The investment, completed through a registered direct offering, involved the sale of 63.7 million American depositary shares at $1.13 apiece. Canaan said the capital injection will help strengthen its financial position and limit future reliance on short-term fundraising, signaling a strategic pivot toward long-term stability.

A Vote of Confidence from Institutional Heavyweights

The involvement of Galaxy, Weiss, and Brevan Howard underscores a growing institutional appetite for direct exposure to Bitcoin’s backbone industries. Rather than betting on tokens or ETFs, these firms are now targeting the companies that manufacture and maintain the tools behind the network’s security.

Canaan’s new investors represent some of the most established names bridging traditional finance and digital assets. For Canaan, the deal reflects what it called “a shift toward partnerships with fundamentals-focused investment groups,” replacing the more opportunistic capital raises that defined its earlier years.

A Veteran Miner Reinforces Its Core

Founded in 2013, Canaan was among the first to commercialize ASIC-based mining machines and quickly became synonymous with its flagship Avalon line. While many of its peers diversified into AI chip production and cloud computing to offset market volatility, Canaan has opted to do the opposite — return to its roots.

The company announced in mid-2025 that it would end all AI-related hardware projects, citing a renewed focus on mining systems and infrastructure. Chairman and CEO Nangeng Zhang called this a “strategic recommitment” to what Canaan does best: powering the Bitcoin network through advanced, efficient ASIC design.

Building Momentum in the U.S.

Canaan has been quietly expanding its footprint in North America, completing a pilot production run in the United States earlier this year. The goal: to speed up equipment delivery to U.S.-based miners and strengthen relationships in the region now responsible for nearly 38% of global Bitcoin hashrate.

That decision is already paying off. In October, Canaan’s stock climbed over 26% after it revealed a 50,000-rig order from an unnamed U.S. customer — its largest deal in more than three years. The company said such orders validate its decision to stay laser-focused on Bitcoin mining instead of chasing the AI trend.

Strategic Positioning for the Next Cycle

The latest investment effectively gives Canaan the breathing room it needs to scale operations and prepare for the next market expansion. Industry observers view this round as not just a cash infusion but a signal that deep-pocketed investors see long-term value in the mining ecosystem — especially as Bitcoin’s next halving approaches.

With Galaxy Digital and Brevan Howard Digital now on board, Canaan is positioned to strengthen its supply chain, accelerate ASIC innovation, and deepen its reach in the Western mining landscape. The company’s share price reaction — up nearly 9% in Tuesday’s trading — suggests the market agrees that this is more than just another capital raise.

The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.

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Filed under: Bitcoin - @ November 5, 2025 8:05 pm