Cango, a company based in China, unexpectedly entered the Bitcoin 
$99,269 mining sector in late 2024. Initially known for providing loans to car buyers, the firm aims to become one of the largest Bitcoin miners globally.
Entering the Crypto Mining Arena
Cango, headquartered in Shanghai, has a market capitalization of $363 million. The company is making significant strides in Bitcoin mining by acquiring mining power at 50 EH/s. Cango obtained hardware worth $256 million from Bitmain for an initial 32 EH/s, while planning to raise the remaining 18 EH/s through a stock issuance valued at $144 million.
This investment has boosted Cango’s share value by 362% in 2024, reaching $4.56. Juliet Ye, the company’s senior communications director, noted that this strategy has attracted wider attention to Cango.
Business Diversification and Future Plans
Since 2010, Cango has expanded its business in various ways. Alongside car loans, the company has invested in exports from China, backed electric vehicle manufacturer Li Auto, and ventured into renewable energy projects.
“Bitcoin mining is an effective way to contribute to balancing energy grids.” -Juliet Ye.
Cango’s Bitcoin mining capabilities will account for approximately 6% of Bitcoin’s total computational power. The firm continues to manage its mining operations in collaboration with Bitmain, with plans to establish its own mining team in the future, as stated by Ye.
How Cango manages its Bitcoin stock will depend on market conditions. The company accumulated only 363.9 BTC through mining by November.
Cango’s shift toward Bitcoin mining is viewed as part of its strategies for efficient energy use and increased business diversification. This move strengthens Cango’s financial performance while enhancing its growth potential going forward.
