in a letter to shareholders.
Its move into the AI sector comes as it faces a gap between growing computing demand and existing grid capacity. Cango wrote that he is well positioned to take advantage of that gap.
Congo is not alone. A growing group of Bitcoin miners are reducing the risks of pure mining and redirecting capital and infrastructure toward AI data centers and high-performance computing.
Bitfarms (BITF) has said it plans to exit crypto mining entirely around 2027, and famously declared it is no longer a Bitcoin company as it has shifted to high-performance computing and AI workloads.
KBW analysts warn that the industry’s pivot toward AI workloads is attractive, but the path to monetization is fraught with execution risks. This led to declines not only in Bitfarms but also Bitdir (BTDR) and Hive Digital (HIVE).