Digital Asset Miner Hut 8 Reports 44% Increase in Carbon Credits Amid Sector’s Energy Consumption – Mining Making a Comeback?

Cryptocurrency miner, Hut 8 partnered with Sparta Group’s ERS International to establish neutral carbon emissions in 2025 and has recorded massive wins this year.

The Canadian-based crypto miner joined the carbon credit program with a vision toward 2025, partnering with firms and scaling greener mining conditions amid wider criticisms of the sector’s energy usage.

In a recent press release, the firm announced it has earned 7,500 high-quality carbon credits after it submitted 369 metric tonnes of mining waste for the program.

As mining firms move towards reduced emissions, industry executives seek more ways to keep the sector climate-friendly in the wake of recent regulatory steps targeted at their carbon footprints.

Per the release, the program being the first of its kind in the country generates one carbon credit for each metric tonne of carbon dioxide from landfills after deducting logistics costs.

“Hut 8 is set to generate 7,500 carbon credits by the end of 2023, an increase of 44% from the 5,200 generated in 2022. All carbon credits generated in 2023 will be verified and received by Q2 2024.”

AET Group will handle the carbon credit verification as the firm is notable for previously verifying Brookfield and BGIS.

Firms big on collaboration 

Arnold Lee, Hut 8’s Director on ESG hailed the partnership describing it as a step in the right direction as they reduce their carbon footprint and aspire to be more energy efficient.

“Not only are we able to generate verified carbon credits on the CSA Group registries, but our e-waste continues to be recycled and processed responsibly, while we simultaneously divert CO2 from our atmosphere.”

Joseph Cimorelli ERS International Global Head of Business Development explained the track record of success reported so far in the e-carbon program stressing on more collaborations across industries.” 

“Hut 8’s team and their commitment to making environmentally impactful choices with their materials set a commendable standard for the industry. We look forward to the ongoing partnership, dedicated to responsibly addressing the e-waste challenges inherent in such a vast industry,” he added. 

Authorities clamping down on miners 

The cryptocurrency mining sector has come under intense criticism in recent years following major reports of high energy usage similar to figures of Argentina and several countries.

This has led to authorities imposing sanctions spanning from increased taxes, to reduced power supply to mines and a complete ban on mining activities. The White House attempted to introduce a 30% tax on crypto miners citing its high energy usage.

#Crypto mining firms based in the United States could be subject to a 30% tax on electricity costs under a new budget proposal aimed at reducing mining activity.

Read more ????https://t.co/VmWUWVLF8f

— Cryptonews.com (@cryptonews) March 10, 2023

Similarly, Kazakhstan’s President signed a law to reduce the energy usage of digital asset miners while China’s full-scale ban a couple of years ago still lingers in community circles. 

Hut 8’s mining waste sent to ERS International includes hash boards, ASIC miners, and power supply units (PSUs) collected, sold, and recycled by the company.