Canadian bitcoin mining firm Hut 8 has recycled obsolete bitcoin mining equipment ahead of the halving next year in exchange for carbon credits.
Hut 8 said on Monday that over the past three weeks, it has sent to its recycle partner Electronics Recycling Services (ERS International) about 813,425 pounds, or 369 metric tonnes of obsolete ASIC miners, hash boards, power supply units, and other components. ERS either sold useful parts to third parties or recycled them properly to avoid ending up in a landfill, Hut 8 added.
The company did not specify the miner models that were retired. For context, the weight of 369 metric tonnes is equivalent to about 70,000 units of Bitmain’s Antminer S9.
Following the halving next year, miner models before the S19 generation could run into profitability issues unless bitcoin’s hashprice increases significantly.
ERS generates carbon credits to Hut 8 for such recycling efforts, which Hut 8 said is verified by environmental consultancy firm AET Group.
Hut 8’s cost of bitcoin production was about $19.5k per BTC during the third quarter of this year, which was one of the highest among its competitors.
That indicates that Hut 8, as one of the longest-running public bitcoin mining operators, has not yet fully upgraded its mining fleet with the latest generation of miners.