Another consolidation move is unfolding in West Texas, and this time, it is reshaping ownership inside one of the region’s active Bitcoin (BTC) mining clusters.
Canaan Inc. (NASDAQ: CAN), the Singapore-based manufacturer of Bitcoin mining hardware and operator of crypto infrastructure, has acquired a 49% equity interest in a joint venture tied to multiple mining projects in West Texas from Cipher Mining (NASDAQ: CIFR).
Cipher is a U.S.-based Bitcoin miner that develops and operates large-scale data centers.
The price tag for the deal is $39.75 million, paid entirely in stock.
The transaction covers Cipher’s stake in ABC Projects, Alborz LLC, Bear LLC, and Chief Mountain LLC.
The remaining 51% of the venture is owned by WindHQ.
With this deal, Canaan deepens its operational exposure to Texas, a state that has become one of North America’s most important Bitcoin mining hubs.
Collectively, the sites operate 120 megawatts of energized capacity and support approximately 4.4 exahashes per second (EH/s) of hashrate.
Fleet efficiency stands at roughly 25.7 joules per terahash (J/TH), positioning the assets within competitive efficiency ranges for large-scale operations.
The new deal comes just a couple of months after Cipher Mining signed a $5.5 billion, 15-year deal with Amazon Web Services (AWS) to supply power and space for artificial intelligence (AI) workloads.
The purchase was funded through the issuance of 806.4 million Class A ordinary shares, equivalent to 53.8 million American depositary shares. The newly issued shares are subject to a six-month lock-up.
Cipher shares rose 6.41% following the announcement, while Canaan shares climbed 7.95% on Feb. 24.
Cipher is scheduled to report fourth-quarter earnings before the market opens on Feb. 24, giving investors another checkpoint to assess the company’s broader strategy.
There is another layer to the transaction.
As part of the agreement, Canaan also purchased 6,840 Avalon A15Pro mining rigs that were previously deployed at Cipher’s Black Pearl facility.
That site is being converted into an artificial intelligence and high-performance computing data center, a shift that reflects a broader industry trend.
This story was originally published by TheStreet on Feb 24, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.