Canaan Inc. launched a 3-megawatt compute heat recovery pilot this week designed to capture waste heat from its liquid-cooled computing equipment and use it to heat a commercial greenhouse, the company said Jan. 6. The initiative marks a fresh step in efforts by a major crypto hardware maker to improve energy efficiency and cut the environmental footprint of high-density computing.

The pilot is taking place at a greenhouse facility in Manitoba, Canada, operated by Bitforest Investment Ltd., and will run for an initial 24-month term, executives said. Under the agreement, Canaan will install 360 Avalon A1566HA-460T liquid-cooled computing servers and four liquid-cooling container modules that together generate about 3 MW of usable heat. The system is built to integrate with the greenhouse’s existing electric boiler heating loop.

Canaan said heat captured from computing servers will preheat intake water for electric boilers through a closed-loop heat exchange system. Based on current estimates, about 90 % of the electricity consumed by the servers could be captured and transferred as useful heat rather than lost to the atmosphere. Used heat will help sustain internal climate conditions for greenhouse crops, such as tomato plants, during cold months.

Pilot Tests a New Energy-Reuse Model

The project aims to validate whether compute waste heat can serve as a reliable supplemental heat source in agricultural settings, particularly in colder climates where heat demands are high. Canaan executives said the pilot will measure key performance indicators such as heat-recovery efficiency, system stability and maintenance intensity once fully operational.

The pilot also tests a low all-in power cost of approximately US $0.035 per kilowatt-hour, which includes power consumption, routine operations, troubleshooting and maintenance. If Bitforest participates in grid demand-response programs or sells surplus power back to the grid, Canaan would share in the resulting economic benefits.

Canaan said its liquid-cooling technology produces hot water above 75 °C, making recycled heat directly usable for greenhouse operations without additional heating stages. The company also noted that efficient heat reuse could remove the need for industrial cooling towers typically required for data centers with liquid-cooled equipment.

Broader Sustainability Push

Canaan described the Manitoba pilot as part of its broader energy efficiency and sustainability initiatives. The company has explored other heat reuse projects, including industrial applications and consumer-oriented products that make use of energy otherwise wasted in computing operations.

Large greenhouse operations have traditionally relied on fossil-fueled boilers for primary heat. In regions such as Canada, policies that put a price on carbon emissions have encouraged greenhouse operators to seek lower-carbon heating options. Canaan’s approach seeks to leverage high-density computing as a dual-purpose asset — delivering computing performance while generating heat that supports agricultural production.

The pilot’s success could influence how other data-intensive companies think about integrating waste-heat recovery into commercial and industrial settings.