Canaan’s new initiative plans to help grow tomatoes with heat from Bitcoin mining

Hardware manufacturer Canaan has launched a new proof-of-concept project that blends Bitcoin mining with agriculture, deploying liquid-cooled computing equipment to recover waste heat for use in a commercial greenhouse in Manitoba, Canada.

The initiative, announced Tuesday, is designed to test whether high-density computing infrastructure can function as a practical source of supplemental heat in cold climates rather than venting excess energy into the air.

The 3 MW pilot is being carried out in partnership with Bitforest Investment, which will host the equipment at the greenhouse site. Under an initial 24-month agreement, Canaan will deploy 360 of its Avalon A1566HA-460T liquid-cooled computing servers, housed in four containerized cooling modules, with the host targeting 95% uptime for the equipment. Bitforest’s Manitoba greenhouse operations are centered on tomato production, including year-round cultivation.

Heat generated by the mining machines will be captured through a closed-loop heat-exchange system and used to preheat intake water for the greenhouse’s electric boilers. Based on current assumptions, Canaan estimates that around 90% of the electricity consumed by the computing servers can be transferred to the heating system, though the company noted actual performance metrics will only be confirmed once the project is fully operational.

Beyond energy reuse, Canaan said the project will allow it to evaluate key performance indicators for agricultural applications under real operating conditions, including heat recovery efficiency, system stability, and operating and maintenance intensity.

Canaan also anticipates the design could reduce both capital and operating costs compared with conventional liquid-cooled data centers. By integrating heat recovery directly into the greenhouse’s existing boiler loop, the setup avoids the need for industrial cooling towers that would otherwise be required. The company disclosed an all-in power cost of about $0.035 per kilowatt-hour, which includes electricity, operations, troubleshooting, and maintenance, with potential upside if Bitforest participates in demand-response programs or sells power back to the grid.

Large greenhouse facilities often rely on fossil-fuel boilers for primary heating, and several regions, including Canada, have introduced carbon pricing to encourage lower-emission alternatives. Canaan said the combined system is designed to circulate up to one million tonnes of hot water annually by recycling heat that would otherwise be wasted, improving overall site efficiency while reducing environmental impact.

“This program will allow us to measure, model, and scale heat recovery for agriculture in colder climates,” Canaan Chairman and CEO Nangeng Zhang said in a statement, adding that liquid cooling enables the system to output hot water above 75°C — making the heat directly usable for greenhouse operations. He described the project as part of broader efforts to rethink how computing infrastructure can enhance energy sustainability across households, businesses, and industrial partners.

The evolution of dual-purpose Bitcoin mining

The pilot forms part of Canaan’s broader effort to improve the efficiency of high-density computing by using advanced semiconductor chips to enable practical energy reuse across commercial and consumer settings.

Last January, the firm launched the Avalon Mini 3, a Bitcoin mining device that can also operate as a home heater.

“We’re reimagining how technology can create value while minimizing environmental waste,” Zhang said at the time. “The Avalon Mini 3’s ability to generate cryptocurrency while heating your home is a perfect example of our vision for sustainable, multi-purpose technology.”

Canaan was not the only hardware manufacturer to enter the Bitcoin mining home heater market. Heatbit shipped its dual-purpose devices in 2022, while several third-party companies and DIY enthusiasts have also adapted Bitmain’s machines, particularly the Antminer S9 and S17 models, to serve dual purposes as both Bitcoin miners and space heaters.

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