How waste heat from Bitcoin mining is used to warm Canadian greenhouses

Key takeaways

• Bitcoin mining produces large amounts of heat which is generally treated as waste. In cold regions, this thermal power is now being tested as a useful resource.

• A pilot project in Manitoba is integrating Bitcoin mining with greenhouse agriculture, reusing heat from servers as a supplemental source of agricultural heating.

• Liquid-cooled mining systems are generally associated with higher and more stable heat capture, making harvested thermal energy suitable for industrial heating applications.

• Reusing mining heat can reduce operating costs for miners and greenhouse operators by improving energy efficiency and reducing reliance on fossil fuels.

Bitcoin (BTC) mining is criticized for consuming large amounts of electricity and generating significant heat which is typically treated as waste and must be cooled or disposed of. In colder regions, this heat is now being tested as a potentially useful byproduct.

In the province of Manitoba, Canada, a pilot project is examining whether heat produced by Bitcoin mining can be reused to support greenhouse agriculture. Integrating Bitcoin mining with greenhouse agriculture provides a practical way to reuse the heat generated during the mining process.

This guide discusses the Manitoba pilot project and explores how thermal waste from digital infrastructure can be reused. He also explains how improving thermal efficiency can help reduce Bitcoin mining operating costs, while discussing new mining-integrated heating models and their limitations.

Recovering thermal waste from digital infrastructures

Bitcoin mining relies on specialized equipment that performs a large volume of calculations to secure the network and confirm transactions. This continuous processing generates significant heat, similar to that in data centers, but often with higher power density.

Traditionally, miners use fans or cooling systems to remove this heat. In colder climates, this creates a paradox. Electricity is used to generate heat, then additional electricity is consumed to dissipate it. Even in areas where neighboring buildings need heating for much of the year, simply rejecting heat can seem inefficient.

This has led some mining companies to ask a simple question: why not reuse the heat instead of discharging it? This line of thinking underpins efforts to integrate Bitcoin mining with greenhouse agriculture.

Did you know? In parts of Finland and Sweden, waste heat from conventional data centers is used heat entire residential neighborhoods using municipal heating networks.

Manitoba Pilot Project: Canaan and Bitforest Collaborate

The Manitoba pilot brings together hardware manufacturer and mining company Canaan with Bitforest Investment, a company focused on sustainable infrastructure and agriculture.

The project operates with a mining capacity of approximately 3 megawatts (MW) and is planned as a 24-month proof of concept. Its goal is not only to demonstrate technical feasibility, but also to collect data to determine whether the model can be adapted to broader agricultural or industrial applications.

Instead of typical air-cooled mining machines, the system uses liquid-cooled servers from Canaan’s Avalon series. Approximately 360 mining units are installed and connected to a closed-loop heat exchange system that transfers heat to the greenhouse’s water-based heating infrastructure.

Rather than completely replacing existing heating systems, heat from mining is used to preheat incoming water. This can reduce the energy required by conventional boilers, particularly in colder months.

The synergy between Bitcoin mining and greenhouse agriculture

Greenhouses require constant, continuous heating, especially in northern regions where winter temperatures can be extremely low. Tomatoes and other crops grown year-round are sensitive to temperature fluctuations, making reliable heat essential for consistent production.

From a technical perspective, this constant energy demand aligns well with Bitcoin mining, which produces predictable and continuous heat. When captured efficiently, a significant portion of the electricity consumed by mining equipment can be converted into usable thermal energy.

Liquid cooling plays a key role in this process. Compared to air cooling, liquid-cooled systems capture heat at higher, more stable temperatures, making them suitable for industrial heating applications rather than just space heating.

Did you know? Some companies sell Bitcoin mining rigs designed to work like home heaters, allowing owners to heat coins while mining cryptocurrency.

Reduce operational costs with thermal efficiency

Heating represents a significant operating cost for greenhouse operators. Any reduction in fossil fuel use can potentially improve profitability while reducing carbon emissions.

For miners, heat reuse can improve overall energy efficiency. This could help make marginal sites more viable, particularly in areas where heating demand is constant and electricity prices remain reasonable.

This is why heat recovery is attracting interest beyond agriculture, particularly for applications in domestic heating, industrial drying and district heating networks.

Although heat reuse does not eliminate the energy footprint of mining, it can significantly improve the efficiency of using that energy.

New operating models in digital mining

Manitoba’s initiative is not an isolated case. Across the sector, operators are testing different ways to reduce costs and improve community relations, as mining complexity and industry competition have increased in recent years.

Some mining companies have relocated their operations closer to renewable energy sources such as hydroelectric dams, wind farms and solar power plants. Others are developing modular installations designed to utilize excess energy production.

Heat reuse adds another layer to this strategy, positioning miners as partners in local infrastructure rather than stand-alone industrial sites. This approach also reflects trends in modern data center design, where waste heat recovery is increasingly integrated into urban planning, particularly in colder European cities.

Establishing a repeatable model for heat recovery in cold climates

Canaan’s main goal is not just to heat a single greenhouse, but to develop a model that can be applied to other cold climate regions.

This involves collecting operational data on:

• Heat capture efficiency

• Reliability of liquid-cooled mining systems

• Integration with existing greenhouse heating equipment

• Maintenance and operational complexity

• Overall savings compared to conventional heating.

If economic conditions prove viable over time, similar systems could be deployed in the northern states of the United States, parts of Europe, and other agricultural regions that rely heavily on heated greenhouses.

Did you know? Several French municipalities have pilot public swimming pools heated in part by server waste heat from neighboring facilities.

Limitations of integrated mining heating

Despite its potential, the reuse of waste heat is not a solution to all situations:

• The initial cost of liquid-cooled systems and heat exchange equipment is higher than that of standard mining installations. Without a consistent, long-term heating demand, these costs may not be justified.

• Not all sites have suitable nearby partners who can use heat efficiently. Since heat cannot be transported over long distances without significant losses, close proximity between mining installations and heat users is necessary.

• Agricultural operations depend on reliable availability. Any disruption to mining could affect heating consistency, so backup systems must remain in place.

• Reusing heat does not answer broader questions about energy sources. The environmental benefits are greatest when mining operations rely on low-carbon electricity.

Why It Matters for Bitcoin’s Long-Term History

The debate over Bitcoin energy has increasingly shifted from total consumption figures to how and where that energy is used.

Projects such as Manitoba’s greenhouse pilot suggest that mining infrastructure can be designed to align with, rather than compete with, local energy and heating needs.

If these models demonstrate commercial viability, they could help position mining as part of regional energy systems. Bitcoin mining would no longer appear as an isolated digital sector but as a layer of infrastructure that supports other economic activities.

The widespread use of integrated heating will depend on technical performance, cost trends and long-term reliability.