v3.26.1
Property, Plant, and Equipment, Net
 3 Months Ended
Mar. 31, 2026
Property, Plant, and Equipment, Net [Abstract]  
PROPERTY, PLANT, AND EQUIPMENT, NET

9. PROPERTY, PLANT, AND EQUIPMENT, NET

 

Property, plant and equipment, net was comprised of the following:

 

   March 31,
2026		   December 31,
2025		 
Miners for Bitcoin  $48,785,348   $48,785,348 
Cloud service equipment   100,226,239    146,589,318 
Colocation service equipment   33,552,061    31,874,970 
Purchased and internally developed software   5,775,894    4,633,157 
Land   6,449,885    6,510,574 
Leasehold improvements   31,296,699    30,088,308 
Vehicle   235,576    235,576 
Other property and equipment   58,918    36,069 
           
Less: Accumulated depreciation   (68,732,749)   (65,552,951)
    157,647,871    203,200,369 
Construction in progress   294,321,529    157,042,649 
Property, plant, and equipment, net  $451,969,400   $360,243,018 

 

For the three months ended March 31, 2026 and 2025, depreciation expenses were $9.9 million and $7.1 million, respectively. Construction in progress represents assets received but not placed into service as of March 31, 2026 and December 31, 2025.

During 2024 and 2025, the Company purchased data storage and network equipment that was subsequently derecognized from property, plant and equipment upon entering into sales-type lease arrangements, with the related assets recorded as net investments in leases, totaling approximately $10.6 million and $7.9 million, respectively. No such transactions occurred during 2026.

 

Disposals of Property, Plant and Equipment

 

For the three months ended March 31, 2026, the Company sold 126 H200s GPU for a total consideration of approximately $26.1 million. On the date of the transaction, the carrying amount of these GPUs was $24.3 million. The Company recognized a gain of $1.8 million from the sale which was recorded within net gain from disposal of property, plant and equipment. As of the date of this Form 10-Q, the Company has collected the full cash consideration of $26.1 million.