Canaan Targets 1GW Through Deals as Home Bitcoin Mining Returns

Canaan Inc (CAN) is targeting up to 1 gigawatt (GW) of operated power capacity through acquisitions in 2026 while seeing growing demand for home-mining products, as shifting economics and industry consolidation reshape Bitcoin mining.

The strategy comes as Canaan's newer business lines grow faster than its traditional mining hardware segment, suggesting the company is becoming less reliant on industrial equipment sales. Home-mining product revenue surged 850% year over year to $24.6mn in 2025, while self-mining revenue rose 98.5%, outpacing 82.2% growth in industrial mining equipment revenue.

Still, industrial hardware remained the company's largest business, accounting for 73.7% of revenue.

"The network is expanding, but in a different way. In the past, it was driven by public companies, large data centers... right now, I see that trend is changing. The drivers have been changed to consumers, to people who are trying to balance the grid," Leo Wang, Canaan's vice-president of capital markets and corporate development, told Sandmark in April.

The company sold $25mn of consumer products to more than 60,000 home users last year, indicating products aimed at individual users are growing as the mining industry adjusts to constraints, including a bear market for Bitcoin prices and large miners' shift to supply artificial intelligence demand for data centres.

Acquisition drive

Wang said acquisitions are expected to play a central role in the company's next phase of expansion. "We're pretty confident that by the year-end, we will have up to 1 gigawatt of power operated by our acquisitions," he said. The target would mark a significant increase from Canaan's current scale. In its latest earnings, the company reported roughly 10 EH/s of installed computing power globally.

The company is expected to report first-quarter earnings on 19 May. Wall Street analysts currently maintain a consensus "strong buy" rating on the shares, despite the company having posted a diluted net loss per share of $0.89 in the past quarter.

The company last year acquired Cipher Digital Inc mining's interest in three Texas mining projects in a stock deal valued at about $40mn, after Cipher moved further into high-performance computing infrastructure.

"It's not about the market changes, it's more about you seeing the market," Wang said, claiming the company sold nearly 90% of its hardware inventory in 2025 foreseeing a prolonged bear market for Bitcoin prices.

"Now that we are in a bear market, we have seen the opportunity to consolidate the market a little bit... I want to see more of these deals coming soon. I personally would love to see it," Wang said.

Weaker economics drive deals

Wang said the company is focused primarily on North America and is evaluating opportunities tied to power assets, mining operations and related infrastructure.

He also suggested dealmaking conditions have become more favourable for capitalized players over the past few months. "Today, if we do a deal, it's easier," Wang said, referring to pressure across parts of the mining sector.

Mining economics remain strained in 2026. Bitcoin hash price – a measure of expected revenue earned from computing power – fell to $23.9 PH/s/day in the first quarter, its lowest level since 2018, before recovering to around $39 on 18 May, according to Hashrate Index data.

CoinShares estimated that 15–20% of the global mining fleet was unprofitable during the first quarter, particularly for operators relying on older machines and paying higher electricity costs.

Bitcoin traded at $77,020 as of 20:19 UTC, while Canaan shares closed at $0.48 on Nasdaq, down 3.54% on the day.