Canaan Taps Crypto Treasury for Nearly 20% of Its Market Value

Canaan, a Bitcoin mining machine manufacturer, has opened up a new funding channel for share buybacks. This allows management to sell part of its $130 million digital asset treasury to fund repurchases.

The move could potentially support the per-share value but would shrink the reserve available to Canaan's loss-making Bitcoin mining and hardware business.

Canaan had a market cap of $144.7 million as of August 4, according to StockAnalysis data sourced from S&P Global Market Intelligence. Adding its digital asset estimate of approximately $130 million and cash balance of $43.5 million, the total reaches $173.5 million.

This amount is roughly $28.8 million or 19.9% above the intraday market cap. However, this calculation omits liabilities and asset restrictions, offering a directional view of the discount rather than an exact net asset value.