Canaan's Q2 2025 Earnings Call: Navigating Contradictions in Market Demand, Bitcoin Revenue, and Strategic Direction

U.S. market demand and tariffs, Bitcoin mining revenue growth, Bitcoin treasury strategy, AI and Bitcoin mining relationship, and demand for cooling systems are the key contradictions discussed in Canaan's latest 2025Q2 earnings call.



Revenue and Financial Performance:
- Canaan Inc. reported total revenue of $100.2 million for Q2, marking a 40% year-over-year increase.
- The growth was driven by the performance of Avalon Industrial Mining Solutions and Avalon Home series, as well as strong mining revenue contributions.

Bitcoin Treasury Expansion:
- Canaan's Bitcoin treasury grew to a record high of 1,511 Bitcoins by the end of July.
- This expansion is attributed to the company's strategy of accepting Bitcoin payments for mining equipment, mining operations, and direct purchases in the secondary market.

Product Sales and ASP Increase:
- Product sales reached $72 million, with an average selling price (ASP) of $11.1 per terahash, marking a new quarterly high.
- The increase in ASP was due to higher demand for high-performance miners outside the U.S., despite tariff-related cost pressures affecting U.S. customers.

U.S. Market Strategy and Expansion:
- Canaan established manufacturing capacity in the U.S. and secured orders from companies like Cipher and Clean Spark despite U.S. tariff challenges.
- The company aims to expand in North America by focusing on stable demand, strategic customer engagement, and leveraging manufacturing capabilities to reduce costs.