Canaan, a Bitcoin mining machine manufacturer, said on Aug. 4 that it can sell part of its approximately $130 million crypto treasury to fund share buybacks under an existing repurchase program, according to an SEC filing.
The announcement authorizes use of digital asset proceeds but disclosed no actual treasury sale or repurchase execution. Canaan’s core hardware business is loss-making, and the expanding crypto reserves have become increasingly central to the company’s market valuation.
Buyback Program Details
The buyback program began Dec. 12, 2025, with a 12-month $30 million ceiling for repurchases of American Depositary Shares (ADSs) or Class A ordinary shares. By May 19, 2026, Canaan had spent approximately $2 million to buy back about 2.8 million ADSs, leaving nominal remaining capacity of about $28 million.
The Aug. 4 authorization expands the potential funding source by permitting use of crypto treasury proceeds alongside cash reserves. Canaan did not disclose whether any treasury sale has occurred or the current unused buyback authorization amount as of Aug. 4.
Digital Assets and Cash Position
As of June 30, 2026, Canaan held 1,915 BTC and 3,952 ETH, according to the company’s operating update. The crypto treasury was valued at approximately $130 million on Aug. 3. At March 31, Canaan had $43.5 million in cash against $106.4 million in current liabilities, down from $80.8 million in cash at year-end.
Canaan pledged 905 BTC for secured term loans and placed 100 BTC in a fixed-term product, restricting portions of its holdings. The company did not specify current crypto holdings or amounts available for immediate use as of Aug. 4, and current cash and liability figures for that date were not disclosed.
Operating Performance and Valuation
Canaan’s first-quarter 2026 results showed a $22.9 million gross loss, a $54.3 million operating loss, and an $88.7 million net loss. The company guided for second-quarter revenue between $35 million and $45 million.
At Aug. 4, 2:55 p.m. EDT, Canaan’s market capitalization was valued at approximately $144.7 million by S&P Global Market Intelligence. The gross sum of digital assets and cash totaled $173.5 million, representing a $28.8 million or 19.9% discount between market cap and the combined asset value. This calculation uses inputs from different dates (Aug. 3 crypto valuation, March 31 cash balance, Aug. 4 market cap) and omits liabilities and asset restrictions, limiting its precision.
