Canaan stacks Bitcoin, bucking rival miners rush to sell
While many public mining companies have been aggressively reducing their Bitcoin holdings, the Chinese mining firm Canaan, on the contrary, significantly increased its BTC and ETH reserves in February this year.
According to CoinTelegraph data, as of the end of February, Canaan owned 3,532 BTC and 18,528 ETH, which is a record high for the company. This happened against the backdrop of Canaan's active expansion of mining capacities in Texas - one of the largest Bitcoin mining hubs in the US.
At the same time, many other public mining companies, such as Core Scientific, Riot Blockchain and Marathon Digital Holdings, have been actively selling their Bitcoin reserves in recent months to cover operating expenses and repay debts. Such actions were caused, among other things, by the sharp drop in the cryptocurrency's price in 2022.
Canaan's strategy stands out against this background and is likely due to a more conservative approach of the company's management to liquidity management and a bet on the long-term growth of Bitcoin. This position may prove justified if the price of the first cryptocurrency recovers in the coming months, unlike competitors who may need more time to restore their reserves.