Hut 8 10-Q13 Nov 242024 Q3 Quarterly reportFinancial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
Document and Entity Information - shares	Sep. 30, 2024	Nov. 12, 2024
Document and Entity Information
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Securities Act File Number	001-41864
Entity Registrant Name	Hut 8 Corp.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	92-2056803
Entity Address, Address Line One	1101 Brickell Avenue, Suite 1500
Entity Address, City or Town	Miami
Entity Address, State or Province	FL
Entity Address, Postal Zip Code	33131
City Area Code	305
Local Phone Number	224-6427
Title of 12(b) Security	Common Stock, par value $0.01 per share
Trading Symbol	HUT
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	true
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		93,581,092
Entity Central Index Key	0001964789
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Current assets
Cash	$ 72,282,000	$ 30,504,000
Restricted cash	629,000	453,000
Accounts receivable, net	6,067,000	3,336,000
Deposits and prepaid expenses	28,025,000	18,457,000
Digital assets - held in custody	1,306,000	4,963,000
Equipment held for sale	0	3,907,000
Income taxes receivable	1,943,000
Total current assets	110,252,000	61,620,000
Non-current assets
Digital assets - held in custody	305,499,000	282,997,000
Digital assets - pledged as collateral	269,663,000	100,550,000
Property and equipment, net	194,107,000	118,069,000
Operating lease right-of-use asset	20,654,000	14,534,000
Deposits and prepaid expenses	37,845,000	5,540,000
Investment in unconsolidated joint venture	80,113,000	82,656,000
Investments	9,956,000
Intangible assets, net	14,698,000	17,279,000
Goodwill	56,436,000	57,595,000
Total non-current assets	988,971,000	679,220,000
Total assets	1,099,223,000	740,840,000
Current liabilities
Accounts payable and accrued expenses	31,322,000	43,757,000
Deferred revenue	5,635,000	2,700,000
Operating lease liability, current portion	2,614,000	1,226,000
Finance lease liability, current portion	5,030,000	748,000
Covered call options	921,000
Loans and notes payable	64,956,000	64,127,000
Total current liabilities	110,478,000	112,558,000
Non-current liabilities
Operating lease liability, less current portion	18,821,000	13,736,000
Finance lease liability, less current portion	20,208,000	661,000
Loans and notes payable, less current portion	232,341,000	123,320,000
Deposit liability	1,734,000	2,317,000
Deferred tax liabilities	3,145,000	609,000
Total non-current liabilities	276,249,000	140,643,000
Total liabilities	386,727,000	253,201,000
Commitments and contingencies
Stockholders' equity
Preferred stock, $0.01 par value; 25,000,000 shares authorized; no shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively
Common stock, $0.01 par value; 1,000,000,000 shares authorized; 93,512,499 and 88,962,964 shares issued and outstanding as of September 30, 2024 and December 31, 2023, respectively	935,000	889,000
Additional paid-in capital	623,263,000	576,241,000
Retained earnings (accumulated deficit)	79,405,000	(100,252,000)
Accumulated other comprehensive income	312,000	10,761,000
Total Hut 8 Corp. stockholders' equity	703,915,000	487,639,000
Non-controlling interests	8,581,000
Total stockholders' equity	712,496,000	487,639,000
Total liabilities and stockholders' equity	$ 1,099,223,000	$ 740,840,000

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Parenthetical) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Condensed Consolidated Balance Sheets
Preferred stock, par value	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	25,000,000	25,000,000
Preferred stock, shares issued	0	0
Preferred Stock, Shares Outstanding	0	0
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Common Stock, Shares Authorized	1,000,000,000	1,000,000,000
Common Stock, Shares, Issued	93,512,499	88,962,964
Common Stock, Shares, Outstanding	93,512,499	88,962,964

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Revenue:
Total revenue	$ 43,735	$ 21,703	$ 130,691	$ 57,880
Cost of revenue (exclusive of depreciation and amortization shown below):
Total cost of revenue	17,559	13,526	66,342	34,020
Operating expenses (income):
Depreciation and amortization	10,462	4,486	33,465	11,454
General and administrative expenses	16,175	4,171	54,073	15,757
Losses (gains) on digital assets				(2,376)
Losses (gains) on digital assets	1,552	185	(201,180)	185
(Gain) Loss on sale of property and equipment	(444)		(634)	445
Realized gain on sale of digital assets				(2,376)
Impairment of digital assets				1,431
Legal settlement				(1,531)
Total operating expenses (income)	27,745	8,842	(114,276)	25,365
Operating (loss) income	(1,569)	(665)	178,625	(1,505)
Other income (expense):
Foreign exchange gain (loss)	703		(976)
Interest expense	(7,938)	(5,723)	(20,231)	(18,955)
Gain on debt extinguishment	5,966		5,966	23,683
Gain on derivatives	2,704		19,923
Equity in earnings of unconsolidated joint venture	1,495	2,075	8,457	8,717
Total other income (expense)	2,930	(3,648)	13,139	13,445
Income (loss) from continuing operations before taxes	1,361	(4,313)	191,764	11,940
Income tax provision	(453)	(61)	(2,975)	(672)
Net income (loss) from continuing operations	908	(4,374)	188,789	11,268
Loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively)			(9,364)
Net income (loss)	908	(4,374)	179,425	11,268
Less: Net (income) loss attributable to non-controlling interests	(261)		232
Net income (loss) attributable to Hut 8 Corp.	$ 647	$ (4,374)	$ 179,657	$ 11,268
Net income (loss) per share of common stock:
Basic from continuing operations attributable to Hut 8 Corp. (in dollars per share)	$ 0.01	$ (0.10)	$ 2.10	$ 0.26
Diluted from continuing operations attributable to Hut 8 Corp. (in dollars per share)	$ 0.01	$ (0.10)	$ 1.95	$ 0.25
Weighted average number of shares of common stock outstanding:
Basic (in shares)	91,182,107	43,197,355	90,178,607	42,954,301
Diluted (in shares)	96,407,378	43,197,355	97,984,059	44,203,215
Net income (loss)	$ 908	$ (4,374)	$ 179,425	$ 11,268
Other comprehensive income (loss):
Foreign currency translation adjustments	8,057		(10,379)
Total comprehensive income (loss)	8,965	(4,374)	169,046	11,268
Less: Comprehensive (income) loss attributable to non-controlling interest	(395)		162
Comprehensive income (loss) attributable to Hut 8 Corp.	8,570	(4,374)	169,208	11,268
Digital Asset Mining
Revenue:
Total revenue	11,611	15,565	55,880	39,069
Cost of revenue (exclusive of depreciation and amortization shown below):
Total cost of revenue	7,257	10,875	31,346	27,427
Managed Services
Revenue:
Total revenue	20,820	4,777	39,072	14,976
Cost of revenue (exclusive of depreciation and amortization shown below):
Total cost of revenue	2,812	1,422	8,693	5,319
High Performance Computing - Colocation and Cloud
Revenue:
Total revenue	3,421		10,112
Cost of revenue (exclusive of depreciation and amortization shown below):
Total cost of revenue	2,610		7,699
Other
Revenue:
Total revenue	7,883	1,361	25,627	3,835
Cost of revenue (exclusive of depreciation and amortization shown below):
Total cost of revenue	$ 4,880	$ 1,229	$ 18,604	$ 1,274

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)
Net of income taxes	$ 0	$ 0	$ 0	$ 0

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands	Common Stock	Additional Paid-in Capital	Accumulated Deficit Cumulative effect of adjustment	Accumulated Deficit	Non-controlling Interests	Accumulated Other Comprehensive Income (Loss)	Cumulative effect of adjustment	Total
Beginning Balance at Dec. 31, 2022	$ 415	$ 131,338		$ (122,140)				$ 9,613
Beginning Balance (in Shares) at Dec. 31, 2022	41,469,204
Issuance of common stock - net of retroactive application of recapitalization	$ 20	750						$ 770
Issuance of common stock - net of retroactive application of recapitalization (in shares)	1,987,936							1,987,936
Cancellation of restricted stock awards - net of retroactive application of recapitalization	$ (10)	651						$ 641
Cancellation of restricted stock awards - net of retroactive application of recapitalization (in shares)	(968,388)							(968,388)
Stock-based compensation - net of retroactive application of recapitalization (in shares)	704,449							704,449
Stock-based compensation - net of retroactive application of recapitalization	$ 7	386						$ 393
Net Income (Loss)				17,328				17,328
Ending Balance at Mar. 31, 2023	$ 432	133,125		(104,812)				28,745
Ending Balance (in Shares) at Mar. 31, 2023	43,193,201
Beginning Balance at Dec. 31, 2022	$ 415	131,338		(122,140)				9,613
Beginning Balance (in Shares) at Dec. 31, 2022	41,469,204
Net Income (Loss)								11,268
Ending Balance (ASU 2023-08) at Sep. 30, 2023			$ 38				$ 38
Ending Balance at Sep. 30, 2023	$ 432	133,744		(110,834)				23,342
Ending Balance (in Shares) at Sep. 30, 2023	43,198,164
Beginning Balance at Mar. 31, 2023	$ 432	133,125		(104,812)				28,745
Beginning Balance (in Shares) at Mar. 31, 2023	43,193,201
Stock-based compensation		314						314
Net Income (Loss)				(1,686)				(1,686)
Ending Balance at Jun. 30, 2023	$ 432	133,439		(106,498)				$ 27,373
Ending Balance (in Shares) at Jun. 30, 2023	43,193,201
Issuance of common stock - stock option exercises (in shares)								4,963
Issuance of common stock - net of retroactive application of recapitalization		2						$ 2
Issuance of common stock - net of retroactive application of recapitalization (in shares)	4,963
Stock-based compensation		303						303
Net Income (Loss)				(4,374)				(4,374)
Ending Balance (ASU 2023-08) at Sep. 30, 2023			$ 38				$ 38
Ending Balance at Sep. 30, 2023	$ 432	133,744		(110,834)				23,342
Ending Balance (in Shares) at Sep. 30, 2023	43,198,164
Beginning Balance at Dec. 31, 2023	$ 889	576,241		(100,252)		$ 10,761		487,639
Beginning Balance at Dec. 31, 2023								487,639
Beginning Balance (in Shares) at Dec. 31, 2023	88,962,964
Issuance of common stock - stock option exercises	$ 3	129						132
Issuance of common stock - stock option exercises (in shares)	341,013
Issuance of common stock - restricted stock unit settlements	$ 2	(2)
Issuance of common stock - restricted stock unit settlements (in shares)	148,842
Issuance of common stock - restricted stock unit settlements, net of withholding taxes		(30)						(30)
Issuance of common stock - restricted stock unit settlements, net of withholding taxes (in shares)	4,046
Acquisition of subsidiary with noncontrolling ownership interests					$ 8,743			8,743
Stock-based compensation		4,474						4,474
Foreign currency translation adjustments					35	(11,109)		(11,074)
Net Income (Loss)				250,876				250,876
Net income (loss) attributable to non-controlling interests					(169)			(169)
Ending Balance at Mar. 31, 2024	$ 894	580,812		150,624	8,609	(348)		740,591
Ending Balance (in Shares) at Mar. 31, 2024	89,456,865
Beginning Balance at Dec. 31, 2023	$ 889	576,241		(100,252)		10,761		487,639
Beginning Balance at Dec. 31, 2023								487,639
Beginning Balance (in Shares) at Dec. 31, 2023	88,962,964
Foreign currency translation adjustments								(10,379)
Net Income (Loss)								179,657
Net income (loss) attributable to non-controlling interests								(232)
Ending Balance at Sep. 30, 2024	$ 935	623,263		79,405	8,581	312		712,496
Ending Balance at Sep. 30, 2024								703,915
Ending Balance (in Shares) at Sep. 30, 2024	93,512,499
Beginning Balance at Mar. 31, 2024	$ 894	580,812		150,624	8,609	(348)		740,591
Beginning Balance (in Shares) at Mar. 31, 2024	89,456,865
Issuance of common stock - stock option exercises	$ 8	275						283
Issuance of common stock - stock option exercises (in shares)	722,404
Issuance of common stock - restricted stock unit settlements	$ 7	(7)
Issuance of common stock - restricted stock unit settlements (in shares)	745,959
Issuance of common stock - restricted stock unit settlements, net of withholding taxes		(10)						(10)
Issuance of common stock - restricted stock unit settlements, net of withholding taxes (in shares)	1,881
Issuance of common stock - deferred stock unit settlements (In shares)	17,850
Stock-based compensation		7,010						7,010
Foreign currency translation adjustments					(99)	(7,263)		(7,362)
Net Income (Loss)				(71,866)				(71,866)
Net income (loss) attributable to non-controlling interests					(324)			(324)
Ending Balance at Jun. 30, 2024	$ 909	588,080		78,758	8,186	(7,611)		668,322
Ending Balance (in Shares) at Jun. 30, 2024	90,944,959
Issuance of common stock - stock option exercises	$ 2	65						67
Issuance of common stock - stock option exercises (in shares)	171,822
Issuance of common stock - restricted stock unit settlements	$ 1	(1)
Issuance of common stock - restricted stock unit settlements (in shares)	82,283
Issuance of common stock - debt extinguishment	$ 23	30,162						30,185
Issuance of common stock - debt extinguishment (in shares)	2,313,435
Stock-based compensation		4,957						4,957
Foreign currency translation adjustments					134	7,923		8,057
Net Income (Loss)				647				647
Net income (loss) attributable to non-controlling interests					261			261
Ending Balance at Sep. 30, 2024	$ 935	$ 623,263		$ 79,405	$ 8,581	$ 312		712,496
Ending Balance at Sep. 30, 2024								$ 703,915
Ending Balance (in Shares) at Sep. 30, 2024	93,512,499

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Stockholders' Equity (Parenthetical)	Nov. 30, 2023
USBTC
Shares received for each share of acquiree entity	0.6716

Condensed Consolidated Statem_5

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Operating activities
Net income (loss)	$ 179,425	$ 11,268
Adjustments to reconcile net income to net cash (used in) provided by operating activities:
Depreciation and amortization	33,465	11,454
Amortization of operating right-of-use assets	996	130
Non-cash lease expense	1,270	73
Stock-based compensation	16,441	1,651
Equity in earnings of unconsolidated joint venture	(8,457)	(8,717)
Distributions of earnings from unconsolidated joint venture	11,000	23,100
Digital Asset Mining revenue	(55,880)	(39,069)
Hosting revenue earned in digital assets	(3,871)	(433)
(Gains) losses on digital assets	(201,180)	185
Impairment of digital assets		1,431
Realized gain on sale of digital assets		(2,376)
Deferred tax assets and liabilities	2,536	2
Gain on debt extinguishment	(5,966)	(23,683)
Non-cash income	(3,578)
Foreign exchange loss	976
Amortization of debt discount	4,047	4,838
(Gain) Loss on sale of property and equipment	(634)	445
Gain on derivatives	(19,923)
Paid-in-kind interest expense	12,093	14,144
Loss on discontinued operations	9,364
Changes in assets and liabilities:
Accounts receivable, net	(155)	(351)
Deposits and prepaid expenses	(1,467)	2,364
Equipment held for sale	3,907
Income taxes receivable	(1,943)
Accounts payable and accrued expenses	(19,265)	3,294
Deferred revenue	2,935	(1,265)
Operating lease liabilities	(2,448)	(353)
Deposit liability	(583)	1,525
Net cash used in operating activities	(46,895)	(343)
Investing activities
Proceeds from sale of digital assets	65,648	39,616
Deposit paid to purchase miners and mining equipment	(48,543)	(966)
Purchases of property and equipment	(78,073)	(1,136)
Proceeds from sale of property and equipment	4,851	79
Cash paid to acquire investment in Ionic	(6,378)
Cash acquired in Far North acquisition	1,792
Net cash (used in) provided by investing activities	(60,703)	37,593
Financing activities
Proceeds from loans payable	14,849
Proceeds from notes payable	150,000
Proceeds from covered call options premium	20,844
Repayments of loans payable	(34,039)	(29,982)
Debt issuance costs paid	(867)	(1,233)
Principal payments on finance lease	(1,617)
Payment of withholding tax on vesting of restricted stock units	(40)
Proceeds from the issuance of common stock - stock option exercises	482	2
Net cash provided by (used in) financing activities	149,612	(31,213)
Effect of exchange rate changes on cash, and restricted cash	(60)
Net increase in cash	41,954	6,037
Cash, beginning of period	30,957	6,707
Cash, and restricted cash, end of period	72,911	12,744
Supplemental cash flow information:
Cash paid for interest	5,660
Cash paid for income taxes	1,434
Non-cash transactions
Reclassification of deposits and prepaid expenses to property and equipment	400	42,533
Loan payable assumed in investment in unconsolidated joint venture, at fair value		(45)
Intangible assets assumed in investment in unconsolidated joint venture, at fair value		1,433
Debt proceeds not yet received included in deposits and prepaid expenses		8,558
Right-of-use assets obtained in exchange for operating lease liabilities	8,072
Mining revenue in accounts receivable, net	255	169
Common stock issued as part of debt restructuring		770
Common stock issued in connection with debt extinguishment	30,185
Net loss attributable to non-controlling interests	(232)
Assets acquired net of liabilities assumed in Far North acquisition, net of cash	7,691
Cumulative effect upon adoption of ASU 2023-08		$ 38
Issuance of common stock - restricted stock unit settlements	10
Cash injected into Far North from wholly-owned subsidiary	2,700
Additions to intangible assets	$ 286

Organization

Organization	9 Months Ended
Organization	Sep. 30, 2024
Organization
Organization	Note 1. Organization Nature of operations and corporate information: Hut 8 Corp. (together with its subsidiaries, the “Company” or “Hut 8”) is an energy infrastructure operator and Bitcoin miner with self-mining, hosting, managed services, and traditional data center operations across North America. The Company was incorporated in Delaware in January 2023. The Company acquires, designs, builds, manages, and operates data centers that power compute-intensive workloads such as Bitcoin mining, high performance computing, and artificial intelligence (“AI”). The Company is primarily in the business of the mining of digital assets with an operational focus on utilizing specialized equipment to solve complex computational problems to validate transactions on the Bitcoin blockchain and receiving Bitcoin in return for successful services. As of September 30, 2024, the Company’s total energy capacity under management was 1,322 MW across twenty sites: 967 MW across ten Bitcoin mining sites in North America, 310 MW across four natural gas power generation facilities in Canada, 3 MW across five cloud and colocation data centers in Canada, and 42 MW at a non-operational site in Canada. During the quarter ended September 30, 2024, the Company also brought online 1,000 NVIDIA H100 GPUs for its GPU-as-a-Service business.

Basis of presentation, summary

Basis of presentation, summary of significant accounting policies and recent accounting pronouncements	9 Months Ended
	Sep. 30, 2024
Basis of presentation, summary of significant accounting policies and recent accounting pronouncements
Basis of presentation, summary of significant accounting policies and recent accounting pronouncements	Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements Basis of presentation The accompanying Unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial reporting. While these statements reflect all normal recurring adjustments which are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by GAAP for complete financial statements. As such, the information included in this Quarterly Report should be read in conjunction with the Company’s Consolidated Financial statements for the year ended December 31, 2023, and related notes thereto, included in the Annual Report. The results for the three and nine-month periods ended September 30, 2024 are not necessarily indicative of the results for the year ended 2024. The U.S. Dollar is the functional and presentation currency of the Company. Significant accounting policies followed by the Company in the preparation of the accompanying Unaudited Condensed Consolidated Financial Statements are summarized below. Principles of consolidation These Unaudited Condensed Consolidated Financial Statements of the Company include the accounts of the Company and its controlled subsidiaries. Consolidated subsidiaries’ results are included from the date the subsidiary was formed or acquired. Intercompany balances and transactions have been eliminated in consolidation. Unconsolidated investments in which the Company does not have a controlling interest but does have significant influence are accounted for as equity method investments, with earnings recorded in other expense. These investments are included in long-term assets and the Company’s proportionate share of income or loss is included in other expense. Reclassifications Certain prior period amounts have been reclassified to conform to the current period presentation. The reclassifications did not have a material impact on the Company’s Unaudited Condensed Consolidated Financial Statements and related disclosures. The impact on any prior period disclosures was immaterial. Use of estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions about future events that affect the amounts reported in the financial statements and accompanying notes. Future events and their effects cannot be determined with absolute certainty. Therefore, the determination of estimates requires the exercise of judgment. Actual results inevitably will differ from those estimates, and such differences may be material to the financial statements. The most significant accounting estimates inherent in the preparation of the Company’s consolidated financial statements include estimates associated with revenue recognition, determining the useful lives and recoverability of long-lived assets, impairment analysis of finite-lived intangibles, goodwill and digital assets, stock-based compensation, and current and deferred income tax assets (including the associated valuation allowance) and liabilities. Change in estimates During the quarter ended March 31, 2024, management performed an operational efficiency review of its mining equipment following the Bitcoin network halving anticipated to occur in the second quarter of 2024. The outcome was a change in the expected useful life of the Company’s MicroBT M31S and M31S+ and Canaan Avalon servers. The mining equipment was originally estimated to have a useful life of four years from the date the mining equipment was put into service. After the operational efficiency review, the mining equipment was estimated to have a useful life of five months as of January 1, 2024. The result is a change in estimate and is applied prospectively. Notwithstanding any future addition to the mining equipment of the same models, the effect of the change in useful life on actual and expected depreciation expense, effective the quarter ended March 31, 2024, is as follows: December 31, December 31, December 31, (in USD thousands) 2024 2025 2026 (Increase) decrease in depreciation expense $ (2,308) $ 2,028 $ 280 Cash Cash includes cash on hand and demand deposits placed with banks or other financial institutions, which are unrestricted with respect to withdrawal or use. The Company considers all highly liquid investments with an original maturity of three months or less at the date of acquisition to be cash equivalents. As of September 30, 2024 and December 31, 2023, the Company had no cash equivalents. Periodically, the Company may maintain deposits in financial institutions in excess of government-insured limits. Management believes that the Company is not exposed to significant credit risk as the Company’s deposits are held at financial institutions that management believes to be of high credit quality. To date, the Company has not experienced any losses on these deposits. Restricted cash Restricted cash as of September 30, 2024 principally represented those cash balances that support commercial letters of credit and are restricted from withdrawal. Accounts receivable Accounts receivable consists of amounts due from the Company’s managed services, hosting, power, and high performance computing – colocation and cloud (“HPC”) customers. The Company records accounts receivable at the invoiced amount less an allowance for any potentially uncollectable accounts under the current expected credit loss (“CECL”) impairment model and presents the net amount of the financial instrument expected to be collected. The CECL impairment model requires an estimate of expected credit losses, measured over the contractual life of an instrument, that considers forecasts of future economic conditions in addition to information about past events and current conditions. Based on this model, the Company considers many factors, including the age of the balance, collection history, and current economic trends. Bad debts are written off after all collection efforts have ceased. Allowances for credit losses are recorded as a direct reduction from an asset’s amortized cost basis. Credit losses are recorded in General and administrative expenses Based on the Company’s current and historical collection experience, management recorded allowances for doubtful accounts of $0.1 million and $0.1 million as of September 30, 2024 and December 31, 2023, respectively. Fair value measurement The Company’s financial assets and liabilities are accounted for in accordance with Financial Accounting Standards Board (“FASB”) ASC Topic 820, Fair Value Measurements and Disclosures Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 — Observable, market-based inputs, other than quoted prices included in Level 1, for the assets or liabilities either directly or indirectly. Level 3 — Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. Observable inputs are based on market data obtained from independent sources, while unobservable inputs are based on the Company’s market assumptions. Unobservable inputs require significant management judgment or estimation. In some cases, the inputs used to measure an asset or liability may fall into different levels of the fair value hierarchy. In those instances, the fair value measurement is required to be classified using the lowest level of input that is significant to the fair value measurement. Such determination requires significant management judgment. Assets and liabilities measured at fair value on a recurring basis The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis and the Company’s estimated level within the fair value hierarchy of those assets and liabilities as of September 30, 2024: Fair value measured at September 30, 2024 Total carrying Significant other Significant value at Quoted prices in observable unobservable September 30, active markets inputs inputs (in USD thousands) 2024 (Level 1) (Level 2) (Level 3) Digital assets, net $ 576,468 $ 576,468 $ — $ — Covered call options 921 — 921 — Separated embedded derivative from convertible note — — — — In determining the fair value of its digital assets, the Company uses quoted prices as determined by the Company’s principal market. As such, the Company’s digital assets were determined to be Level 1 assets. See Digital assets Derivatives Derivatives Assets and liabilities measured at fair value on a non-recurring basis In addition to assets and liabilities that are measured at fair value on a recurring basis, the Company also measures certain assets and liabilities at fair value on a nonrecurring basis. The Company’s non-financial assets, including goodwill, intangible assets, operating lease right-of-use assets, and property and equipment, are measured at fair value when there is an indication of impairment and the carrying amount exceeds the asset’s projected undiscounted cash flows. These assets are recorded at fair value only when an impairment charge is recognized. The Company did not have any impairment from its continuing operations related to its non-financial assets and liabilities measured on a non-recurring basis during the three and nine months ended September 30, 2024. The Company recognized approximately nil and $6.1 million of impairment losses from its discontinued operations related to its non-financial assets and liabilities measured on a non-recurring basis during the three and nine months ended September 30, 2024, respectively. There were no impairment losses during the three and nine months ended September 30, 2023. See the Impairment of long-lived assets and goodwill accounting policy, as well as Note 4. Discontinued operations The carrying amounts of the Company’s financial assets and liabilities, such as cash, accounts receivable, accounts payable and accrued expenses, approximate fair value due to the short-term nature of these instruments. The carrying value of loans and notes payable and other long-term liabilities approximate fair value as the related interest rates approximate rates currently available to the Company except for the Company’s convertible note. See Derivatives Convertible instruments Loans payable and notes payable Digital assets As a result of the adoption of ASU 2023-08, Intangibles-Goodwill and Other-Crypto Assets (Subtopic 350-60): Accounting for and Disclosure of Crypto Assets (“ASU 2023-08”), Losses (gains) on digital asset Operating income (loss) Losses (gains) on digital assets Digital assets received by the Company through its revenue activities are accounted for in connection with the Company’s Revenue recognition The Company’s treasury strategy is to cover its operating costs through the sale of digital assets earned from its revenue activities via auto-liquidations of the digital assets earned daily. A portion of the Company’s digital assets are included in Current assets The Company’s remaining digital assets held are included in non-current assets as this portion of digital assets is not reasonably expected to be sold in the next 12 months as it is outside of the 12-month expected utilization for operational and capital needs of the Company. Investment in equity investees The Company accounts for its investment in equity investees in accordance with ASC Topic 323, Investments – Equity Method and Joint Ventures Investment in unconsolidated joint venture The Company recorded its investment in TZRC based upon the fair value of the consideration transferred which was determined to be its cost. The Company’s investment is subsequently adjusted to recognize its share of net income or losses as they occur. The Company also adjusts its investment upon receipt of a distribution from an equity investee, which is accounted for as a distribution-in-kind measured as of the time of receipt. The Company’s share of the investees’ earnings or losses is recorded, net of taxes, within Equity in earnings (losses) of unconsolidated joint venture The Company considers whether the fair value of its equity method investment has declined below its carrying value whenever adverse events or changes in circumstances indicate that recorded value may not be recoverable. If the Company considered any such decline to be other than temporary (based on various factors, including historical financial results, success of the mining operations and the overall health of the investee’s industry), then the Company would record a write-down to the estimated fair value. No impairment of the Company’s investment in TZRC was recorded for the three and nine months ended September 30, 2024 and September 30, 2023. Long-term investments For equity investments, the Company initially records equity investments at cost then adjusts the carrying value of such equity investments through earnings when there is an observable transaction involving the same or a similar investment with the same issuer or upon an impairment. On January 31, 2024, the Company entered into a contribution agreement (the “Contribution Agreement”) with Ionic Digital Inc. (“Ionic”), the company founded to effectuate the restructuring of certain mining assets of Celsius Network LLC (“Celsius”) in connection with Celsius’ bankruptcy auction. Pursuant to the Contribution Agreement, on January 31, 2024, the Company acquired 374,261 shares of Ionic’s Class A common stock in exchange for a cash payment of $6.4 million. Property and equipment Property and equipment are stated at cost and depreciated using the straight-line method over the estimated useful lives of the assets. Cost includes expenditures that are directly attributable to the acquisition of the asset, including those attributable to bringing the asset to its intended working condition. Construction in progress is not depreciated until the work is completed and the assets are placed in service. Based on the Company’s and the industry’s limited history to date, management is limited by the market data available. Furthermore, the data available also include data derived from the use of economic modelling to forecast future digital assets and the assumptions reflected in such forecasts, including digital assets price and network difficulty, as well as management assumptions, which are inherently uncertain. Based on currently available data, management has determined that the straight-line method of depreciation best reflects the current expected useful life of mining equipment and related infrastructure. Management reviews estimates at each reporting date and will revise such estimates as and when data become available. Management reviews the appropriateness of its assumptions related to residual value at each reporting date. The estimated useful lives of the Company’s property and equipment are as follows: Useful life (Years) Mining infrastructure 5 – 10 Miners and mining equipment 2 – 4 Data center infrastructure 5 – 8 Computer and network equipment 3 Right-of-use assets - Finance lease Shorter of lease term or useful life of asset Leasehold improvements Shorter of lease term or useful life of asset Land improvements 15 Power plant assets 10 Upon the sale or retirement of property and equipment, the cost and accumulated depreciation and amortization are removed from the Company’s balance sheet and statement of operations and comprehensive income (loss) in the relevant reporting period. Mining equipment held for sale The Company classifies long-lived assets to be sold as held for sale in the period in which all of the following criteria are met: (1) management, having the authority to approve the action, commits to a plan to sell the asset; (2) the asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; (3) an active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated; (4) the sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale within one year, except if events or circumstances beyond the Company’s control extend the period of time required to sell the asset beyond one year; (5) the asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (6) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. The Company initially measures long-lived assets that are classified as held for sale at the lower of their carrying value or fair value less any costs to sell. Any loss resulting from this measurement is recognized in the period in which the held-for-sale criteria are met. Conversely, gains are not recognized on the sale of long-lived assets until the date of sale. The Company assesses the fair value of a long-lived asset less any costs to sell in each reporting period it remains classified as held for sale and reports any subsequent changes as an adjustment to the carrying value of the asset, as long as the new carrying value does not exceed the carrying value of the asset at the time it was initially classified as held for sale. The Company has recognized nil gain on sales of its mining equipment held for sale for the three months ended September 30, 2024 and September 30, 2023, respectively. For the nine months ended September 30, 2024 and September 30, 2023, the Company has recognized nil gain on sales of its mining equipment held for sale. For the three months ended September 30, 2024 and September 30, 2023, the Company has not recognized any impairment of its mining equipment held for sale. For the nine months ended September 30, 2024 and September 30, 2023, the Company has not recognized any impairment of its mining equipment held for sale. On December 18, 2023, the Company signed an interim agreement to build out and install mining operations in connection with the Celsius bankruptcy proceedings at a site in Cedarvale, Texas, in which the Company also made certain of its unused mining infrastructure available for sale. As of December 31, 2023 the Company determined that each of the above criteria to classify long-lived assets to be sold as held for sale were met, and reclassified the carrying value of these assets of $3.9 million to Equipment held for sale Equipment held for sale Impairment of long-lived assets and goodwill The Company reviews long-lived assets and goodwill for impairment whenever events or changes in circumstances indicate that the carrying value of such assets (or asset groups) may not be fully recoverable. The asset (or asset group) to be held and used that is subject to impairment review represents the lowest level of identifiable cash flows that is largely independent of other groups of assets and liabilities. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to undiscounted future cash flows expected to be generated by the asset. If such assets are considered unrecoverable, the impairment loss to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Factors the Company considers that could trigger an impairment include, but are not limited to, the following: significant changes in the manner of the Company’s use of the acquired assets or the strategy for the Company’s overall business, significant underperformance relative to expected historical or projected development milestones, significant negative regulatory or economic trends, and significant technological changes that could render the asset (or asset group) obsolete. Fair value is determined through various valuation techniques, including discounted cash flow models, quoted market values, and third-party independent appraisals, as necessary. When recognized, impairment losses related to long-lived assets to be held and used in operations are recorded in cost and expenses in the Company’s Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). For the three months ended September 30, 2024 and September 30, 2023, there were no impairment losses from continuing operations recognized pertaining to the Company’s asset groups. For the nine months ended September 30, 2024 and September 30, 2023, there were no impairment losses from continuing operations. For the discontinued operations, there were no impairment losses pertaining to the Company’s asset groups for the three months ended September 30, 2024. There were no discontinued operations for the three months ended September 30, 2023. For the nine months ended September 30, 2024, $6.1 million of impairment losses from discontinued operations were recognized pertaining to the Company’s asset groups. There were no discontinued operations for the nine months ended September 30, 2023. Finite-lived intangible assets Intangible assets are comprised of customer relationships and a favorable contract acquired by the Company through acquisitions or business combinations, and rights to a property management agreement (“PMA”) under which it would be compensated for services of running TZRC’s operations. Intangible assets are amortized on a straight-line basis over the expected useful life, which is their contractual term or estimated useful life. The Company performs assessments to determine whether finite-lived classification is still appropriate at least annually. The carrying value of finite-lived assets and their remaining useful lives are also reviewed at least annually to determine if circumstances exist which may indicate a potential impairment or revision to the amortization period. A finite-lived intangible asset is considered to be impaired if its carrying value exceeds the estimated future undiscounted cash flows to be derived from it. The Company exercises judgment in selecting the assumptions used in the estimated future undiscounted cash flows analysis. Impairment is measured by the amount that the carrying value exceeds fair value. The use of different estimates or assumptions could result in significantly different fair values for our reporting units and intangible assets. The Company evaluates the useful lives of the intangible assets to determine if they are finite or indefinite-lived. Reaching a determination on useful life requires significant judgments and assumptions regarding the future effects of obsolescence, demand, competition, and other economic factors. Intangible assets are amortized on a straight-line basis over their useful lives. The estimated useful lives of the Company’s finite-lived intangible assets are as follows: Useful life (Years) Customer Relationships 6 Favorable Contract 4 Property Management Agreement 10 Goodwill Goodwill represents the cost of a business acquisition in excess of the fair value of the net assets acquired. Goodwill is not amortized and is reviewed for impairment annually, or more frequently if facts and circumstances indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. The Company compares the fair value of the reporting unit with its carrying amount. If the carrying amount exceeds the fair value, goodwill of the reporting unit is considered impaired and that excess is recognized as a goodwill impairment loss. Leases The Company accounts for its leases under ASC Topic 842, Leases Upon adoption of ASC 842, for purposes of calculating the right-of-use asset and lease liability, the Company elected to combine lease and related non-lease components as permitted under ASC 842. The Company also elected the short-term lease exception for leases having an initial term of 12 months or less. Consequently, such leases are not recorded in the Unaudited Condensed Consolidated Balance Sheets. The Company recognizes rent expense from its operating leases on a straight-line basis over the lease term. Derivatives The Company accounts for the derivative contracts it enters into and the separated embedded derivative from convertible note as follows: Covered call options From time to time, the Company will sell options on its digital assets, specifically Bitcoin, that it owns (the “covered call options”). The Company sold covered call options during the nine months ended September 30, 2024 to generate cash flows on a portion of its digital assets. These options do not qualify as accounting hedges under FASB ASC Topic 815, Derivatives and Hedging (“ASC 815”). Accordingly, the Company carries the covered call options at fair value and any gains (losses) are recognized in profit or loss. Separated embedded derivative from convertible note The Company evaluates and accounts for derivatives embedded in its convertible instruments in accordance with ASC 815. Accordingly, the Company has assessed if embedded derivatives should be separated from its host contract and accounted for as a derivative instrument based on whether all three ASC 815 criteria are met: (a) the economic characteristics and risks of the embedded derivative are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument is not remeasured at fair value under otherwise applicable generally accepted accounting principles with changes in fair value reported in earnings as they occur, and (c) a separate instrument with the same terms as the embedded derivative would be a derivative instrument. ASC 815 also provides an exception to this rule when the host instrument is deemed to be a conventional convertible debt instrument as defined in the FASB ASC topic. The Company identified embedded derivatives in a convertible instrument it issued, including conversion options, other redemption features, and contingently exercisable options. The Company determined that the Contingent Repurchase Right (as defined below) is an embedded derivative that should be separated from its host contract and accounted for as a derivative instrument as per ASC 815. The conversion option is indexed to the Company’s common stock and meets the criteria for classification in stockholders’ equity, and therefore derivative accounting does not apply. The other embedded derivatives do not meet all three previously mentioned ASC 815 criteria, and therefore should not be separated from their host contract. The Company accounts for its separated embedded derivative as a derivative instrument that is carried at fair value and recognizes any gains (losses) in profit or loss. Convertible instruments As noted above in the Company’s Derivatives Revenue recognition The Company recognizes revenue under ASC Topic 606, Revenue from Contracts with Customers ● Step 1: Identify the contract with the customer ● Step 2: Identify the performance obligations in the contract ● Step 3: Determine the transaction price ● Step 4: Allocate the transaction price to the performance obligations in the contract ● Step 5: Recognize revenue when the Company satisfies a performance obligation In order to identify the performance obligations in a contract with a customer, a company must assess the promised goods or services in the contract and identify each promised good or service that is distinct. A performance obligation meets ASC 606’s definition of a “distinct” good or service (or bundle of goods or services) if both of the following criteria are met: The customer can benefit from the good or service either on its own or together with other resources that are readily available to the customer (i.e., the good or service is capable of being distinct), and the entity’s promise to transfer the good or service to the customer is separately identifiable from other promises in the contract (i.e., the promise to transfer the good or service is distinct within the context of the contract). If a good or service is not distinct, the good or service is combined with other promised goods or services until a bundle of goods or services is identified that is distinct. The transaction price is the amount of consideration to which an entity expects to be entitled in exchange for transferring promised goods or services to a customer. The consideration promised in a contract with a customer may include fixed amounts, variable amounts, or both. When determining the transaction price, an entity must consider the effects of all of the following: ● Variable consideration ● Constraining estimates of variable consideration ● The existence of a significant financing component in the contract ● Noncash consideration ● Consideration payable to a customer Variable consideration is included in the transaction price only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The transaction price is allocated to each performance obligation on a relative standalone selling price basis. The transaction price allocated to each performance obligation is recognized when that performance obligation is satisfied, at a point in time, or over time, as appropriate. Digital Asset Mining Currently, one of the Company’s largest revenue streams is derived from Digital Asset Mining (also referred to as self-mining), which consists entirely of mining Bitcoin. The Company has entered into arrangements, as amended from time to time, with mining pool operators to perform hash computations for the mining pools. Providing hash computation services for mining pools is an output of the Company’s ordinary activities. The Company has the right to decide the point in time and duration for which it will provide hash computation services to the mining pools. As a result, the Company’s enforceable right to compensation only begins when, and continues as long as, the Company provides hash computation services to the mining pools. The contracts are terminable at any time by either party without substantive compensation to the other party for such termination. Therefore, the Company has determined that the duration of the contract is less than 24 hours and that the contract continuously renews throughout the day. Upon termination, the mining pool operator (i.e., the customer) is required to pay the Company any amount due related to previously satisfied performance obligations. The Company has determined that the mining pool operator’s (i.e., the customer’s) renewal right is not a material right as the terms, conditions, and compensation amounts are at then market rates. There is no significant financing component in these transactions. In exchange for providing hash computation services, which represents the Company’s only performance obligation, the Company is entitled to noncash consideration in the form of digital assets, calculated under payout models determined by the mining pool operators. The payout model used by the mining pools in which the Company participated is the Full Pay Per Share (“FPPS”) model, which contains three components, (1) a fractional share of the fixed digital assets award from the mining pool operator (referred to as a “block reward”), (2) transaction fees generated from (paid by) blockchain users to execute transactions and distributed (paid out) to individual miners by the mining pool operator, and (3) mining pool operating fees retained by the mining pool operator for operating the mining pool. The Company’s total compensation is calculated using the following formula: the sum of the Company’s share of (a) block rewards and (b) transaction fees, less (c) mining pool operating fees. The following is a detailed description of each of the components of the FPPS model under which the Company receives payment from the mining pools in which it participates: (1) Block rewards represent the Company’s share of the total amount of block subsidies that are expected to be generated on the Bitcoin network as a whole during the 24-hour period beginning at midnight UTC daily (the “measurement period”). The block reward earned by the Company is calculated by dividing (a) the total amount of hash rate t

Far North acquisition

Far North acquisition	9 Months Ended
Far North acquisition	Sep. 30, 2024
Far North acquisition
Far North acquisition	Note 3. Far North acquisition On February 15, 2024, a subsidiary of the Company completed a stalking horse bid to acquire four natural gas power plants in Ontario, Canada in partnership with Macquarie Equipment Finance Ltd. (“Macquarie”), a subsidiary of Macquarie Group Limited, a global financial services group. The Company recorded the transaction as a business combination and the assets and liabilities of the power plants were recorded using the fair values on the Company’s consolidated balance sheet on the closing date. The estimates of the fair value of assets acquired and liabilities assumed are preliminary and are expected to be finalized before the year ending December 31, 2024. The Company’s newly created entity, Far North, of which the Company has 80.01% indirect ownership and the remaining 19.99% of which is owned by Macquarie, purchased assets, liabilities, and the business operations of four natural gas power plants located in Iroquois Falls, Ontario; North Bay, Ontario; Kapuskasing, Ontario, and Kingston, Ontario. The purchase price of the transaction is represented below: (in USD thousands) Fair value Cash paid by the Company held in deposit $ 7,739 Loan assumed by the Company 24,611 Credit for the equipment invested in the acquisition 8,238 Opening cash invested - Non-controlling interest 2,709 Opening cash invested - Hut 8 2,709 $ 46,006 The Company paid $7.7 million in August 2023, which was recorded in the Deposits and prepaid expenses The following table details the preliminary purchase price allocation of the transaction consideration to the valuations of the identifiable tangible and intangible assets acquired and liabilities assumed as of February 15, 2024. (in USD thousands) Cash $ 4,061 Accounts receivable, net of allowance of $0 2,883 Property and equipment, net 49,036 Accounts payable and accrued expenses (1,231) Non-controlling interest (8,743) $ 46,006 As part of the transaction, the Company restructured the loan of $24.6 million with Macquarie as a sale lease back agreement of the power plant assets located in Iroquois Falls, Ontario. The sale lease back agreement constituted a debt modification rather than a debt extinguishment and has been reflected accordingly on the Company’s Unaudited Condensed Consolidated Balance Sheet as an equipment finance lease. Supplemental disclosures of cash flow information related to investing and financing activities regarding the business combination are as follows for the nine months ended September 30, 2024: (in USD thousands) Fair value of tangible assets acquired $ 55,980 Liabilities assumed (9,974) Purchase price consideration $ 46,006 The pro-forma results of Far North are not material for disclosure.

Discontinued operations

Discontinued operations	9 Months Ended
Discontinued operations	Sep. 30, 2024
Discontinued operations
Discontinued operations	Note 4. Discontinued operations On March 4, 2024, the Company announced the closure of its Drumheller, Alberta mining site after analysis of the Company’s operations. The table below outlines the results of discontinued operations: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands) 2024 2023 2024 2023 Revenue: Digital Asset Mining $ — $ — $ 981 $ — Cost of revenue (exclusive of depreciation and amortization shown below): Digital Asset Mining — — 3,895 — Operating expenses: Depreciation and amortization — — 169 — General and administrative expenses — — 216 — Impairment of long-lived assets — — 6,065 — Total operating expenses — — 6,450 — Net loss $ — $ — $ (9,364) $ — Nine Months Ended Cash flows from Discontinued Operations September 30, September 30, (in USD thousands) 2024 2023 Operating cashflows used in discontinued operations $ (3,243) $ — Assets and Liabilities of Discontinued Operations September 30, December 31, (in USD thousands) 2024 2023 Assets $ — $ 7,240 Liabilities 1,978 — The Company recorded impairment related to the mining equipment and mining infrastructure Property and equipment, net

Segment information

Segment information	9 Months Ended
Segment information	Sep. 30, 2024
Segment information
Segment information	Note 5. Segment information The following table presents revenue and cost of revenue for the Company’s reportable segments, reconciled to the Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss): Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands) 2024 2023 2024 2023 Reportable segment revenue: Digital Asset Mining $ 11,611 $ 15,565 $ 55,880 $ 39,069 Managed Services 20,820 4,777 39,072 14,976 High Performance Computing – Colocation and Cloud 3,421 — 10,112 — Other 11,906 1,361 34,598 3,835 Eliminations (4,023) — (8,971) — Total segment and consolidated revenue $ 43,735 $ 21,703 $ 130,691 $ 57,880 Reportable segment cost of revenue (exclusive of depreciation and amortization shown below): Digital Asset Mining 7,257 10,875 31,346 27,427 Managed Services 2,812 1,422 8,693 5,319 High Performance Computing – Colocation and Cloud 2,610 — 7,699 — Other 8,903 1,229 27,575 1,274 Eliminations (4,023) — (8,971) — Total segment and consolidated cost of revenue $ 17,559 $ 13,526 $ 66,342 $ 34,020 Reconciling items: Depreciation and amortization (10,462) (4,486) (33,465) (11,454) General and administrative expenses (16,175) (4,171) (54,073) (15,757) (Losses) gains on digital assets (1,552) (185) 201,180 (185) Gain (loss) on sale of property and equipment 444 — 634 (445) Realized gain on sale of digital assets — — — 2,376 Impairment of digital assets — — — (1,431) Legal settlement — — — 1,531 Foreign exchange gain (loss) 703 — (976) — Interest expense (7,938) (5,723) (20,231) (18,955) Gain on debt extinguishment 5,966 — 5,966 23,683 Gain on derivatives 2,704 — 19,923 — Equity in earnings of unconsolidated joint venture 1,495 2,075 8,457 8,717 Income tax provision (453) (61) (2,975) (672) Net income (loss) from continuing operations $ 908 $ (4,374) $ 188,789 $ 11,268 Loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively) — — (9,364) — Net income (loss) 908 (4,374) 179,425 11,268 Less: Net (income) loss attributable to non-controlling interest (261) — 232 — Net income (loss) attributable to Hut 8 Corp. $ 647 $ (4,374) $ 179,657 $ 11,268 The following table presents summarized information for long-lived assets and goodwill by reportable segments: September 30, December 31, (in USD thousands) 2024 2023 Digital Asset Mining $ 166,262 $ 166,340 Managed Services 4,855 5,221 High Performance Computing – Colocation and Cloud 25,479 31,282 Other 89,299 4,634 Total Long-Lived Assets and Goodwill $ 285,895 $ 207,477

Digital assets

Digital assets	9 Months Ended
Digital assets	Sep. 30, 2024
Digital assets
Digital assets	Note 6. Digital assets The following table presents the changes in the carrying amount of digital assets as of September 30, 2024: (in USD thousands) Amount Balance as of June 30, 2023 $ 851 Cumulative effect upon adoption of ASU 2023-08 38 Bitcoin assumed through the Business Combination 344,283 Other digital assets assumed through the Business Combination 241 Revenue recognized from Bitcoin mined 41,477 Hosting revenue received in Bitcoin 2,027 Mining revenue earned in prior period received in current period 212 Carrying value of Bitcoin sold (41,548) Change in fair value of Bitcoin 32,493 Change in fair value of other digital assets 133 Foreign currency translation adjustments 8,595 Mining revenue not received (292) Balance as of December 31, 2023 $ 388,510 Revenue recognized from Bitcoin mined 31,336 Hosting revenue received in Bitcoin 1,814 Mining revenue earned in prior period received in current period 292 Carrying value of Bitcoin sold (37,929) Change in fair value of Bitcoin 274,540 Carrying value of other digital assets sold (407) Change in fair value of other digital assets 34 Foreign currency translation adjustments (9,295) Balance as of March 31, 2024 $ 648,895 Revenue recognized from Bitcoin mined 13,914 Hosting revenue received in Bitcoin 1,417 Carrying value of Bitcoin sold (15,209) Change in fair value of Bitcoin (71,842) Foreign currency translation adjustments (6,671) Balance as of June 30, 2024 $ 570,504 Revenue recognized from Bitcoin mined 11,611 Hosting revenue received in Bitcoin 640 Carrying value of Bitcoin sold (12,103) Change in fair value of Bitcoin (1,552) Foreign currency translation adjustments 7,368 Balance as of September 30, 2024 $ 576,468 Number of Bitcoin held as of September 30, 2024 9,106 Cost basis of Bitcoin held as of September 30, 2024 $ 354,128 Realized gains on the sale of Bitcoin for the nine months ended September 30, 2024 $ 9,141 The Company’s digital assets are either held in custody or held in a segregated custody account under the Company’s ownership and pledged as collateral under a borrowing arrangement or in connection with covered call options sold. The details of the digital assets are as follows: Amount Number of digital assets (in USD thousands) September 30, 2024 December 31, 2023 September 30, 2024 December 31, 2023 Current Bitcoin held in custody $ 1,306 $ 4,583 20 109 Other digital assets held in custody — 380 — 55,008 Total current digital assets - held in custody 1,306 4,963 20 55,117 Non-current Bitcoin held in custody 305,499 282,997 4,826 6,704 Total non-current digital assets - held in custody $ 305,499 $ 282,997 4,826 6,704 Non-current Bitcoin pledged as collateral 269,663 100,550 4,260 2,382 Total non-current digital assets - pledged as collateral 269,663 100,550 4,260 2,382 Total digital assets $ 576,468 $ 388,510 9,106 64,203

Property and equipment, net

Property and equipment, net	9 Months Ended
Property and equipment, net	Sep. 30, 2024
Property and equipment, net
Property and equipment, net	Note 7. Property and equipment, net The components of property and equipment were as follows: (in USD thousands) September 30, 2024 December 31, 2023 Mining infrastructure $ 43,231 $ 26,110 Miners and mining equipment 80,136 89,521 Data center infrastructure 50,879 8,772 Computer and network equipment 8,390 8,254 Right-of-use assets - Finance lease 25,381 1,377 Leasehold improvements 741 742 Land and land improvements 106 50 Power plant assets 14,630 — Construction in progress 17,487 12,471 Property and equipment, gross 240,981 147,297 Less: Accumulated depreciation (46,874) (29,228) Property and equipment, net $ 194,107 $ 118,069 Depreciation and amortization expense related to property and equipment was $9.6 million and $4.0 million for the three months ended September 30, 2024 and September 30, 2023, respectively. Depreciation and amortization expense related to property and equipment was $31.0 million and $11.0 million for the nine months ended September 30, 2024 and September 30, 2023, respectively. Salt Creek substation purchase On December 29, 2023, a subsidiary of the Company purchased a substation in Culberson County, Texas, as well as the 1.9 acres of land on which the substation sits, for a total of $7.1 million in cash consideration, which was paid in full during the quarter ended March 31, 2024. In February 2024, the Company’s subsidiary began construction on a new Digital Asset Mining site on this land, giving the optionality for the Company to expand its self-mining fleet. Impairment of long-lived assets On March 6, 2024, the Company announced the closure of its Drumheller site in Alberta, Canada. The Company further assessed the profitability of the site which indicated that an impairment triggering event had occurred. Accordingly, with the closure of the Drumheller site, the long-lived assets of the site were fully written down. This resulted in a write down of $6.1 million which is reflected in the Loss from discontinued operations There is considerable management judgment necessary to determine the estimated future cash flows and fair values of the Company’s long-lived assets, and, accordingly, actual results could vary significantly from such estimates, which fall under Level 3 within the fair value measurement hierarchy (see discussion of fair value measurements in Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements).

Deposits and prepaid expenses

Deposits and prepaid expenses	9 Months Ended
Deposits and prepaid expenses	Sep. 30, 2024
Deposits and prepaid expenses
Deposits and prepaid expenses	Note 8. Deposits and prepaid expenses The components of deposits and prepaid expenses are as follows: (in USD thousands) September 30, 2024 December 31, 2023 Current Prepaid insurance $ 2,246 $ 4,042 Prepaid electricity 3,516 4,526 Deposits related to infrastructure purchases 16,592 — Deposit related to Stalking Horse Bid — 7,547 Other deposits 5,671 2,342 Total current deposits and prepaid expenses $ 28,025 $ 18,457 Non-current Deposits related to electricity supply under electricity supply agreement 5,662 5,288 Miner purchase option deposit 31,951 — Other 232 252 Total non-current deposits and prepaid expenses $ 37,845 $ 5,540 Bitmain Partnership and Hosting Services Agreement On September 19, 2024, the Company expanded its partnership with BITMAIN Technologies Ltd. (“Bitmain”) by launching a next-generation application-specific integrated circuit (“ASIC”) miner. The Company plans to deploy this model in the second quarter of 2025 through a hosting agreement with Bitmain comprising approximately 15 exahash per second (“EH/s”). The agreement includes a fixed hosting fee and provides the Company with the option to purchase all or part of the hosted machines at a fixed price within six months of their energization. During the three months ended September 30, 2024, the Company made a $32.0 million deposit towards this purchase option.

Investments in unconsolidated j

Investments in unconsolidated joint venture	9 Months Ended
Investments in unconsolidated joint venture	Sep. 30, 2024
Investments in unconsolidated joint venture
Investments in unconsolidated joint venture	Note 9. Investments in unconsolidated joint venture On November 25, 2022, a subsidiary of the Company entered into an Asset Purchase Agreement (the “Agreement”) with Compute North Member, LLC to purchase its 50 percent membership interest in TZRC, an early stage operator of vertically integrated digital asset mining and power facilities (the “Acquired Interests”). The transaction closed on December 6, 2022. As of June 30, 2023, the Company determined that the fair value of the net assets acquired differed from the carrying value of the estimated fair value of the underlying net assets acquired in an amount of approximately $22.4 million. This difference is attributable to depreciable and amortizable assets and liabilities and in accordance with ASC 323, will be accreted within Equity in earnings of unconsolidated joint venture The consideration paid by the Company’s subsidiary for the acquisition of the Acquired Interests consisted of cash of $10.0 million and the assumption of a senior secured promissory note (the “TZRC Secured Promissory Note”) with a fair value estimate as of the transaction date of approximately $95.1 million. See Note 10. Loans and notes payable TZRC is a two-member operating joint venture where both members jointly control the essential areas of the entity’s business. The purpose of TZRC is to develop, construct, install, own, finance, rent and operate one or more modular data centers located on or near renewable power sources for purposes of digital asset mining. The entity both self-mines and provides hosting services, both of which began in August 2022. Pursuant to the Agreement, the Company assumed the role of property manager under a PMA to provide day-to-day management and oversight services of TZRC’s data center facilities. The service contract has a term of 10 years and automatically renews for successive one-year terms unless either party provides written notice of non-renewal. As property manager, the Company is entitled to approximately $1.5 million per year, subject to downward adjustment based on capacity utilization of TZRC’s data centers. In addition, the PMA allows pass through costs on behalf of the Company, such as payroll and other incidental costs. Pass through costs for the three months ended September 30, 2024 were approximately $0.7 million. For the nine months ended September 30, 2024 pass through costs were approximately $1.7 million. The Company accounts for its indirect 50% interest in TZRC using the equity method of accounting. For the three months ended September 30, 2024, the Company recorded its ownership percentage of income of TZRC within Equity in earnings of unconsolidated joint venture Equity in earnings of unconsolidated joint venture A summarized consolidated income statement for TZRC during the three and nine months ended September 30, 2024 and September 2023 follows: Condensed Consolidated Income Statements Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands) 2024 2023 2024 2023 Revenue - Digital Asset Mining $ 5,345 $ 6,684 $ 27,604 $ 25,184 Revenue - Hosting 26,154 25,596 78,134 72,563 Total revenue, net 31,499 32,280 105,738 97,747 Gross profit 14,784 17,301 54,105 54,080 Net (loss) income (496) 663 6,456 5,817 Net (loss) income attributable to investee (248) 332 3,228 2,910 A summarized consolidated balance sheet for TZRC as of September 30, 2024 and December 31, 2023 follows: Condensed Consolidated Balance Sheets September 30, December 31, (in USD thousands) 2024 2023 Cash $ 69,503 $ 39,505 Total current assets 75,417 55,097 Property and equipment, net 113,225 159,865 Total other assets 34,502 34,490 Current liabilities 29,170 36,970 Noncurrent liabilities 14,548 17,512 Members equity 179,425 194,970

Loans and notes payable

Loans and notes payable	9 Months Ended
Loans and notes payable	Sep. 30, 2024
Loans and notes payable
Loans and notes payable	Note 10. Loans and notes payable Details of the Company’s loans and notes payables are as follows: (in USD thousands) September 30, December 31, Issuance Date Maturity Date Interest Rate 2024 2023 TZRC Secured Promissory Note December 6, 2022 April 8, 2027 15.25 % $ 80,079 $ 81,870 Third Party Note December 6, 2022 December 5, 2027 18.00 % — 11,490 Anchorage Loan February 3, 2023 February 2, 2028 9.00 % (1) — 44,363 Coinbase Credit Facility June 26, 2023 June 16, 2025 11.00 % (2) 64,956 49,724 Coatue Note (convertible note) June 28, 2024 June 28, 2029 8.00 % 152,262 — Total $ 297,297 $ 187,447 Less: current portion 64,956 64,127 Long-term portion $ 232,341 $ 123,320 (1) The interest rate as of December 31, 2023 for the Anchorage Loan was 14.00 %. (2) The interest rate as of December 31, 2023 for the Coinbase credit facility was 10.50 %. During the three months ended September 30, 2024 and September 30, 2023, total principal payments of the Company’s debt, exclusive of debt extinguishment, were $1.7 million and $15.1 million, respectively. During the three months ended September 30, 2024 and September 30, 2023, the Company recorded amortization of debt issuance costs of $1.2 million and $1.8 million, respectively. During the three months ended September 30, 2024 and September 30, 2023, interest expense was $9.3 million and $5.7 million, respectively. During the nine months ended September 30, 2024 and September 30, 2023, total principal payments of the Company’s debt, exclusive of debt extinguishment, were $34.0 million and $30.0 million, respectively. During the nine months ended September 30, 2024 and September 30, 2023, the Company recorded amortization of debt issuance costs of $4.0 million and $4.8 million, respectively. During the nine months ended September 30, 2024 and September 30, 2023, interest expense was $21.7 million and $19.0 million, respectively. The Company accounts for all of its loans and notes payable in accordance with ASC 470-20, Debt with Conversion and Other Options Distinguishing Liabilities from Equity TZRC Secured Promissory Note As previously discussed, a subsidiary of the Company assumed a secured promissory note with an estimated fair value amount as of the date of investment of approximately $95.1 million as part of the consideration paid to acquire an equity membership interest in TZRC. The estimated fair value represents a discount of approximately $1.7 million from the carryover basis of the promissory note. The discount is being amortized over the term of the promissory note into interest expense. The stated interest on the TZRC Secured Promissory Note accrues at a rate per annum equal to the lesser of (a) a varying rate per annum equal to the sum of (i) the prime rate The Company’s subsidiary has the option to prepay the secured promissory note in whole or in part without premium or penalty. There are no required minimum monthly payments. When distributions are made from TZRC to the Company’s subsidiary, the Company uses 100% of those funds to immediately pay down the TZRC Secured Promissory Note. Any prepayment would be accompanied by all accrued and unpaid interest on the principal amount prepaid. The TZRC Secured Promissory Note is secured by a first priority security interest in the Company’s membership interest in TZRC. The Company is not a guarantor of the TZRC Secured Promissory Note, and there is no recourse to the Company. As of September 30, 2024, approximately $81.1 million in principal and PIK interest, exclusive of a $1.0 million discount, was outstanding under the TZRC Secured Promissory Note, with payment of principal and PIK interest due upon the first to occur of (a) the date that is five years from origination on April 8, 2022, (b) the date of any event of dissolution of TZRC, and (c) the date of the closing of certain events specified in TZRC’s governing documents. Third Party Note On December 6, 2022, the Company, entered into a $10.0 million note with a third party. The TPN had a maturity date of December 5, 2027 and provided for an interest rate of 6.0% per annum. In January 2024, the outstanding balance of the TPN, including all PIK interest, was paid in full. Anchorage Loan In February 2023, the Company’s subsidiary restructured its outstanding Equipment Loan and Security Agreements (the “Anchorage Loan”) with Anchorage Lending CA, LLC (“Anchorage”). The restructuring was accounted for under ASC 470-50 Modifications and Extinguishments The Anchorage Loan was secured by approximately 21,000 miners at the Company’s Alpha and Salt Creek facilities and all property, equipment, machinery, and all other assets located in the Company’s Alpha facility. On April 25, 2023, the Anchorage Loan was amended so that interest accrues on the principal balance only and does not include prior period PIK interest. On September 27, 2024, the Company and certain of its subsidiaries entered into a Debt Repayment Agreement with Anchorage to exchange the $37.9 million outstanding balance of the Anchorage Loan (exclusive of $1.5 million of deferred financing costs) as of the agreement date for 2,313,435 shares of the Company’s common stock (the “Conversion”) at an exchange rate of $16.395 per share (the “Exchange Price”). Upon completion of the Conversion, the outstanding loan and all other related obligations of the Company and its subsidiaries under the Anchorage Loan were satisfied. Additionally, as a result of the Conversion, the Company derecognized the net carrying amount of the Anchorage Loan as of the Conversion date of $36.4 million (inclusive of a $37.9 million outstanding balance and $1.5 million of deferred financing costs), recorded a gain on debt extinguishment of $6.0 million inclusive of $0.2 million in debt extinguishment costs, and to stockholders’ equity the fair value of the shares of common stock issued, net of share issuance costs, recorded as follows: $30.2 million to additional paid-in capital, net of share issuance costs of $0.1 million, and $0.02 million to common stock. Under the Debt Repayment Agreement, the Company agreed to file a registration statement with respect to the resale of the common stock issued under the Debt Repayment Agreement and provided Anchorage other customary rights with respect to such registration. In the event that, on or prior to December 31, 2024, the Company (i) sells any shares of common stock, other than pursuant to certain excluded issuances, at a price per share that is less than the Exchange Price or (ii) issues any debt or equity instrument of the Company or any of its subsidiaries or affiliates that is convertible into or exchangeable for shares of common stock, other than pursuant to certain excluded issuances, at an initial conversion or exchange price, as applicable, that is less than the Exchange Price (“Better Offer”), then in each case, the Debt Repurchase Agreement shall be deemed to be amended to reflect a new Exchange Price that is the lowest Better Offer and the Company shall forthwith issue to Anchorage additional shares of common stock to reflect an Exchange Price that is equal to the lowest Better Offer. Coinbase credit facility A subsidiary of the Company acquired in the Business Combination is party to a credit facility with Coinbase Credit, Inc. (“Coinbase”). The original credit facility was established on June 26, 2023 (the “Original Credit Facility”) and was amended and restated on January 12, 2024 and June 17, 2024. The Original Credit Facility provided for an interest of 5.0% plus the greater of (i) the US Federal Funds Target Rate – Upper Bound On January 12, 2024, the Coinbase credit facility was amended (the “First Amended and Restated Credit Agreement”) allowing for a drawdown of a fourth tranche of $15.0 million, which the Company drew on January 12, 2024. Under the terms of the First Amended and Restated Credit Agreement, amounts that are borrowed bear interest at a rate equal to (a) the greater of (i) the US Federal Funds Target Rate – Upper Bound on the date of the applicable borrowing and (ii) 3.25%, plus on Coinbase’s digital currency exchange platform (the “Prevailing Market Value”) On June 17, 2024, the Company entered into an amended and restated credit agreement (the “Second Amended and Restated Credit Agreement”) with Coinbase. The Second Amended and Restated Credit Agreement extends the final maturity date to June 16, 2025, modifies the LTV thresholds for a margin call, margin release or breach of the Second Amended and Restated Credit Agreement, and modifies the interest rate at a rate equal to (a) the greater of (x) the federal funds rate on the date of the applicable borrowing and (y) 3.25%, plus Under the terms of the Second Amended and Restated Credit Agreement, there is no guaranty by the Company of its subsidiary’s obligations. The Second Amended and Restated Credit Agreement also removes the right for Coinbase to deliver a partial repayment notice to Company if the price of Bitcoin on Coinbase’s digital currency exchange platform (the “Prevailing Market Value”) is less than the higher of (x) $25,000 and (y) 60% of the Prevailing Market Value on the effective date of the First Amended and Restated Credit Agreement. As of September 30, 2024, the Company has $65.0 million outstanding with Coinbase under the Second Amended and Restated Credit Agreement, exclusive of deferred financing costs of $0.04 million. Coatue Note (convertible note) On June 21, 2024, the Company entered into a Convertible Note Purchase Agreement (the “Purchase Agreement”) with Coatue Tactical Solutions Lending Holdings AIV 3 LP (the “Coatue Fund”), and a subsidiary of the Company (the “Guarantor”) providing for the purchase and sale of a convertible note (the “convertible note”) in the principal amount of $150.0 million (such amount, together with any PIK interest accrued from time to time, the “Accreted Principal Amount”). The convertible note is a senior unsecured obligation of the Company and guaranteed by the Guarantor pursuant to a Guaranty Agreement (the “Guaranty,” and together with the transactions contemplated by the Purchase Agreement and the convertible note, the “Transaction”). On June 28, 2024, the Company issued the convertible note to the Coatue Fund. The convertible note bears interest at a rate of 8.00% per year, payable quarterly in arrears on each March 31, June 30, September 30 and December 31, commencing September 30, 2024. Interest may be paid in-kind or in cash, at the Company’s option. The convertible note will have an initial term of five years and may be extended, at the Company’s option, for up to three one-year terms. At maturity, the Company will pay the Coatue Fund the Accreted Principal Amount, together with any accrued and unpaid interest thereon. During the term of the convertible note, the convertible note will be convertible from time to time, in whole or in part, into shares of the Company’s common stock at the option of the Coatue Fund. The initial conversion price of the convertible note is $16.395 per share of common stock, subject to certain anti-dilution adjustments. The Coatue Fund will have the right to require the Company to repurchase all, but not less than all, of the convertible note upon a change of control or a delisting on a U.S. stock exchange. If the implied valuation of such event is at least $11.50 per share of the Company’s common stock, the mandatory redemption price will be 150% of the original principal amount of the convertible note (“Contingent Repurchase Right”), and if the implied valuation of such event is less than $11.50 per share of the Company’s common stock, the redemption price will be equal to the Accreted Principal Amount, together with any accrued and unpaid interest as of the redemption date. Beginning on the two year anniversary of the convertible note’s issuance and continuing until its maturity, the Company has the right, from time to time, to redeem all or any portion of the convertible note for a redemption price equal to 100% of the Accreted Principal Amount, together with any accrued and unpaid interest as of the redemption date if (i) the closing price of the Company’s common stock equals or exceeds 150% of the then-applicable conversion price for a specified period of time and (ii) there is an effective registration statement covering the resale of any shares of the Company’s common stock issued upon conversion of the convertible note or, in the alternative, the shares of the Company’s common stock issuable pursuant to the convertible note to the extent the Coatue Fund converts at the time would be freely tradable by the Coatue Fund pursuant to Rule 144 under the U.S. Securities Act of 1933, as amended (including without any restriction on volume), subject to a daily redemption limitation such that the number of shares of the Company’s common stock into which the Accreted Principal Amount to be redeemed would be converted does not exceed, after giving effect to such conversion, 100% of the average daily trading volume of the Company’s common stock calculated over a specified period of time. The Purchase Agreement includes certain representations, warranties and covenants, including limitations on the ability of the Company and the Guarantor to incur indebtedness, make certain restricted payments and investments, and enter into affiliate transactions, subject to certain exceptions enumerated in the Purchase Agreement. The Company may consummate a transaction restricted by the foregoing covenants without the Coatue Fund’s consent, so long as it substantially concurrently and as a condition thereto repurchases the convertible note in full from the Coatue Fund for an amount in cash equal to the greater of (i) 120% of the original principal amount of the convertible note and (ii) the Accreted Principal Amount, plus accrued and unpaid interest to the date of such repurchase. The Purchase Agreement also sets forth certain standard events of default upon which the convertible note may be declared immediately due and payable. As mentioned in Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Convertible Instrument and Derivatives , the Company has identified embedded derivatives and separated an embedded derivative, the Contingent Repurchase Right, from the convertible note. The remaining debt host contract is discounted by the initial fair value of the separated embedded derivative from convertible note of nil and is offset by issuance costs. The debt host contract of the convertible note is subsequently measured at amortized cost, and the debt discount and issuance costs are amortized to interest expense over the expected term of the host contract using the effective interest method. The convertible note has an effective interest rate of 8.23% and its contractual interest expense was $3.0 million and $3.1 million for the three and nine months ended September 30, 2024, respectively. The amortization of debt discount and issuance costs for the three and nine months ended September 30, 2024 was $0.3 million and $0.3 million, respectively. The convertible note had an outstanding principal amount of $153.1 million inclusive of PIK interest accrued, unamortized debt discount and issuance costs of $0.8 million, net carrying amount of $152.3 million, and fair value of $180.0 million. The fair value of the convertible note is estimated using the same method and inputs as the separated embedded derivative from convertible note as disclosed in Note 11. Derivatives . The Company determined that the convertible note is a Level 3 liability given an unobservable input is included in its valuation. The separated embedded derivative from convertible note was initially recorded at nil. See Note 11. Derivatives for a discussion of the separated embedded derivative from convertible note. Galaxy Credit Facility On June 17, 2024, the Company terminated its uncommitted $50.0 million open term revolving credit facility with Galaxy Digital.

Derivatives

Derivatives	9 Months Ended
Derivatives	Sep. 30, 2024
Derivatives
Derivatives	Note 11. Derivatives The following table presents the Company’s Unaudited Condensed Consolidated Balance Sheets classification of derivatives carried at fair value: (in USD thousands) September 30, 2024 December 31, 2023 Derivative Balance Sheet Line Asset Liability Asset Liability Derivatives not designated as hedging instruments: Covered call options Covered call options $ — $ 921 $ — $ — Total derivatives $ — $ 921 $ — $ — The following table presents the effect of derivatives on the Company’s Condensed Consolidated Statements of Operations and Comprehensive Income (Loss): (in USD thousands) Three Months Ended Nine Months Ended Derivative Statement of Operations Line September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Derivatives not designated as hedging instruments: Covered call options Gain on derivatives $ 2,704 $ — $ 19,923 $ — Total derivatives $ 2,704 $ — $ 19,923 $ — Covered call options During the nine months ended September 30, 2024, the Company sold covered call options on Bitcoin for proceeds of $20.8 million and recorded a gain of $19.9 million. As noted in Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Derivatives Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Fair value measurement Separated embedded derivative from convertible note During the nine months ended September 30, 2024, as noted in Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Convertible instruments Loans and notes payable Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Fair value measurement As of September 30, 2024 and June 30, 2024, the Company estimated the fair value of the separated embedded derivative from convertible note using the PDE Model with the following inputs: September 30, June 30, 2024 2024 Dividend yield — % — % Implied volatility 105.06 % 100.49 % Risk-free interest rate 3.31 % 4.09 % Credit spread 19.11 % 15.29 %

Leases

Leases	9 Months Ended
Leases	Sep. 30, 2024
Leases
Leases	Note 12. Leases The Company’s operating leases are for its subsidiaries’ offices, mining facilities and data centers, including for its new GPU-as-a-Service business line. The Company’s subsidiaries also have finance leases, which are primarily related to equipment used at its data centers and the newly acquired Far North power plant located in Iroquois Falls, Ontario. The following table shows the right-of-use assets and lease liabilities as of September 30, 2024, and December 31, 2023: September 30, December 31, (in USD thousands) 2024 2023 Right-of-use assets: Operating leases $ 20,654 $ 14,534 Finance leases 25,274 1,294 Total right-of-use assets $ 45,928 $ 15,828 Lease liabilities: Operating leases $ 21,435 $ 14,962 Finance leases 25,238 1,409 Total lease liabilities $ 46,673 $ 16,371 A subsidiary of the Company entered into a sale lease back transaction with Macquarie as part of the Far North transaction. The finance lease related to the power plant in Iroquois Falls, Ontario, is secured by the assets that exist at the power plant. The Company’s lease costs are comprised of the following: Three Months Ended Nine Months Ended (in USD thousands) September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Operating leases Operating lease cost $ 907 $ 48 $ 2,160 $ 150 Variable lease cost 572 18 767 54 Operating lease expense 1,479 66 2,927 204 Short-term lease expense 162 71 257 264 Total operating lease expense 1,641 137 3,184 468 Finance leases Amortization of financed assets 814 — 1,188 — Interest on lease obligations 360 — 402 — Total finance lease expense 1,174 — 1,590 — Total lease expense $ 2,815 $ 137 $ 4,774 $ 468 The following table presents supplemental lease information: Nine Months Ended (in USD thousands) September 30, 2024 September 30, 2023 Operating cash outflows - operating leases $ 2,050 $ 353 Operating cash outflows - finance leases $ 403 $ — Financing cash outflows - finance leases $ 1,617 $ — Right-of-use assets obtained in exchange for operating lease liabilities $ 8,072 $ — Right-of-use assets obtained in exchange for finance lease liabilities $ 24,672 $ — Nine Months Ended September 30, 2024 September 30, 2023 Weighted-average remaining lease term - operating leases 8.6 2.8 Weighted-average remaining lease term - finance leases 4.8 — Weighted-average discount rate (1) 11.5 % 7.0 % Weighted average discount rate - finance leases 10.0 % — % (1) The following table presents the Company’s future minimum operating lease payments as of September 30, 2024: Operating (in USD thousands) Leases Remainder of 2024 $ 1,232 2025 4,958 2026 4,759 2027 4,563 2028 4,250 Thereafter 15,169 Total undiscounted lease payments 34,931 Less present value discount (13,496) Present value of operating lease liabilities $ 21,435 The following table presents the Company’s future minimum finance lease payments as of September 30, 2024: Finance (in USD thousands) Leases Remainder of 2024 $ 1,867 2025 7,401 2026 6,935 2027 6,935 2028 6,935 Thereafter 4,046 Total undiscounted lease payments 34,119 Less present value discount (8,881) Present value of finance lease liabilities $ 25,238

Stockholders' equity

Stockholders' equity	9 Months Ended
Stockholders' equity	Sep. 30, 2024
Stockholders' Equity
Stockholders' equity	Note 13. Stockholders’ equity Authorized Shares The Company’s certificate of incorporation, as amended, authorized 1,000,000,000 shares of common stock having a par value of $0.01 per share and 25,000,000 shares of preferred stock having a par value of $0.01 per share. The Business Combination constituted a business combination and was accounted for using the acquisition method of accounting. In addition, a recapitalization of equity structure occurred where the equity structure of the Company reflects the equity structure of the legal parent as a result of the Business Combination, in this case the combined company named “Hut 8 Corp.”, otherwise referred to as the Company. These Unaudited Condensed Consolidated Financial Statements contain recast stockholders’ equity balances resulting from the retroactive application of recapitalization accounting in accordance with GAAP, except where otherwise noted. Pursuant to the terms of the Business Combination Agreement on November 30, 2023, stockholders of USBTC received 0.6716 of a share of the Company’s common stock for each share of USBTC capital stock. Legacy Hut shareholders received 0.2000 of a share of the Company’s common stock for each Legacy Hut common share. All previously outstanding USBTC common stock, all series of previously outstanding USBTC preferred stock, previously outstanding USBTC stock options, and previously outstanding USBTC restricted stock awards are presented in the recast Unaudited Condensed Consolidated Statements of Stockholders’ Equity, if applicable, and in the accompanying notes on an as-converted basis, converted at the ratio of 0.6716 for each USBTC share. Fractional shares, if any, were rounded down to the nearest whole share at a stockholder level. Fractional options, if any, were rounded down to the nearest whole option at an award level. The retrospective application of recapitalization on previously outstanding USBTC common stock prior to the Business Combination is as follows, rounded down, if applicable, on a holder level based on their aggregate holdings of all USBTC shares: Shares of USBTC USBTC common common stock stock to prior to the Hut 8 Corp. Recapitalization Business common stock of Period Description Combination exchange ratio common stock Three months ended March 31, 2023 Issuance of common stock 2,960,000 0.6716 1,987,936 Three months ended March 31, 2023 Cancellation of restricted stock awards (1,441,913) 0.6716 (968,388) Three months ended March 31, 2023 Stock-based compensation 1,048,912 0.6716 704,449 Three months ended September 30, 2023 Issuance of common stock – stock option exercises 7,391 0.6716 4,963 Common stock As a part of the Business Combination, 44,346,008 shares of common stock were issued to Legacy Hut shareholders. The reverse recapitalization of equity structure on previously outstanding USBTC common stock prior to the Business Combination is as mentioned above in this note. As mentioned in Note 10. Loans and notes payable As mentioned in Note 10. Loans and notes payable Preferred stock The reverse recapitalization of equity structure on all series of previously outstanding USBTC preferred stock prior to the Business Combination is as mentioned above in this note. Common stock warrants In connection with the Business Combination, common share warrants to purchase Legacy Hut common shares outstanding immediately before the Business Combination have been assumed by the Company pursuant to the Business Combination. The common stock purchase warrants post-Business Combination are entitled to receive upon exercise, in lieu of Legacy Hut common shares, shares of common stock of the Company at an exchange ratio of 0.2000, rounded down to the nearest whole share at a warrant agreement level if applicable, and at an exercise price of the original exercise price divided by the exchange ratio of 0.2000, rounded up to the nearest whole cent if applicable. The common stock purchase warrants include a net share settlement clause at the discretion of the warrant holder, which may result in a variable number of shares being issued for a fixed price due to the use of a certain volume-weighted average price of shares. The Company accounts for its common stock purchase warrants as equity instruments based on the specific terms of the common stock purchase warrant agreements, and has recorded them in additional paid-in capital in equity based on their fair value on the date of assumption. Common stock purchase warrants are valued at inception, upon events such as an exercise, and at subsequent reporting periods if applicable. The classification of the common stock purchase warrants, including whether such instruments should be recorded as liabilities, is re-assessed at the end of each reporting period. The fair value of each common stock purchase warrant is estimated on the date of issuance or assumption using the Black-Scholes pricing model. The common stock purchase warrants assumed in the Business Combination expire on September 17, 2026. Transactions involving the Company’s equity-classified common stock purchase warrants are summarized as follows: Weighted Weighted average average remaining Number of exercise price contractual life (in USD thousands, except share and per share amounts) shares (per share) (in years) Outstanding as of December 31, 2023 1,895 $ 53.45 2.8 Outstanding as of September 30, 2024 1,895 $ 53.45 2.0 The changes in accumulated other comprehensive income, net of tax, is as follows: December 31, Net September 30, (in USD thousands) 2023 Change 2024 Foreign currency translation adjustment gain (loss) $ 10,761 $ (10,449) $ 312 Total $ 10,761 $ (10,449) $ 312

Stock-based compensation

Stock-based compensation	9 Months Ended
Stock-based compensation	Sep. 30, 2024
Stock-based compensation
Stock-based compensation	Note 14. Stock-based compensation The Company adopted the Rollover Option Plan in connection with the Business Combination, which is a plan that governs replacement stock options that replaced previously outstanding USBTC stock options prior to the Business Combination. The Rollover Option Plan is identical to USBTC’s 2021 Equity Incentive Plan (the “2021 Plan”) except for conforming to changes to take into account the Business Combination, namely the exchange ratio of USBTC stock options exchanged for 0.6716 stock options of the Company. Fractional stock options, if any, were rounded down to the nearest whole stock option at an award level. The exercise price of any USBTC stock option exchanged was equal to the exercise price of the replaced USBTC stock option immediately before the Business Combination divided by 0.6716, rounded up to the nearest whole cent, if applicable. On November 30, 2023, in connection with the Business Combination, USBTC stock options outstanding immediately before the Business Combination were exchanged as noted (“USBTC Replacement Options”). In addition, 4,490,400 shares of common stock have been authorized and registered to be issued under the Rollover Option Plan, and no further awards are available for grant under the Rollover Option Plan. On March 16, 2021, USBTC established the 2021 Plan. The 2021 Plan allowed USBTC to award stock options, stock appreciation rights, restricted awards and performance awards to employees, consultants, and directors of USBTC and its affiliates. Cancelled and forfeited awards were returned to the 2021 Plan for future awards. In connection with the Business Combination, equity awards outstanding under Legacy Hut’s, the accounting acquiree, Omnibus Long-Term Incentive Plan established on February 15, 2018, as amended, (the “2018 Plan”) were amended to settle in shares of the Company’s common stock, for restricted share units and deferred share units, or were cancelled and reissued under the Company’s 2023 Omnibus Incentive Plan (the “2023 Plan”), for stock options, all at an exchange ratio of 0.2000 effective November 30, 2023. The exercise price of stock options under the 2018 Plan immediately before the Business Combination was divided by the exchange ratio of 0.2000 rounded up to the nearest whole cent, if applicable, to obtain the exercise price of the reissued stock options. Fractional awards, if any, were rounded down to the nearest whole award unit at an award level. The replaced stock options are governed by the Company’s 2023 Plan and the amended restricted stock units and deferred stock units are governed by the 2018 Plan with all replaced or amended awards having the same terms and conditions except otherwise noted. The 2018 Plan allowed Legacy Hut to award stock options and restricted share units to employees, consultants, service providers, and directors of Legacy Hut and its affiliates, and deferred share units to employees and directors of Legacy Hut. 1,553,254 shares of common stock have been authorized and registered to be issued under the 2018 Plan. Effective November 27, 2023, the Company established the 2023 Plan. Under the 2023 Plan, stock options, stock appreciation rights, restricted stock, restricted stock units, performance stock units, deferred stock units, other stock-based awards, and stock bonuses can be granted to employees, consultants, and directors of the Company and its affiliates. Cancelled and forfeited awards are returned to the 2023 Plan for future awards. 6,065,682 shares of common stock have been authorized and registered to be issued under the 2023 Plan. As of September 30, 2024, only restricted stock units, deferred stock units, performance stock units, and stock options as replacements of Legacy Hut stock options have been granted under the 2023 Plan. The Company’s stock-based compensation expense recognized during the nine months ended September 30, 2024 and September 30, 2023 and the three months ended September 30, 2024 and September 30, 2023 is included in general and administrative expenses in the Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss) and is as follows: Three Months Ended Nine Months Ended (in USD thousands) September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Restricted stock awards $ — $ — $ — $ 687 Stock options 1,043 303 2,668 964 Restricted stock units 1,632 — 9,201 — Deferred stock units — — — — Performance stock units 2,282 — 4,572 — Total stock-based compensation $ 4,957 $ 303 $ 16,441 $ 1,651 Time-based restricted stock awards On October 10, 2021, USBTC awarded 395,908 time-based restricted stock awards, with an estimated fair value of $3.38 per share. USBTC estimated the fair value as of September 30, 2021, utilizing the market approach and other fair value measurement techniques such as the backsolve method, which derives the equity value for USBTC from a transaction involving USBTC’s own securities, in this case, USBTC’s Series B preferred stock offering on September 30, 2021. 263,939 of these awards were cancelled in February 2023 as noted below. On January 5, 2023, USBTC awarded 704,449 time-based restricted stock awards with an estimated fair value of $0.39 per share. USBTC estimated the fair value of $0.39 as of December 31, 2022 utilizing a market approach and the Guideline Public Company Method to derive an estimated equity value from publicly traded companies deemed comparable to USBTC. Once the equity value was determined, USBTC used the option pricing method to allocate fair value to USBTC’s individual securities outstanding at the time. In February 2023, USBTC cancelled 704,449 restricted stock awards which it had awarded on January 5, 2023 and also cancelled 263,939 restricted stock awards from other previously issued restricted stock grants, and accordingly recognized compensation expense at that time in the amount of the remaining unrecognized compensation expense for all of these awards of $0.6 million. The assumptions used in the option pricing method and the backsolve method as of December 31, 2022 and September 30, 2021 were as follows: December 31, September 30, 2022 2021 Dividend yield — % — % Expected price volatility 120 % 100 % Risk-free interest rate 4.41 % 0.28 % Expected term 2.0 years 2.0 years There was no time-based restricted stock award activity during the nine months ended September 30, 2024. A summary of USBTC’s unvested time-based restricted stock awards for the nine months ended September 30, 2023 is as follows: Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) shares fair value intrinsic value Unvested as of December 31, 2022 263,939 $ 3.38 $ 102 Granted 704,449 0.39 Vested — — — Cancelled (968,388) 1.20 Unvested as of September 30, 2023 — $ — $ — There was no remaining unrecognized compensation expense related to time-based restricted stock awards as of September 30, 2023. Stock options The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option pricing model. Prior to the Business Combination, USBTC had been a private company and lacked publicly observable company-specific historical and implied volatility information. Therefore, expected stock volatility was estimated based on the historical volatility of a publicly traded set of peer companies. Also, due to the lack of historical exercise history, the expected term of USBTC’s stock options was determined using the “simplified” method for awards, which uses a mid-point between the vesting period and contractual term for each grant and for each vesting-tranche for awards with graded vesting. The risk-free interest rate was determined by referencing the U.S. Treasury yield curve in effect at the time of grant of the award for time periods approximately equal to the expected term of the award. An expected dividend yield of 0% was based on not having paid cash dividends historically and not expecting to pay cash dividends in the foreseeable future. The majority of USBTC’s stock options vest based on service provided by the grantee to USBTC over time; however, certain stock options were also subject to a performance-based vesting condition whereby vesting would be accelerated upon the completion of an initial public offering or merger event (the “IPO Options”). On November 30, 2023, due to the consummation of the Business Combination, USBTC accelerated a total of 763,609 unvested performance-based stocks options, which was comprised of the IPO Options and the January 2023 and February 2023 modified performance-based stock options described below. Immediately prior to the closing of the Business Combination, 6,686,123 USBTC stock options were converted into 4,490,375 USBTC Replacement Options, based on an exchange ratio of 0.6716, rounded down to the nearest whole stock option at an award level. The exercise price of the USBTC Replacement Options is equal to the exercise price of the replaced USBTC stock option immediately before the Business Combination divided by 0.6716, rounded up to the nearest whole cent if applicable. USBTC treated the exchange as a Type I modification (probable-to-probable). As previously described in this note, in connection with the consummation of the Business Combination, Legacy Hut stock options under the 2018 Plan were cancelled and reissued under the Company’s 2023 Plan at a 0.2000 ratio, rounded down if applicable at a grant level. The exercise price of stock options under the 2018 Plan immediately before the Business Combination were divided by the exchange ratio of 0.2000 rounded up to the nearest whole cent, if applicable, to obtain the exercise price of the replacement stock options. 115,000 Legacy Hut stock options were cancelled under the 2018 Plan and 23,000 replacement stock options were issued under the 2023 Plan with a weighted-average exercise price of $18.41 per share. The weighted-average fair value of these replacement stock options of $7.02 per share was estimated as described in this note with the exception of expected stock volatility where the assumption of the replacement stock options converged with the acquiree awards’ (Legacy Hut stock options) as of the Business Combination consummation; all other assumptions also converged with the acquiree awards’ as of the Business Combination consummation. These 23,000 replacement stock options were fully vested on the Business Combination date. As such, there is no further unrecognized compensation expense related to these replacement stock options. In January 2023, USBTC repriced 2,122,760 outstanding stock options to an exercise price of $0.39 per share. The incremental expense of vested stock options of approximately $0.03 million was recognized upon the modification date and the incremental expense of unvested stock options of $0.1 million will be recognized over the remaining vesting period of the awards. In January 2023, USBTC entered into change in control agreements with two senior executives that amended the vesting requirement of certain of their service-based stock options. Under the terms of the amended agreements, an acceleration provision was added for all unvested service-based stock options whereby immediate vesting would occur upon the consummation of the Business Combination. USBTC determined the performance condition was probable of being achieved both prior to and subsequent to the modification and accounted for these changes as a Type I modification (probable-to-probable). As the modification only resulted in the acceleration of service-based vesting and did not involve any other changes, there was no incremental fair value to recognize as additional compensation expense as of the modification date and accordingly no incremental compensation expense required to be recognized. In February 2023, USBTC entered into a change in control agreement with a senior executive, which modified the performance condition in 27,367 of their stock option awards. Under the modified terms, the stock options did not vest upon achievement of certain internal non-financial metrics and instead vested upon the completion of an initial public offering or merger event. USBTC determined the performance condition was not probable of being achieved both prior to and subsequent to the modification (a Type IV modification). Under GAAP, stock compensation expense for equity awards that are conditional upon a liquidity event such as an initial public offering or merger event is not recognizable prior to the achievement of the liquidity event. As such, USBTC did not recognize any stock compensation expense for these stock options until the occurrence of an initial public offering or merger event. In August 2024, the Company accelerated the vesting of 380,658 stock options held by three non-employee directors and 425,604 stock options held by its Chief Executive Officer to immediately vest. As the modifications only resulted in the acceleration of service-based vesting and did not involve any other changes, there was no incremental fair value to recognize as additional compensation expense as of the modification date and accordingly no incremental compensation expense was required to be recognized. No stock options were granted by the Company during the nine months ended September 30, 2024. The following assumptions were used in determining the fair value of USBTC’s stock options during the nine months ended September 30, 2023: Nine Months Ended September 30, 2023 Dividend yield — % Expected price volatility 100 % Risk-free interest rate 3.82% – 3.90 % Expected term (in years) 5.5 – 8.0 As of September 30, 2024 there were 1,011,998 unvested service-based options. A summary of stock options is below for the nine months ended September 30, 2024 and the nine months ended September 30, 2023: Weighted Weighted average average remaining Number of exercise price Aggregate contractual life (in USD thousands, except share and per share amounts) shares (per share) intrinsic value (in years) Outstanding as of December 31, 2023 4,513,375 $ 0.48 $ 58,150 8.8 Granted — — Exercised (1,235,239) 0.39 11,155 Forfeited or canceled (70,828) 0.39 Outstanding as of September 30, 2024 3,207,308 $ 0.52 $ 37,798 7.9 Vested and exercisable as of September 30, 2024 2,195,310 $ 0.58 $ 25,785 7.9 Weighted Weighted average average remaining Number of exercise price Aggregate contractual life (in USD thousands, except share and per share amounts) shares (per share) intrinsic value (in years) Outstanding as of December 31, 2022 2,122,742 $ 2.89 $ — 9.0 Granted 2,469,134 0.39 Exercised (5,172) 0.39 2 Forfeited or canceled (56,815) 0.39 Outstanding as of September 30, 2023 4,529,889 $ 0.39 $ 34,791 8.8 Vested and exercisable as of September 30, 2023 740,020 $ 0.39 $ 5,684 8.1 The Company had approximately $0.9 million of total unrecognized compensation expense related to stock options granted under the Rollover Option Plan as of September 30, 2024, which is expected to be recognized over a weighted-average remaining vesting period of approximately 1.3 years. The weighted average grant-date fair value of stock options was $0.31 per share during the nine months ended September 30, 2023. Restricted stock units Restricted stock units granted under the 2023 Plan, and those governed under the 2018 Plan that are settleable in shares of common stock of the Company, entitle recipients to receive a number of shares of the Company’s common stock over a vesting period, as per each respective restricted stock unit agreement. At the Company’s discretion, restricted stock units may be settled in shares of common stock or cash in lieu of settling in shares or a combination of shares of common stock and cash, and the Company currently does not intend to settle any restricted stock units in cash or in a combination of shares of common stock and cash. Stock-based compensation expense related to share-settled restricted stock units is based on the fair value of the Company’s common stock on the date of grant for restricted stock units under the 2023 Plan. For restricted stock units under the 2018 Plan, the stock-based compensation expense is based on the fair value of the Company’s common stock on the date of the Business Combination’s consummation. The Company recognizes stock-based compensation expense associated with such share-settled restricted stock unit awards on a graded basis over the awards’ service-based vesting tranches. Share-settled restricted stock unit awards granted up to September 30, 2024 vest in equal annual installments over a three-year period or for non-employee directors, fully vest by a certain date (unless accelerated in connection with a change in control event under specified conditions as set forth in the applicable restricted stock unit agreement or otherwise in accordance with provisions of the award’s governing plan or applicable agreement). In February 2023, the Company accelerated the vesting of 66,666 restricted stock units held by its former Chief Financial Officer governed by the 2018 Plan to dates earlier than the original vest dates. As the modification only resulted in the acceleration of service-based vesting and did not involve any other changes, there was no incremental fair value to recognize as additional compensation expense as of the modification date and accordingly no incremental compensation expense required to be recognized. The following table presents a summary of the activity of the service-based restricted stock units: Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) units fair value intrinsic value Unvested as of December 31, 2023 1,554,347 $ 10.36 $ 20,735 Granted 871,002 9.19 Vested (987,504) 9.67 9,243 Forfeited (140,130) 10.66 Unvested as of September 30, 2024 1,297,715 $ 10.07 $ 15,910 The Company had approximately $7.2 million of total unrecognized compensation expense related to restricted stock units granted under the 2023 Plan and 2018 Plan that are settleable in shares of common stock of the Company as of September 30, 2024, which is expected to be recognized over a weighted-average remaining vesting period of approximately 1.2 years. The Company had no restricted stock unit activity during the nine months ended September 30, 2023. Deferred stock units Deferred stock units granted under the 2023 Plan, and those governed under the 2018 Plan that are settleable in shares of common stock of the Company, entitled recipients to receive a number of shares of the Company’s common stock over a vesting period if applicable, as per each respective deferred stock unit agreement. At the Company’s discretion, deferred stock units may be settled in shares of common stock or cash in lieu of settling in shares or a combination of shares of common stock and cash, and the Company currently does not intend to settle any deferred stock units in cash or in a combination of shares of common stock and cash. Stock-based compensation expense related to share-settled deferred stock units is based on the fair value of the Company’s common stock on the date of grant for deferred stock units under the 2023 Plan. For deferred stock units under the 2018 Plan, the stock-based compensation expense is based on the fair value of the Company’s common stock on the date of the Business Combination’s consummation. The Company recognizes stock-based compensation expense associated with such share-settled deferred stock unit awards on a graded basis over the awards’ vesting tranches. Share-settled deferred stock unit awards granted to date are granted in vested state and can only be settled for shares of common stock of the Company upon the participant’s departure from the Company. The following table presents a summary of the activity of the deferred stock units: Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) units fair value intrinsic value Vested and outstanding as of December 31, 2023 91,804 $ 9.73 $ 1,225 Redeemed (17,850) 9.78 224 Vested and outstanding as of September 30, 2024 73,954 $ 9.72 $ 907 There was no remaining unrecognized compensation expense related to deferred stock units as of September 30, 2024. The Company had no deferred stock unit activity during the nine months ended September 30, 2023. Performance stock units Performance stock units granted under the 2023 Plan entitle recipients to receive a number of shares of the Company’s common stock based on market and service conditions as per each respective performance stock unit agreement. At the Company’s discretion, performance stock units may be settled in shares of common stock or cash in lieu of settling in shares or a combination of shares of common stock and cash. The Company currently does not intend to settle any performance stock units in cash or in a combination of shares of common stock and cash. During the nine months ended September 30, 2024, the Company awarded 1,589,497 market-based performance stock units to certain employees, including to its Chief Executive Officer, Chief Strategy Officer, Chief Legal Officer, and Chief Financial Officer. The performance stock units granted as of September 30, 2024 have market-based and service-based vest conditions. These performance stock units vest approximately three years from grant date and, as set forth in each applicable performance stock unit grant agreement, if the Company’s stock price, on a basis of the highest volume-weighted average stock price of the Company over a 20 consecutive trading day period during a certain measurement period within the vest period, exceeds the Company’s 20 consecutive trading day volume-weighted average stock price as of a certain date by at least 50% or at least 100% (“VWAP Goal”), then the percentage of performance stock units eligible to vest is 100% or 200% of the number of performance stock units granted, respectively. Any performance stock units that become eligible to vest as per their respective agreements will vest as of the end of the measurement period. These performance stock units do not have interpolation conditions on the percentage of units that are eligible to vest. The VWAP Goal is considered a “market condition” under FASB ASC Topic 718, Compensation—Stock Compensation Nine Months Ended September 30, 2024 Dividend yield — % Expected price volatility 113.8% – 115 % Risk-free interest rate 3.74% – 4.84 % Expected term (in years) 2.9 – 3.0 The Company recognizes stock-based compensation expense associated with performance stock unit awards on a graded basis over the awards’ derived service period. Stock-based compensation expense associated with performance stock units is not adjusted in future periods for the success or failure to achieve the specified market conditions. The weighted-average derived service period of performance stock units granted during the nine months ended September 30, 2024 was 3.0 years. The following table presents a summary of the activity of the performance stock units: Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) units fair value intrinsic value Unvested as of December 31, 2023 — $ — $ — Granted 1,589,497 17.32 Unvested as of September 30, 2024 1,589,497 $ 17.32 $ 38,974 As of September 30, 2024, unrecognized stock-based compensation expense related to the Company’s performance stock units was $23.0 million, which is expected to be recognized over a remaining weighted-average period of approximately 2.5 years. Subsequent awards In November 2024, the Company awarded 61,498 service-based restricted stock units under its 2023 Plan to certain employees and a consultant with a grant-date fair value of $24.59 per unit. These restricted stock units generally vest in equal annual installments over a three-year period. In November 2024, the Company awarded 13,112 performance stock units under its 2023 Plan to a certain employee with market-based and service-based vest conditions consistent with the performance stock units disclosed in this note.

Net income (loss) per share of

Net income (loss) per share of common stock	9 Months Ended
Net income (loss) per share of common stock	Sep. 30, 2024
Net income (loss) per share of common stock
Net income (loss) per share of common stock	Note 15. Net income (loss) per share of common stock Basic and diluted net income (loss) per share attributable to common stockholders is computed in accordance to Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements Stockholders’ equity The following table presents potentially dilutive securities that were not included in the computation of diluted net income (loss) per share of common stock as their inclusion would have been anti-dilutive: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, 2024 2023 2024 2023 Unvested restricted stock awards (1) — — — 239,195 Stock options 23,000 4,529,889 23,000 11,333 Restricted stock units — — — — Deferred stock units — — — — Performance stock units — — — — Warrants 1,895 — 1,895 — Convertible note and separated embedded derivative from convertible note 9,338,213 — — — Total 9,363,108 4,529,889 24,895 250,528 (1) In accordance with FASB ASC Topic 260, Earnings Per Share The following is a reconciliation of the numerator and denominator of the basic and diluted net income (loss) per share of common stock computations for the periods presented: Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands, except share and per share amounts) 2024 2023 2024 2023 Numerator: Net income (loss) attributable to Hut 8 Corp. $ 647 $ (4,374) $ 179,657 $ 11,268 Less: loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively) — — 9,364 — Net income (loss) from continuing operations attributable to Hut 8 Corp. – basic $ 647 $ (4,374) $ 189,021 $ 11,268 Effect of dilutive shares on net income (loss): Effect of convertible note and separated embedded derivative from convertible note, net of tax — — 2,336 — Net income (loss) from continuing operations attributable to Hut 8 Corp. – diluted $ 647 $ (4,374) $ 191,357 $ 11,268 Loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively) attributable to Hut 8 Corp. $ — $ — $ (9,364) $ — Denominator: Weighted average shares of common stock outstanding – basic 91,182,107 43,197,355 90,178,607 42,954,301 Dilutive impact of outstanding equity awards 5,225,271 — 4,630,570 1,248,914 Dilutive impact of convertible note — — 3,174,882 — Weighted average shares of common stock outstanding – diluted 96,407,378 43,197,355 97,984,059 44,203,215 Net income (loss) per share of common stock: Basic from continuing operations attributable to Hut 8 Corp. (1) $ 0.01 $ (0.10) $ 2.10 $ 0.26 Basic from discontinued operations attributable to Hut 8 Corp. (2) $ — $ — $ (0.10) $ — Diluted from continuing operations attributable to Hut 8 Corp. (3) $ 0.01 $ (0.10) $ 1.95 $ 0.25 Diluted from discontinued operations attributable to Hut 8 Corp. (4) $ — $ — $ (0.10) $ — (1) (2) (3) (4)

Concentrations

Concentrations	9 Months Ended
Concentrations	Sep. 30, 2024
Concentrations
Concentrations	Note 16. Concentrations The Company has only mined Bitcoin as of September 30, 2024 and December 31, 2023. Therefore, 100% of the Company’s mining revenue is related to one digital asset. The Company had two mining pool operators as of September 30, 2024 and December 31, 2023.

Related party transactions

Related party transactions	9 Months Ended
Related party transactions	Sep. 30, 2024
Related party transactions
Related party transactions	Note 17. Related party transactions Parties are considered related to the Company if the parties, directly or indirectly, through one or more intermediaries, control, are controlled by, or are under common control with the Company. This includes equity method investment entities. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. The Company discloses all known related party transactions. The Company provides services to TZRC, an equity method investment entity (refer to Note 9. Investment in unconsolidated joint venture

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
Commitments and Contingencies	Sep. 30, 2024
Commitments and Contingencies.
Commitments and Contingencies	Note 18. Commitments and Contingencies Legal and regulatory matters The Company and its subsidiaries are subject at times to various claims, lawsuits and governmental proceedings relating to the Company’s business and transactions arising in the ordinary course of business. The Company cannot predict the final outcome of such proceedings. Where appropriate, the Company vigorously defends such claims, lawsuits and proceedings. Some of these claims, lawsuits and proceedings seek damages, including, consequential, exemplary or punitive damages, in amounts that could, if awarded, be significant. Certain of the claims, lawsuits and proceedings arising in ordinary course of business are covered by the Company’s insurance program. The Company maintains property and various types of liability insurance in an effort to protect the Company from such claims. In terms of any matters where there is no insurance coverage available to the Company, or where coverage is available and the Company maintains a retention or deductible associated with such insurance, the Company may establish an accrual for such loss, retention or deductible based on current available information. In accordance with accounting guidance, if it is probable that an asset has been impaired or a liability has been incurred as of the date of the financial statements, and the amount of loss is reasonably estimable, then an accrual for the cost to resolve or settle these claims is recorded by the Company in the accompanying Unaudited Condensed Consolidated Balance Sheets. If it is reasonably possible that an asset may be impaired as of the date of the financial statement, then the Company discloses the range of possible loss. Expenses related to the defense of such claims are recorded by the Company as incurred and included in the accompanying Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). Management, with the assistance of outside counsel, may from time to time adjust such accruals according to new developments in the matter, court rulings, or changes in the strategy affecting the Company’s defense of such matters. On the basis of current information, the Company does not believe there is a reasonable possibility that any material loss will result from any claims, lawsuits and proceedings to which the Company is subject to either individually, or in the aggregate. Litigation with North Bay facility power provider and leasehold provider On January 25, 2023, Legacy Hut filed a statement of claim in the Ontario Superior Court of Justice against Validus Power Corp. and Bay Power Corp. as defendants. Legacy Hut’s statement of claim included that defendants failed to meet obligations under a power purchase agreement between the parties. On February 21, 2023, the Company announced that it received a statement of defense and counterclaim. Completion of the Far North Transaction on February 15, 2024, whereby the assets of Validus Power Corp. were acquired by the Company, has resulted in the full and final resolution of all litigation claims and counterclaims made between Legacy Hut and Validus Power Corp. Lancium, LLC Lawsuit On May 11, 2023, Lancium, LLC (“Lancium”) filed a lawsuit claiming that USTBC infringed upon a number of its patents and sought unspecified compensatory damages, treble damages and attorney’s fees and costs. On January 16, 2024, the lawsuit was dismissed without prejudice. Securities Litigation In February and March 2024, two purported securities class actions were filed in the U.S. District Court for the Southern District of New York against the Company and certain of its current and former officers. The two class actions were consolidated into In re Hut 8 Corp. Securities Litigation Since the filing of the securities class actions, shareholder derivative suits were filed against the Company, its directors and certain of its current and former officers in the U.S. District Courts for the Southern District of New York, the District of Delaware, and the Southern District of Florida alleging derivative claims for breach of fiduciary duties, unjust enrichment, waste of corporate assets, and violations of the Exchange Act, including Section 10(b). All derivative actions filed in the Southern District of New York have been transferred to the District of Delaware. The parties to Thompson v. Leverton, et. al. Torres v. Tai, et. al. Thompson v. Leverton, et al. Torres v. Tai, et al. Wang v. Flinn, et al. Joseph v. Leverton, et. al. Ubhi v. Leverton, et. al. Wang v. Flinn, et al. Thompson v. Leverton, et al. The parties have also filed a stipulation consolidating and staying the derivative proceedings in the Southern District of Florida pending the outcome of the motion to dismiss in the securities class action in the Southern District of New York. The stipulation was entered by the Southern District of Florida, and the Court also administratively closed the consolidated proceeding pending the outcome of the securities class action in the Southern District of New York. The Company disputes the claims in these cases and intends to vigorously defend against them. Based on the preliminary nature of these proceedings, the outcome of these matters remains uncertain and the Company cannot estimate the potential impact, if any, on its business or financial statements at this time.

Subsequent events

Subsequent events	9 Months Ended
Subsequent events	Sep. 30, 2024
Subsequent events
Subsequent events	Note 19. Subsequent events The Company has completed an evaluation of all subsequent events after the balance sheet date up to the date that the Unaudited Condensed Consolidated Financial Statements were available to be issued. Except as described above and below, the Company has concluded no other subsequent events have occurred that requires disclosure. Miner Fleet Upgrade On November 6, 2024, the Company entered into an agreement to purchase 31,145 BITMAIN Antminer S21+ ASIC miners at $15.00 per terahash with initial deliveries expected in Q1 2025. Call Option Trade During October 2024, the Company sold covered call options on Bitcoin for proceeds of $2.9 million to generate cash flow on a portion of its digital assets. The Company has pledged Bitcoin as collateral with one of its digital asset custodians in a quantity equal to the notional amount for the covered call options sold. The covered call options are only exercisable upon the date of expiry, are automatically exercised if the underlying reference price is greater than the strike price of the call option, and are settled with delivery of the underlying Bitcoin. The reference price is the BRR at 4:00pm London time for a given date.

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
Pay vs Performance Disclosure - USD ($) $ in Thousands	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Pay vs Performance Disclosure
Net Income (Loss)	$ 647	$ (71,866)	$ 250,876	$ (4,374)	$ (1,686)	$ 17,328	$ 179,657	$ 11,268

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
Insider Trading Arrangements	Sep. 30, 2024
Trading Arrangements, by Individual
Material Terms of Trading Arrangement	Durable Sell-to-Cover 10b5-1 Trading Arrangements Our executive officers listed in the table below each adopted a Rule 10b5-1 trading arrangement intended to satisfy the affirmative defense conditions of Rule 10b5-1(c)(1) during the fiscal quarter ended September 30, 2024. The trading arrangements are in the form of durable sell-to-cover instructions and provide for sales of common stock necessary to satisfy such individual’s tax withholding obligations incurred in connection with the vesting and settlement of restricted stock units and performance stock units previously granted or that could in the future be granted by the Company (whether vesting is based on the passage of time or the achievement of performance goals). The total number of shares of common stock that may be sold pursuant to the sell-to-cover instructions is not determinable and the sell-to-cover instructions will remain in place indefinitely unless revoked in writing. Name Title Date Adopted Plan Expiration Date Asher Genoot Chief Executive Officer September 9, 2024 None Sean Glennan Chief Financial Officer September 9, 2024 None Victor Semah Chief Legal Officer and Corporate Secretary September 9, 2024 None
Asher Genoot
Trading Arrangements, by Individual
Name	Asher Genoot
Title	Chief Executive Officer
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	September 9, 2024
Sean Glennan
Trading Arrangements, by Individual
Name	Sean Glennan
Title	Chief Financial Officer
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	September 9, 2024
Victor Semah
Trading Arrangements, by Individual
Name	Victor Semah
Title	Chief Legal Officer and Corporate Secretary
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	September 9, 2024

Basis of presentation, summar_2

Basis of presentation, summary of significant accounting policies and recent accounting pronouncements (Policies)	9 Months Ended
	Sep. 30, 2024
Basis of presentation, summary of significant accounting policies and recent accounting pronouncements
Basis of presentation	Basis of presentation The accompanying Unaudited Condensed Consolidated Financial Statements of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial reporting. While these statements reflect all normal recurring adjustments which are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by GAAP for complete financial statements. As such, the information included in this Quarterly Report should be read in conjunction with the Company’s Consolidated Financial statements for the year ended December 31, 2023, and related notes thereto, included in the Annual Report. The results for the three and nine-month periods ended September 30, 2024 are not necessarily indicative of the results for the year ended 2024. The U.S. Dollar is the functional and presentation currency of the Company. Significant accounting policies followed by the Company in the preparation of the accompanying Unaudited Condensed Consolidated Financial Statements are summarized below.
Principles of consolidation	Principles of consolidation These Unaudited Condensed Consolidated Financial Statements of the Company include the accounts of the Company and its controlled subsidiaries. Consolidated subsidiaries’ results are included from the date the subsidiary was formed or acquired. Intercompany balances and transactions have been eliminated in consolidation. Unconsolidated investments in which the Company does not have a controlling interest but does have significant influence are accounted for as equity method investments, with earnings recorded in other expense. These investments are included in long-term assets and the Company’s proportionate share of income or loss is included in other expense.
Reclassifications	Reclassifications Certain prior period amounts have been reclassified to conform to the current period presentation. The reclassifications did not have a material impact on the Company’s Unaudited Condensed Consolidated Financial Statements and related disclosures. The impact on any prior period disclosures was immaterial.
Use of estimates	Use of estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions about future events that affect the amounts reported in the financial statements and accompanying notes. Future events and their effects cannot be determined with absolute certainty. Therefore, the determination of estimates requires the exercise of judgment. Actual results inevitably will differ from those estimates, and such differences may be material to the financial statements. The most significant accounting estimates inherent in the preparation of the Company’s consolidated financial statements include estimates associated with revenue recognition, determining the useful lives and recoverability of long-lived assets, impairment analysis of finite-lived intangibles, goodwill and digital assets, stock-based compensation, and current and deferred income tax assets (including the associated valuation allowance) and liabilities.
Change in estimates	Change in estimates During the quarter ended March 31, 2024, management performed an operational efficiency review of its mining equipment following the Bitcoin network halving anticipated to occur in the second quarter of 2024. The outcome was a change in the expected useful life of the Company’s MicroBT M31S and M31S+ and Canaan Avalon servers. The mining equipment was originally estimated to have a useful life of four years from the date the mining equipment was put into service. After the operational efficiency review, the mining equipment was estimated to have a useful life of five months as of January 1, 2024. The result is a change in estimate and is applied prospectively. Notwithstanding any future addition to the mining equipment of the same models, the effect of the change in useful life on actual and expected depreciation expense, effective the quarter ended March 31, 2024, is as follows: December 31, December 31, December 31, (in USD thousands) 2024 2025 2026 (Increase) decrease in depreciation expense $ (2,308) $ 2,028 $ 280
Cash	Cash Cash includes cash on hand and demand deposits placed with banks or other financial institutions, which are unrestricted with respect to withdrawal or use. The Company considers all highly liquid investments with an original maturity of three months or less at the date of acquisition to be cash equivalents. As of September 30, 2024 and December 31, 2023, the Company had no cash equivalents. Periodically, the Company may maintain deposits in financial institutions in excess of government-insured limits. Management believes that the Company is not exposed to significant credit risk as the Company’s deposits are held at financial institutions that management believes to be of high credit quality. To date, the Company has not experienced any losses on these deposits.
Restricted cash	Restricted cash Restricted cash as of September 30, 2024 principally represented those cash balances that support commercial letters of credit and are restricted from withdrawal.
Accounts receivable	Accounts receivable Accounts receivable consists of amounts due from the Company’s managed services, hosting, power, and high performance computing – colocation and cloud (“HPC”) customers. The Company records accounts receivable at the invoiced amount less an allowance for any potentially uncollectable accounts under the current expected credit loss (“CECL”) impairment model and presents the net amount of the financial instrument expected to be collected. The CECL impairment model requires an estimate of expected credit losses, measured over the contractual life of an instrument, that considers forecasts of future economic conditions in addition to information about past events and current conditions. Based on this model, the Company considers many factors, including the age of the balance, collection history, and current economic trends. Bad debts are written off after all collection efforts have ceased. Allowances for credit losses are recorded as a direct reduction from an asset’s amortized cost basis. Credit losses are recorded in General and administrative expenses Based on the Company’s current and historical collection experience, management recorded allowances for doubtful accounts of $0.1 million and $0.1 million as of September 30, 2024 and December 31, 2023, respectively.
Fair value measurement	Fair value measurement The Company’s financial assets and liabilities are accounted for in accordance with Financial Accounting Standards Board (“FASB”) ASC Topic 820, Fair Value Measurements and Disclosures Level 1 — Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2 — Observable, market-based inputs, other than quoted prices included in Level 1, for the assets or liabilities either directly or indirectly. Level 3 — Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions. Observable inputs are based on market data obtained from independent sources, while unobservable inputs are based on the Company’s market assumptions. Unobservable inputs require significant management judgment or estimation. In some cases, the inputs used to measure an asset or liability may fall into different levels of the fair value hierarchy. In those instances, the fair value measurement is required to be classified using the lowest level of input that is significant to the fair value measurement. Such determination requires significant management judgment. Assets and liabilities measured at fair value on a recurring basis The following table presents information about the Company’s assets and liabilities measured at fair value on a recurring basis and the Company’s estimated level within the fair value hierarchy of those assets and liabilities as of September 30, 2024: Fair value measured at September 30, 2024 Total carrying Significant other Significant value at Quoted prices in observable unobservable September 30, active markets inputs inputs (in USD thousands) 2024 (Level 1) (Level 2) (Level 3) Digital assets, net $ 576,468 $ 576,468 $ — $ — Covered call options 921 — 921 — Separated embedded derivative from convertible note — — — — In determining the fair value of its digital assets, the Company uses quoted prices as determined by the Company’s principal market. As such, the Company’s digital assets were determined to be Level 1 assets. See Digital assets Derivatives Derivatives Assets and liabilities measured at fair value on a non-recurring basis In addition to assets and liabilities that are measured at fair value on a recurring basis, the Company also measures certain assets and liabilities at fair value on a nonrecurring basis. The Company’s non-financial assets, including goodwill, intangible assets, operating lease right-of-use assets, and property and equipment, are measured at fair value when there is an indication of impairment and the carrying amount exceeds the asset’s projected undiscounted cash flows. These assets are recorded at fair value only when an impairment charge is recognized. The Company did not have any impairment from its continuing operations related to its non-financial assets and liabilities measured on a non-recurring basis during the three and nine months ended September 30, 2024. The Company recognized approximately nil and $6.1 million of impairment losses from its discontinued operations related to its non-financial assets and liabilities measured on a non-recurring basis during the three and nine months ended September 30, 2024, respectively. There were no impairment losses during the three and nine months ended September 30, 2023. See the Impairment of long-lived assets and goodwill accounting policy, as well as Note 4. Discontinued operations The carrying amounts of the Company’s financial assets and liabilities, such as cash, accounts receivable, accounts payable and accrued expenses, approximate fair value due to the short-term nature of these instruments. The carrying value of loans and notes payable and other long-term liabilities approximate fair value as the related interest rates approximate rates currently available to the Company except for the Company’s convertible note. See Derivatives Convertible instruments Loans payable and notes payable
Digital assets	Digital assets As a result of the adoption of ASU 2023-08, Intangibles-Goodwill and Other-Crypto Assets (Subtopic 350-60): Accounting for and Disclosure of Crypto Assets (“ASU 2023-08”), Losses (gains) on digital asset Operating income (loss) Losses (gains) on digital assets Digital assets received by the Company through its revenue activities are accounted for in connection with the Company’s Revenue recognition The Company’s treasury strategy is to cover its operating costs through the sale of digital assets earned from its revenue activities via auto-liquidations of the digital assets earned daily. A portion of the Company’s digital assets are included in Current assets The Company’s remaining digital assets held are included in non-current assets as this portion of digital assets is not reasonably expected to be sold in the next 12 months as it is outside of the 12-month expected utilization for operational and capital needs of the Company.
Investment in equity investees	Investment in equity investees The Company accounts for its investment in equity investees in accordance with ASC Topic 323, Investments – Equity Method and Joint Ventures Investment in unconsolidated joint venture The Company recorded its investment in TZRC based upon the fair value of the consideration transferred which was determined to be its cost. The Company’s investment is subsequently adjusted to recognize its share of net income or losses as they occur. The Company also adjusts its investment upon receipt of a distribution from an equity investee, which is accounted for as a distribution-in-kind measured as of the time of receipt. The Company’s share of the investees’ earnings or losses is recorded, net of taxes, within Equity in earnings (losses) of unconsolidated joint venture The Company considers whether the fair value of its equity method investment has declined below its carrying value whenever adverse events or changes in circumstances indicate that recorded value may not be recoverable. If the Company considered any such decline to be other than temporary (based on various factors, including historical financial results, success of the mining operations and the overall health of the investee’s industry), then the Company would record a write-down to the estimated fair value. No impairment of the Company’s investment in TZRC was recorded for the three and nine months ended September 30, 2024 and September 30, 2023.
Long-term investments	Long-term investments For equity investments, the Company initially records equity investments at cost then adjusts the carrying value of such equity investments through earnings when there is an observable transaction involving the same or a similar investment with the same issuer or upon an impairment. On January 31, 2024, the Company entered into a contribution agreement (the “Contribution Agreement”) with Ionic Digital Inc. (“Ionic”), the company founded to effectuate the restructuring of certain mining assets of Celsius Network LLC (“Celsius”) in connection with Celsius’ bankruptcy auction. Pursuant to the Contribution Agreement, on January 31, 2024, the Company acquired 374,261 shares of Ionic’s Class A common stock in exchange for a cash payment of $6.4 million.
Property and equipment	Property and equipment Property and equipment are stated at cost and depreciated using the straight-line method over the estimated useful lives of the assets. Cost includes expenditures that are directly attributable to the acquisition of the asset, including those attributable to bringing the asset to its intended working condition. Construction in progress is not depreciated until the work is completed and the assets are placed in service. Based on the Company’s and the industry’s limited history to date, management is limited by the market data available. Furthermore, the data available also include data derived from the use of economic modelling to forecast future digital assets and the assumptions reflected in such forecasts, including digital assets price and network difficulty, as well as management assumptions, which are inherently uncertain. Based on currently available data, management has determined that the straight-line method of depreciation best reflects the current expected useful life of mining equipment and related infrastructure. Management reviews estimates at each reporting date and will revise such estimates as and when data become available. Management reviews the appropriateness of its assumptions related to residual value at each reporting date. The estimated useful lives of the Company’s property and equipment are as follows: Useful life (Years) Mining infrastructure 5 – 10 Miners and mining equipment 2 – 4 Data center infrastructure 5 – 8 Computer and network equipment 3 Right-of-use assets - Finance lease Shorter of lease term or useful life of asset Leasehold improvements Shorter of lease term or useful life of asset Land improvements 15 Power plant assets 10 Upon the sale or retirement of property and equipment, the cost and accumulated depreciation and amortization are removed from the Company’s balance sheet and statement of operations and comprehensive income (loss) in the relevant reporting period.
Mining equipment held for sale	Mining equipment held for sale The Company classifies long-lived assets to be sold as held for sale in the period in which all of the following criteria are met: (1) management, having the authority to approve the action, commits to a plan to sell the asset; (2) the asset is available for immediate sale in its present condition subject only to terms that are usual and customary for sales of such assets; (3) an active program to locate a buyer and other actions required to complete the plan to sell the asset have been initiated; (4) the sale of the asset is probable, and transfer of the asset is expected to qualify for recognition as a completed sale within one year, except if events or circumstances beyond the Company’s control extend the period of time required to sell the asset beyond one year; (5) the asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value; and (6) actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be withdrawn. The Company initially measures long-lived assets that are classified as held for sale at the lower of their carrying value or fair value less any costs to sell. Any loss resulting from this measurement is recognized in the period in which the held-for-sale criteria are met. Conversely, gains are not recognized on the sale of long-lived assets until the date of sale. The Company assesses the fair value of a long-lived asset less any costs to sell in each reporting period it remains classified as held for sale and reports any subsequent changes as an adjustment to the carrying value of the asset, as long as the new carrying value does not exceed the carrying value of the asset at the time it was initially classified as held for sale. The Company has recognized nil gain on sales of its mining equipment held for sale for the three months ended September 30, 2024 and September 30, 2023, respectively. For the nine months ended September 30, 2024 and September 30, 2023, the Company has recognized nil gain on sales of its mining equipment held for sale. For the three months ended September 30, 2024 and September 30, 2023, the Company has not recognized any impairment of its mining equipment held for sale. For the nine months ended September 30, 2024 and September 30, 2023, the Company has not recognized any impairment of its mining equipment held for sale. On December 18, 2023, the Company signed an interim agreement to build out and install mining operations in connection with the Celsius bankruptcy proceedings at a site in Cedarvale, Texas, in which the Company also made certain of its unused mining infrastructure available for sale. As of December 31, 2023 the Company determined that each of the above criteria to classify long-lived assets to be sold as held for sale were met, and reclassified the carrying value of these assets of $3.9 million to Equipment held for sale Equipment held for sale
Impairment of long-lived assets and goodwill	Impairment of long-lived assets and goodwill The Company reviews long-lived assets and goodwill for impairment whenever events or changes in circumstances indicate that the carrying value of such assets (or asset groups) may not be fully recoverable. The asset (or asset group) to be held and used that is subject to impairment review represents the lowest level of identifiable cash flows that is largely independent of other groups of assets and liabilities. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to undiscounted future cash flows expected to be generated by the asset. If such assets are considered unrecoverable, the impairment loss to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Factors the Company considers that could trigger an impairment include, but are not limited to, the following: significant changes in the manner of the Company’s use of the acquired assets or the strategy for the Company’s overall business, significant underperformance relative to expected historical or projected development milestones, significant negative regulatory or economic trends, and significant technological changes that could render the asset (or asset group) obsolete. Fair value is determined through various valuation techniques, including discounted cash flow models, quoted market values, and third-party independent appraisals, as necessary. When recognized, impairment losses related to long-lived assets to be held and used in operations are recorded in cost and expenses in the Company’s Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss). For the three months ended September 30, 2024 and September 30, 2023, there were no impairment losses from continuing operations recognized pertaining to the Company’s asset groups. For the nine months ended September 30, 2024 and September 30, 2023, there were no impairment losses from continuing operations. For the discontinued operations, there were no impairment losses pertaining to the Company’s asset groups for the three months ended September 30, 2024. There were no discontinued operations for the three months ended September 30, 2023. For the nine months ended September 30, 2024, $6.1 million of impairment losses from discontinued operations were recognized pertaining to the Company’s asset groups. There were no discontinued operations for the nine months ended September 30, 2023.
Finite-lived intangible assets	Finite-lived intangible assets Intangible assets are comprised of customer relationships and a favorable contract acquired by the Company through acquisitions or business combinations, and rights to a property management agreement (“PMA”) under which it would be compensated for services of running TZRC’s operations. Intangible assets are amortized on a straight-line basis over the expected useful life, which is their contractual term or estimated useful life. The Company performs assessments to determine whether finite-lived classification is still appropriate at least annually. The carrying value of finite-lived assets and their remaining useful lives are also reviewed at least annually to determine if circumstances exist which may indicate a potential impairment or revision to the amortization period. A finite-lived intangible asset is considered to be impaired if its carrying value exceeds the estimated future undiscounted cash flows to be derived from it. The Company exercises judgment in selecting the assumptions used in the estimated future undiscounted cash flows analysis. Impairment is measured by the amount that the carrying value exceeds fair value. The use of different estimates or assumptions could result in significantly different fair values for our reporting units and intangible assets. The Company evaluates the useful lives of the intangible assets to determine if they are finite or indefinite-lived. Reaching a determination on useful life requires significant judgments and assumptions regarding the future effects of obsolescence, demand, competition, and other economic factors. Intangible assets are amortized on a straight-line basis over their useful lives. The estimated useful lives of the Company’s finite-lived intangible assets are as follows: Useful life (Years) Customer Relationships 6 Favorable Contract 4 Property Management Agreement 10
Goodwill	Goodwill Goodwill represents the cost of a business acquisition in excess of the fair value of the net assets acquired. Goodwill is not amortized and is reviewed for impairment annually, or more frequently if facts and circumstances indicate that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill. The Company compares the fair value of the reporting unit with its carrying amount. If the carrying amount exceeds the fair value, goodwill of the reporting unit is considered impaired and that excess is recognized as a goodwill impairment loss.
Leases	Leases The Company accounts for its leases under ASC Topic 842, Leases Upon adoption of ASC 842, for purposes of calculating the right-of-use asset and lease liability, the Company elected to combine lease and related non-lease components as permitted under ASC 842. The Company also elected the short-term lease exception for leases having an initial term of 12 months or less. Consequently, such leases are not recorded in the Unaudited Condensed Consolidated Balance Sheets. The Company recognizes rent expense from its operating leases on a straight-line basis over the lease term.
Derivatives	Derivatives The Company accounts for the derivative contracts it enters into and the separated embedded derivative from convertible note as follows: Covered call options From time to time, the Company will sell options on its digital assets, specifically Bitcoin, that it owns (the “covered call options”). The Company sold covered call options during the nine months ended September 30, 2024 to generate cash flows on a portion of its digital assets. These options do not qualify as accounting hedges under FASB ASC Topic 815, Derivatives and Hedging (“ASC 815”). Accordingly, the Company carries the covered call options at fair value and any gains (losses) are recognized in profit or loss. Separated embedded derivative from convertible note The Company evaluates and accounts for derivatives embedded in its convertible instruments in accordance with ASC 815. Accordingly, the Company has assessed if embedded derivatives should be separated from its host contract and accounted for as a derivative instrument based on whether all three ASC 815 criteria are met: (a) the economic characteristics and risks of the embedded derivative are not clearly and closely related to the economic characteristics and risks of the host contract, (b) the hybrid instrument is not remeasured at fair value under otherwise applicable generally accepted accounting principles with changes in fair value reported in earnings as they occur, and (c) a separate instrument with the same terms as the embedded derivative would be a derivative instrument. ASC 815 also provides an exception to this rule when the host instrument is deemed to be a conventional convertible debt instrument as defined in the FASB ASC topic. The Company identified embedded derivatives in a convertible instrument it issued, including conversion options, other redemption features, and contingently exercisable options. The Company determined that the Contingent Repurchase Right (as defined below) is an embedded derivative that should be separated from its host contract and accounted for as a derivative instrument as per ASC 815. The conversion option is indexed to the Company’s common stock and meets the criteria for classification in stockholders’ equity, and therefore derivative accounting does not apply. The other embedded derivatives do not meet all three previously mentioned ASC 815 criteria, and therefore should not be separated from their host contract. The Company accounts for its separated embedded derivative as a derivative instrument that is carried at fair value and recognizes any gains (losses) in profit or loss.
Convertible instruments	Convertible instruments As noted above in the Company’s Derivatives
Revenue recognition	Revenue recognition The Company recognizes revenue under ASC Topic 606, Revenue from Contracts with Customers ● Step 1: Identify the contract with the customer ● Step 2: Identify the performance obligations in the contract ● Step 3: Determine the transaction price ● Step 4: Allocate the transaction price to the performance obligations in the contract ● Step 5: Recognize revenue when the Company satisfies a performance obligation In order to identify the performance obligations in a contract with a customer, a company must assess the promised goods or services in the contract and identify each promised good or service that is distinct. A performance obligation meets ASC 606’s definition of a “distinct” good or service (or bundle of goods or services) if both of the following criteria are met: The customer can benefit from the good or service either on its own or together with other resources that are readily available to the customer (i.e., the good or service is capable of being distinct), and the entity’s promise to transfer the good or service to the customer is separately identifiable from other promises in the contract (i.e., the promise to transfer the good or service is distinct within the context of the contract). If a good or service is not distinct, the good or service is combined with other promised goods or services until a bundle of goods or services is identified that is distinct. The transaction price is the amount of consideration to which an entity expects to be entitled in exchange for transferring promised goods or services to a customer. The consideration promised in a contract with a customer may include fixed amounts, variable amounts, or both. When determining the transaction price, an entity must consider the effects of all of the following: ● Variable consideration ● Constraining estimates of variable consideration ● The existence of a significant financing component in the contract ● Noncash consideration ● Consideration payable to a customer Variable consideration is included in the transaction price only to the extent that it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur when the uncertainty associated with the variable consideration is subsequently resolved. The transaction price is allocated to each performance obligation on a relative standalone selling price basis. The transaction price allocated to each performance obligation is recognized when that performance obligation is satisfied, at a point in time, or over time, as appropriate. Digital Asset Mining Currently, one of the Company’s largest revenue streams is derived from Digital Asset Mining (also referred to as self-mining), which consists entirely of mining Bitcoin. The Company has entered into arrangements, as amended from time to time, with mining pool operators to perform hash computations for the mining pools. Providing hash computation services for mining pools is an output of the Company’s ordinary activities. The Company has the right to decide the point in time and duration for which it will provide hash computation services to the mining pools. As a result, the Company’s enforceable right to compensation only begins when, and continues as long as, the Company provides hash computation services to the mining pools. The contracts are terminable at any time by either party without substantive compensation to the other party for such termination. Therefore, the Company has determined that the duration of the contract is less than 24 hours and that the contract continuously renews throughout the day. Upon termination, the mining pool operator (i.e., the customer) is required to pay the Company any amount due related to previously satisfied performance obligations. The Company has determined that the mining pool operator’s (i.e., the customer’s) renewal right is not a material right as the terms, conditions, and compensation amounts are at then market rates. There is no significant financing component in these transactions. In exchange for providing hash computation services, which represents the Company’s only performance obligation, the Company is entitled to noncash consideration in the form of digital assets, calculated under payout models determined by the mining pool operators. The payout model used by the mining pools in which the Company participated is the Full Pay Per Share (“FPPS”) model, which contains three components, (1) a fractional share of the fixed digital assets award from the mining pool operator (referred to as a “block reward”), (2) transaction fees generated from (paid by) blockchain users to execute transactions and distributed (paid out) to individual miners by the mining pool operator, and (3) mining pool operating fees retained by the mining pool operator for operating the mining pool. The Company’s total compensation is calculated using the following formula: the sum of the Company’s share of (a) block rewards and (b) transaction fees, less (c) mining pool operating fees. The following is a detailed description of each of the components of the FPPS model under which the Company receives payment from the mining pools in which it participates: (1) Block rewards represent the Company’s share of the total amount of block subsidies that are expected to be generated on the Bitcoin network as a whole during the 24-hour period beginning at midnight UTC daily (the “measurement period”). The block reward earned by the Company is calculated by dividing (a) the total amount of hash rate the Company provides to the mining pool operator, by (b) the total Bitcoin network’s implied hash rate (as determined by the Bitcoin network difficulty), multiplied by (c) the total amount of block subsidies that are expected to be generated on the Bitcoin network as a whole during the measurement period. The Company is entitled to its relative share of consideration even if a block is not successfully added to the blockchain by the mining pool in the measurement period. (2) Transaction fees refer to the total fees paid by users of the network to execute transactions. The Company is entitled to a pro-rata share of the total amount of transaction fees that are actually generated on the bitcoin network as a whole during the measurement period. The transaction fees paid out by the mining pool operator to the Company is calculated by dividing (a) the total amount of transaction fees that are actually generated on the bitcoin network as a whole, by (b) the total amount of block subsidies that are actually generated on the bitcoin network as a whole, multiplied by (c) the Company’s block rewards earned as calculated in (1) above. The Company is entitled to its relative share of consideration even if a block is not successfully added to the blockchain by the mining pool in the measurement period. (3) Mining pool operating fees are charged by the mining pool operator for operating the mining pool as set forth on a rate schedule to the mining pool contract. The mining pool operating fees reduce the total amount of compensation the Company receives and are only incurred to the extent that the Company has generated mining revenue during the measurement period. For each contract, the Company measures noncash consideration at the Bitcoin spot price at the beginning of the day (midnight UTC time) on the date of contract inception, as determined by the Company’s principal market, which is Coinbase Prime. The Company recognizes this noncash consideration on the same day that control of the contracted service transfers to the mining pool operator, which is the same day as the contract inception. Managed Services Under PMAs, the Company provides project management services for the customer’s data centers, which may include end-to-end design, construction, and/or operating services as required by the customer. PMAs contain a single performance obligation comprising a series of distinct monthly service periods. The contracts have an initial term ranging from four ten High Performance Computing – Colocation and Cloud The HPC business earns revenue by providing colocation, cloud, and connectivity services to clients. Revenue is measured at the fair value of the consideration received or receivable for services, net of discounts and sales taxes. In addition, the Company offers certain customers bundled colocation, cloud, and connectivity services. Total consideration in bundled services contracts with customers is allocated to distinct performance obligations based on their stand-alone selling prices. The Company determined the standalone selling price to be the list price at which the Company sells colocation, cloud, and connectivity services. Revenue is recognized as the related services are provided to customers. The Company applies the five step ASC 606 model in determining the appropriate treatment of its various sources of revenue. The principal sources of revenue to the Company and recognition of these revenues are as follows: ● Monthly recurring revenue (“MRR”) from HPC services are recognized as service revenue ratably over the enforceable term of individual contracts which is typically the stated term. The Company satisfies its performance obligation as these services are made available over time. The Company believes this method to be the best representation of transfer of services as it is consistent with industry practice to measure satisfaction through passage of time. ● Transaction price is determined as the list price of services (net of discounts) that the Company delivers to its customers, taking into account the term of each individual contract, and the ability to enforce and collect the consideration. ● Revenue from installation services, which are not treated as distinct performance obligations, are recognized over the enforceable term of individual contracts consistent with the schedule of MRR discussed above. ● Usage revenue (overage and consumption-based services) is recorded as service revenue in the month the usage is incurred/service is consumed by the customer, based on a fixed agreed upon amount per unit consumed. ● Invoices are typically issued at the beginning of each month for MRR services and at the end of each month for usage revenue. Other Hosting: The Company has also entered into hosting contracts where it operates mining equipment on behalf of third parties within its facilities. The Company’s hosting contracts are service contracts that contain a single performance obligation. The service the Company provides includes the provision of mining equipment and energized space and typically also includes monitoring, active troubleshooting, and various maintenance levels for the mining equipment. Consideration to which the Company is entitled under its hosting services agreements can be cash and, in some cases, noncash (Bitcoin) in contracts where the Company receives a percentage of the customer’s daily Bitcoin mined. These contracts are terminable at any time by either party without substantive compensation to the other party for such termination. Therefore, the Company has determined that the duration of these contracts is less than 24 hours and that the contract continuously renews throughout the day. Upon termination, the customer is required to pay the Company any amount due related to previously satisfied performance obligations. The Company has determined that the customer’s renewal right is not a material right as the terms, conditions, and compensation amounts are at then market rates. In contracts in which the Company receives noncash consideration, the Company measures noncash consideration at the Bitcoin spot price at the beginning of the day on the date of contract inception, as determined by the Company’s principal market, which is Coinbase Prime. The Company recognizes this noncash consideration on the same day that control of the contracted service transfers to the customer, which is the same day as the contract inception. Customer contracts can include advance payment terms in the form of monthly cash prepayments and/or upfront cash payments at contract inception. Advance payments are recorded as deferred revenue and recognized over time (generally, the month of hosting service to which they relate) as the customer simultaneously receives and consumes the benefits of the Company’s performance. There is no significant financing component in these transactions due to the short-term nature of the payments. The Company’s hosting contracts can contain service level agreement clauses, which guarantee a certain percentage of time that power will be available to its customer. In the rare case that the Company may incur penalties under these clauses, the Company recognizes the payment as variable consideration and a reduction of the transaction price and, therefore, of revenue, when not in exchange for a good or service from the customer. Equipment sales and repairs: Mining equipment sales contracts are for a fixed price and do not include a significant financing component. All consideration to which the Company is entitled is in the form of cash. The Company recognizes mining equipment revenue at a point in time based on management’s evaluation of when the control of the products has been passed to customers. The transfer of control to the customer occurs when products have been picked up by or shipped to the customer based on the terms of the contract. Each product is considered distinct from all other promised products in the contract because the Company does not provide a service of significant integration between each product promised, each product promised does not modify or customize any other product promised under the contract, and the promised products are not highly interrelated or interdependent. Some contracts may also include upfront deposits or require the customer to pay the full sale price up front. Any advance payments are recorded as deferred revenue and recognized as revenue upon transfer of control of the products to the customer. Power: The Company provides capacity and energy to the electrical grid through four natural gas power plants in Ontario, Canada owned by the Company’s consolidated subsidiary, Far North Power Corp. (“Far North”), and its respective subsidiaries. The power generation facilities that are connected to the Independent Electricity System Operator (“IESO”), which operates Ontario’s power grid, primarily generate revenue from capacity sales. Revenue generated from electricity sales is variable and depends on several factors including, but not limited to, the supply and demand for electricity, generation capacity in the market, and the prevailing price of natural gas. GPU-as-a-Service The Company launched a GPU-as-a-Service offering as its inaugural GPU cluster came fully online. The cluster, hosted at a tier-three data center in Chicago, Illinois, comprises multiple Hewlett Packard Enterprise (“HPE”) Cray supercomputers powered by 1,000 NVIDIA H100 GPUs. The Company has entered into a contract with an AI cloud services provider pursuant to which the provider pays the Company a fixed infrastructure fee and a share of its revenues from the sale of its services at the cluster.
Cost of revenues (exclusive of depreciation and amortization)	Cost of revenues (exclusive of depreciation and amortization) The Company’s cost of revenue consists primarily of direct costs of generating revenue, including electric power costs, hosting costs, repairs and maintenance, occupancy, materials and supply costs, and labor.
Stock-based compensation	Stock-based compensation The Company recognizes compensation expense for all share-based payment awards made to employees, directors, consultants, and service providers, if any, including incentive stock options, non-qualified stock options, stock awards, and stock units based upon the estimated grant-date fair value of the awards. The fair value of share-based payment awards is amortized over the requisite service period, which is defined as the period during which an employee is required to provide service in exchange for an award. The Company generally uses a graded attribution method for all grants. Awards with both performance and service conditions are expensed over the service period for each separately vesting tranche. Forfeitures are recorded as incurred. For more complex performance awards, including awards with market-based performance conditions, the Company employs a Monte Carlo simulation valuation method to calculate the fair value of the awards based on the most likely outcome. Under the Monte Carlo simulation, a number of variables and assumptions are used including, but not limited to the expected stock price volatility over the term of the award, the risk-free rate, and dividend yield, if any. In accordance with accounting guidance for awards with market conditions, stock-based compensation is recognized over the derived service period, regardless of whether the award achieves the market condition and will only be adjusted to the extent the service condition is not met. Performance-based stock-based compensation begins to be recognized when the achievement of each performance condition is deemed probable, as the outcome of each event has inherent risks and uncertainties, and a positive outcome may not be known until the event is achieved. Stock-based compensation cost is adjusted in future periods for subsequent changes in the expected outcome of the performance-related conditions. Restricted stock units issued under the Company’s 2023 Omnibus Incentive Plan generally vest equally over a three-year period from grant date. Deferred stock units issued under the Company’s 2023 Omnibus Incentive Plan have been issued in vested state. Stock options issued under the Company’s 2023 Omnibus Incentive Plan pursuant to the Business Combination were issued in vested state. Performance stock units issued under the Company’s 2023 Omnibus Incentive Plan generally have both market-based and service-based vest conditions as per each respective performance stock unit agreement. Restricted stock units assumed from the Business Combination generally vest equally over a three-year period from the grant date. Deferred stock units from the Business Combination were fully vested upon the assumption date. Both restricted stock units and deferred stock units assumed from the Business Combination are governed under the Hut 8 Mining Corp. Omnibus Long Term Incentive Plan; further details are in Note 14. Stock-based compensation Stock options issued under the Hut 8 Corp. Rollover Option Plan are granted with an exercise price equal to no less than the market price of the Company’s stock at the date of grant and expire up to ten years from the date of grant. These options generally vest over a two-year, four-year, or six-year period. Certain option awards may vest only upon achievement of specific performance conditions.
Income taxes	Income taxes The Company complies with the accounting and reporting requirements of ASC Topic 740, Income Taxes Additionally, ASC 740 provides guidance on the recognition of interest and penalties related to income taxes. There were no interest or penalties related to income taxes that have been accrued or recognized as of September 30, 2024, and December 31, 2023. The Company would classify interest and penalties related to uncertain tax positions as income tax expense, if applicable.
Net income (loss) per share attributable to common stockholders	Net income (loss) per share attributable to common stockholders The Company previously calculated basic and diluted net income per share attributable to common stockholders in conformity with the two-class method required for companies with participating securities. The Company’s previously outstanding shares of convertible preferred stock were considered participating securities as the holders were entitled to receive aggregated accrued and not paid dividends if/when declared by the board of directors at a dividend rate payable in preference and priority to the holders of common stock; however, as described in Note 13. Stockholders’ equity , a recapitalization of equity structure occurred in connection with the Business Combination where all series of previously outstanding USBTC preferred stock prior to the Business Combination have been retrospectively recast at an exchange ratio of any series of USBTC preferred stock exchanged for 0.6716 shares of the Company’s common stock, rounded down, if applicable, on a holder level based on their aggregate holdings of all USBTC shares. As such, the previously outstanding shares of convertible preferred stock are no longer considered after the retrospective recast of equity. Under the two-class method, basic net income (loss) per share attributable to common stockholders was calculated by dividing the net income (loss) less any net income allocated to participating securities by the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share attributable to common stockholders was computed by giving effect to all potentially dilutive shares of common stock outstanding for the period. For purposes of this calculation, stock options, restricted stock awards, restricted stock units, deferred stock units, performance stock units, and common stock purchase warrants were considered potentially dilutive shares of common stock computed using the treasury-stock method. Potential shares of common stock issuable upon conversion of the Company’s convertible note are computed using the if-converted method. Under the if-converted method, net income (loss) attributable to common stockholders is adjusted by the effect, net of tax, of potentially dilutive shares computed under this method. In computing potentially dilutive shares of common stock, each class of shares are applied to basic net income (loss) per share attributable to common stockholders on a most to least dilutive basis until a particular class no longer produces further dilution, if applicable. As of periods beginning on or after July 1, 2023, the Company no longer had participating securities other than common stock. As such, the Company no longer was required to calculate earnings per share (“EPS”) under the two-class method. Basic net income (loss) per share of common stock from continuing operations attributable to the Company and basic net income (loss) per share of common stock from discontinued operations attributable to the Company are computed by dividing net income (loss) from continuing operations attributable to the Company and net income (loss) from discontinued operations attributable to the Company, respectively, by the weighted-average number of shares of common stock outstanding during the period. Diluted net income (loss) per share of common stock from continuing operations attributable to the Company is computed by giving effect to all potentially dilutive shares of common stock, including stock options, restricted stock units, deferred stock units, performance stock units, and common stock purchase warrants to the extent dilutive under the treasury-stock method, and potential shares of common stock issuable upon conversion of the Company’s convertible note under the if-converted method. Under the if-converted method, net income (loss) from continuing operations attributable to the Company is adjusted by the effect, net of tax, of potentially dilutive shares computed under this method. In computing potentially dilutive shares of common stock, each class of shares are applied to basic net income (loss) per share of common stock from continuing operations attributable to the Company on a most to least dilutive basis until a particular class no longer produces further dilution, if applicable. Diluted net income (loss) per share of common stock from discontinued operations attributable to the Company is computed by using the same denominator in calculating diluted net income (loss) per share of common stock from continuing operations attributable to the Company previously noted.
Segment reporting	Segment reporting Operating segments are defined as components of an enterprise about which separate financial information is available and regularly reviewed by the Chief Operating Decision Maker (“CODM”), which may be an individual or decision-making group. The CODM reviews financial information for the purpose of making operating decisions, allocating resources, and evaluating financial performance of the reportable operating segments of the business, based on discrete financial information. The Company’s Chief Executive Officer is currently designated as the CODM. As of September 30, 2023, the Company operated as one reportable segment, as two of its then three lines of business were recently launched, and the CODM did not receive discrete financial information or evaluate the business lines separately. Subsequent to the completion of the Business Combination on November 30, 2023, the Company had additional lines of business, and the CODM began receiving discrete financial information for four reportable segments for purposes of making operating decisions, allocating resources, and evaluating financial performance. The Company’s four reporting segments are Digital Asset Mining, Managed Services, High Performance Computing – Colocation and Cloud, and Other. The CODM uses revenue and cost of revenue of the Company’s four operating segments to assess their performance.
Foreign currency	Foreign currency The U.S. Dollar is the functional and presentation currency of the Company. The Company consolidates two entities that have a non-U.S. Dollar functional currency. Each of the Company’s subsidiaries determines its own functional currency and items of each subsidiary included in the Unaudited Condensed Consolidated Financial Statements are measured using that functional currency. Assets and liabilities of foreign operations having a functional currency other than the U.S. Dollar are translated at the rate of exchange prevailing at the reporting date and revenues and expenses at average rates during the period. Foreign currency translation adjustments are reflected within accumulated other comprehensive loss (“AOCI”) in stockholders’ equity. Gains and losses from foreign currency transactions are included in profit or loss for the period. Foreign currency-denominated monetary assets and liabilities of the Company are translated using the rate of exchange prevailing at the reporting date, and non-monetary assets and liabilities measured at fair value are translated at the rate of exchange prevailing at the date when the fair value was determined. Revenues and expenses are measured at average rates during the period. Gains or losses on translation of these items are included in earnings. Foreign currency denominated non-monetary assets and liabilities, measured at historic cost, are translated at the rate of exchange at the transaction date.
Business combinations	Business combinations Acquisitions of businesses are accounted for using the acquisition method. The acquisition cost is measured at the acquisition date at the fair value of the consideration transferred. Goodwill arising on acquisition is initially measured at cost, being the difference between the fair value of the consideration transferred including the recognized amount of any non-controlling interest in the acquiree and the net recognized amount (generally fair value) of the identifiable assets and liabilities assumed at the acquisition date. If the net of the amounts of the identifiable assets acquired and liabilities assumed exceeds the sum of the consideration transferred, the amount of any non-controlling interests in the acquiree, and the fair value of the acquirer’s previously held interest in the acquiree (if any), the excess is recognized immediately in profit or loss as a bargain purchase gain. Acquisition-related costs, other than those that are associated with the issue of debt or equity securities that the Company incurs in connection with a business combination, are expensed as incurred.
Share capital	Share capital Shares of common stock are classified as an equity instrument. Incremental costs directly attributable to the issuance of common stock are recognized as a reduction of equity, net of the related tax effect.
Non-controlling interest	Non-controlling interest Non-controlling interests represent the portion of net assets in consolidated entities that are not owned by the Company and are reported as a component of equity on the Company's Unaudited Condensed Consolidated Balance Sheets. As of September 30, 2024, non-controlling interest on the Company’s Unaudited Condensed Consolidated Balance Sheet consists of the 19.99% ownership by a non-affiliated party in Far North. For more details, refer to Note 3. Far North Acquisition
Recent accounting pronouncements	Recent accounting pronouncements The Company continually assesses any new accounting pronouncements to determine their applicability. When it is determined that a new accounting pronouncement affects the Company’s financial reporting, the Company undertakes a study to determine the consequences of the change to its condensed consolidated financial statements and assures that there are proper controls in place to ascertain that the Company’s condensed consolidated financial statements properly reflect the change. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740) Improvements to Income Tax Disclosures In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures On August 23, 2023, the FASB issued ASU No. 2023-05, Business Combinations - Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement

Basis of Presentation, Summar_3

Basis of Presentation, Summary of Significant Accounting Policies and Recent Accounting Pronouncements (Tables)	9 Months Ended
	Sep. 30, 2024
Basis of presentation, summary of significant accounting policies and recent accounting pronouncements
Schedule of change in useful life on actual and expected depreciation expense	December 31, December 31, December 31, (in USD thousands) 2024 2025 2026 (Increase) decrease in depreciation expense $ (2,308) $ 2,028 $ 280
Schedule of assets and liabilities measured at fair value	Fair value measured at September 30, 2024 Total carrying Significant other Significant value at Quoted prices in observable unobservable September 30, active markets inputs inputs (in USD thousands) 2024 (Level 1) (Level 2) (Level 3) Digital assets, net $ 576,468 $ 576,468 $ — $ — Covered call options 921 — 921 — Separated embedded derivative from convertible note — — — —
Schedule of estimated useful lives of the Company's plant and equipment	Useful life (Years) Mining infrastructure 5 – 10 Miners and mining equipment 2 – 4 Data center infrastructure 5 – 8 Computer and network equipment 3 Right-of-use assets - Finance lease Shorter of lease term or useful life of asset Leasehold improvements Shorter of lease term or useful life of asset Land improvements 15 Power plant assets 10
Schedule of intangible assets	Useful life (Years) Customer Relationships 6 Favorable Contract 4 Property Management Agreement 10

Far North acquisition (Tables)

Far North acquisition (Tables) - Far North	9 Months Ended
Far North acquisition (Tables) - Far North	Sep. 30, 2024
Business Acquisition [Line Items]
Schedule of purchase price of the transaction	(in USD thousands) Fair value Cash paid by the Company held in deposit $ 7,739 Loan assumed by the Company 24,611 Credit for the equipment invested in the acquisition 8,238 Opening cash invested - Non-controlling interest 2,709 Opening cash invested - Hut 8 2,709 $ 46,006
Schedule of allocation of preliminary purchase price to the identifiable tangible and intangible assets acquired and liabilities assumed	(in USD thousands) Cash $ 4,061 Accounts receivable, net of allowance of $0 2,883 Property and equipment, net 49,036 Accounts payable and accrued expenses (1,231) Non-controlling interest (8,743) $ 46,006
Schedule of supplemental disclosures of cash flow regarding the business combination	(in USD thousands) Fair value of tangible assets acquired $ 55,980 Liabilities assumed (9,974) Purchase price consideration $ 46,006

Discontinued operations (Tables

Discontinued operations (Tables)	9 Months Ended
Discontinued operations (Tables)	Sep. 30, 2024
Discontinued operations
Schedule of the results of discontinued operations	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands) 2024 2023 2024 2023 Revenue: Digital Asset Mining $ — $ — $ 981 $ — Cost of revenue (exclusive of depreciation and amortization shown below): Digital Asset Mining — — 3,895 — Operating expenses: Depreciation and amortization — — 169 — General and administrative expenses — — 216 — Impairment of long-lived assets — — 6,065 — Total operating expenses — — 6,450 — Net loss $ — $ — $ (9,364) $ — Nine Months Ended Cash flows from Discontinued Operations September 30, September 30, (in USD thousands) 2024 2023 Operating cashflows used in discontinued operations $ (3,243) $ — Assets and Liabilities of Discontinued Operations September 30, December 31, (in USD thousands) 2024 2023 Assets $ — $ 7,240 Liabilities 1,978 —

Segment information (Tables)

Segment information (Tables)	9 Months Ended
Segment information (Tables)	Sep. 30, 2024
Segment information
Schedule of revenue and cost of revenue for reportable segments	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands) 2024 2023 2024 2023 Reportable segment revenue: Digital Asset Mining $ 11,611 $ 15,565 $ 55,880 $ 39,069 Managed Services 20,820 4,777 39,072 14,976 High Performance Computing – Colocation and Cloud 3,421 — 10,112 — Other 11,906 1,361 34,598 3,835 Eliminations (4,023) — (8,971) — Total segment and consolidated revenue $ 43,735 $ 21,703 $ 130,691 $ 57,880 Reportable segment cost of revenue (exclusive of depreciation and amortization shown below): Digital Asset Mining 7,257 10,875 31,346 27,427 Managed Services 2,812 1,422 8,693 5,319 High Performance Computing – Colocation and Cloud 2,610 — 7,699 — Other 8,903 1,229 27,575 1,274 Eliminations (4,023) — (8,971) — Total segment and consolidated cost of revenue $ 17,559 $ 13,526 $ 66,342 $ 34,020 Reconciling items: Depreciation and amortization (10,462) (4,486) (33,465) (11,454) General and administrative expenses (16,175) (4,171) (54,073) (15,757) (Losses) gains on digital assets (1,552) (185) 201,180 (185) Gain (loss) on sale of property and equipment 444 — 634 (445) Realized gain on sale of digital assets — — — 2,376 Impairment of digital assets — — — (1,431) Legal settlement — — — 1,531 Foreign exchange gain (loss) 703 — (976) — Interest expense (7,938) (5,723) (20,231) (18,955) Gain on debt extinguishment 5,966 — 5,966 23,683 Gain on derivatives 2,704 — 19,923 — Equity in earnings of unconsolidated joint venture 1,495 2,075 8,457 8,717 Income tax provision (453) (61) (2,975) (672) Net income (loss) from continuing operations $ 908 $ (4,374) $ 188,789 $ 11,268 Loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively) — — (9,364) — Net income (loss) 908 (4,374) 179,425 11,268 Less: Net (income) loss attributable to non-controlling interest (261) — 232 — Net income (loss) attributable to Hut 8 Corp. $ 647 $ (4,374) $ 179,657 $ 11,268
Schedule of long-lived assets and goodwill by reportable segments	September 30, December 31, (in USD thousands) 2024 2023 Digital Asset Mining $ 166,262 $ 166,340 Managed Services 4,855 5,221 High Performance Computing – Colocation and Cloud 25,479 31,282 Other 89,299 4,634 Total Long-Lived Assets and Goodwill $ 285,895 $ 207,477

Digital assets (Tables)

Digital assets (Tables)	9 Months Ended
Digital assets (Tables)	Sep. 30, 2024
Digital assets
Schedule of changes in carrying amount of digital assets	(in USD thousands) Amount Balance as of June 30, 2023 $ 851 Cumulative effect upon adoption of ASU 2023-08 38 Bitcoin assumed through the Business Combination 344,283 Other digital assets assumed through the Business Combination 241 Revenue recognized from Bitcoin mined 41,477 Hosting revenue received in Bitcoin 2,027 Mining revenue earned in prior period received in current period 212 Carrying value of Bitcoin sold (41,548) Change in fair value of Bitcoin 32,493 Change in fair value of other digital assets 133 Foreign currency translation adjustments 8,595 Mining revenue not received (292) Balance as of December 31, 2023 $ 388,510 Revenue recognized from Bitcoin mined 31,336 Hosting revenue received in Bitcoin 1,814 Mining revenue earned in prior period received in current period 292 Carrying value of Bitcoin sold (37,929) Change in fair value of Bitcoin 274,540 Carrying value of other digital assets sold (407) Change in fair value of other digital assets 34 Foreign currency translation adjustments (9,295) Balance as of March 31, 2024 $ 648,895 Revenue recognized from Bitcoin mined 13,914 Hosting revenue received in Bitcoin 1,417 Carrying value of Bitcoin sold (15,209) Change in fair value of Bitcoin (71,842) Foreign currency translation adjustments (6,671) Balance as of June 30, 2024 $ 570,504 Revenue recognized from Bitcoin mined 11,611 Hosting revenue received in Bitcoin 640 Carrying value of Bitcoin sold (12,103) Change in fair value of Bitcoin (1,552) Foreign currency translation adjustments 7,368 Balance as of September 30, 2024 $ 576,468 Number of Bitcoin held as of September 30, 2024 9,106 Cost basis of Bitcoin held as of September 30, 2024 $ 354,128 Realized gains on the sale of Bitcoin for the nine months ended September 30, 2024 $ 9,141
Schedule of details of digital assets	Amount Number of digital assets (in USD thousands) September 30, 2024 December 31, 2023 September 30, 2024 December 31, 2023 Current Bitcoin held in custody $ 1,306 $ 4,583 20 109 Other digital assets held in custody — 380 — 55,008 Total current digital assets - held in custody 1,306 4,963 20 55,117 Non-current Bitcoin held in custody 305,499 282,997 4,826 6,704 Total non-current digital assets - held in custody $ 305,499 $ 282,997 4,826 6,704 Non-current Bitcoin pledged as collateral 269,663 100,550 4,260 2,382 Total non-current digital assets - pledged as collateral 269,663 100,550 4,260 2,382 Total digital assets $ 576,468 $ 388,510 9,106 64,203

Property and equipment, net (Ta

Property and equipment, net (Tables)	9 Months Ended
Property and equipment, net (Tables)	Sep. 30, 2024
Property and equipment, net
Schedule of property and equipment	(in USD thousands) September 30, 2024 December 31, 2023 Mining infrastructure $ 43,231 $ 26,110 Miners and mining equipment 80,136 89,521 Data center infrastructure 50,879 8,772 Computer and network equipment 8,390 8,254 Right-of-use assets - Finance lease 25,381 1,377 Leasehold improvements 741 742 Land and land improvements 106 50 Power plant assets 14,630 — Construction in progress 17,487 12,471 Property and equipment, gross 240,981 147,297 Less: Accumulated depreciation (46,874) (29,228) Property and equipment, net $ 194,107 $ 118,069

Deposits and prepaid expenses (

Deposits and prepaid expenses (Tables)	9 Months Ended
Deposits and prepaid expenses (Tables)	Sep. 30, 2024
Deposits and prepaid expenses
Schedule of components of deposits and prepaid expenses	(in USD thousands) September 30, 2024 December 31, 2023 Current Prepaid insurance $ 2,246 $ 4,042 Prepaid electricity 3,516 4,526 Deposits related to infrastructure purchases 16,592 — Deposit related to Stalking Horse Bid — 7,547 Other deposits 5,671 2,342 Total current deposits and prepaid expenses $ 28,025 $ 18,457 Non-current Deposits related to electricity supply under electricity supply agreement 5,662 5,288 Miner purchase option deposit 31,951 — Other 232 252 Total non-current deposits and prepaid expenses $ 37,845 $ 5,540

Investments in unconsolidated_2

Investments in unconsolidated joint venture (Tables)	9 Months Ended
Investments in unconsolidated joint venture (Tables)	Sep. 30, 2024
Investments in unconsolidated joint venture
Schedule of consolidated income statement and balance sheet for TZRC	Condensed Consolidated Income Statements Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands) 2024 2023 2024 2023 Revenue - Digital Asset Mining $ 5,345 $ 6,684 $ 27,604 $ 25,184 Revenue - Hosting 26,154 25,596 78,134 72,563 Total revenue, net 31,499 32,280 105,738 97,747 Gross profit 14,784 17,301 54,105 54,080 Net (loss) income (496) 663 6,456 5,817 Net (loss) income attributable to investee (248) 332 3,228 2,910 A summarized consolidated balance sheet for TZRC as of September 30, 2024 and December 31, 2023 follows: Condensed Consolidated Balance Sheets September 30, December 31, (in USD thousands) 2024 2023 Cash $ 69,503 $ 39,505 Total current assets 75,417 55,097 Property and equipment, net 113,225 159,865 Total other assets 34,502 34,490 Current liabilities 29,170 36,970 Noncurrent liabilities 14,548 17,512 Members equity 179,425 194,970

Loans and notes payable (Tables

Loans and notes payable (Tables)	9 Months Ended
Loans and notes payable (Tables)	Sep. 30, 2024
Loans and notes payable
Summary of company's secured promissory notes	(in USD thousands) September 30, December 31, Issuance Date Maturity Date Interest Rate 2024 2023 TZRC Secured Promissory Note December 6, 2022 April 8, 2027 15.25 % $ 80,079 $ 81,870 Third Party Note December 6, 2022 December 5, 2027 18.00 % — 11,490 Anchorage Loan February 3, 2023 February 2, 2028 9.00 % (1) — 44,363 Coinbase Credit Facility June 26, 2023 June 16, 2025 11.00 % (2) 64,956 49,724 Coatue Note (convertible note) June 28, 2024 June 28, 2029 8.00 % 152,262 — Total $ 297,297 $ 187,447 Less: current portion 64,956 64,127 Long-term portion $ 232,341 $ 123,320 (1) The interest rate as of December 31, 2023 for the Anchorage Loan was 14.00 %. (2) The interest rate as of December 31, 2023 for the Coinbase credit facility was 10.50 %.

Derivatives (Tables)

Derivatives (Tables)	9 Months Ended
Derivatives (Tables)	Sep. 30, 2024
Derivatives
Schedule of balance sheet classification and effect of derivatives on statements of operations and comprehensive income (loss)	(in USD thousands) September 30, 2024 December 31, 2023 Derivative Balance Sheet Line Asset Liability Asset Liability Derivatives not designated as hedging instruments: Covered call options Covered call options $ — $ 921 $ — $ — Total derivatives $ — $ 921 $ — $ — (in USD thousands) Three Months Ended Nine Months Ended Derivative Statement of Operations Line September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Derivatives not designated as hedging instruments: Covered call options Gain on derivatives $ 2,704 $ — $ 19,923 $ — Total derivatives $ 2,704 $ — $ 19,923 $ —
Schedule of fair value of the separated embedded derivative from convertible note using the PDE Model	September 30, June 30, 2024 2024 Dividend yield — % — % Implied volatility 105.06 % 100.49 % Risk-free interest rate 3.31 % 4.09 % Credit spread 19.11 % 15.29 %

Leases (Tables)

Leases (Tables)	9 Months Ended
Leases (Tables)	Sep. 30, 2024
Leases
Schedule of right-of-use assets and lease liabilities	September 30, December 31, (in USD thousands) 2024 2023 Right-of-use assets: Operating leases $ 20,654 $ 14,534 Finance leases 25,274 1,294 Total right-of-use assets $ 45,928 $ 15,828 Lease liabilities: Operating leases $ 21,435 $ 14,962 Finance leases 25,238 1,409 Total lease liabilities $ 46,673 $ 16,371
Schedule of lease costs	Three Months Ended Nine Months Ended (in USD thousands) September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Operating leases Operating lease cost $ 907 $ 48 $ 2,160 $ 150 Variable lease cost 572 18 767 54 Operating lease expense 1,479 66 2,927 204 Short-term lease expense 162 71 257 264 Total operating lease expense 1,641 137 3,184 468 Finance leases Amortization of financed assets 814 — 1,188 — Interest on lease obligations 360 — 402 — Total finance lease expense 1,174 — 1,590 — Total lease expense $ 2,815 $ 137 $ 4,774 $ 468
Schedule of supplemental lease information	The following table presents supplemental lease information: Nine Months Ended (in USD thousands) September 30, 2024 September 30, 2023 Operating cash outflows - operating leases $ 2,050 $ 353 Operating cash outflows - finance leases $ 403 $ — Financing cash outflows - finance leases $ 1,617 $ — Right-of-use assets obtained in exchange for operating lease liabilities $ 8,072 $ — Right-of-use assets obtained in exchange for finance lease liabilities $ 24,672 $ — Nine Months Ended September 30, 2024 September 30, 2023 Weighted-average remaining lease term - operating leases 8.6 2.8 Weighted-average remaining lease term - finance leases 4.8 — Weighted-average discount rate (1) 11.5 % 7.0 % Weighted average discount rate - finance leases 10.0 % — % (1)
Schedule of future minimum operating lease payments	Operating (in USD thousands) Leases Remainder of 2024 $ 1,232 2025 4,958 2026 4,759 2027 4,563 2028 4,250 Thereafter 15,169 Total undiscounted lease payments 34,931 Less present value discount (13,496) Present value of operating lease liabilities $ 21,435
Schedule of future minimum finance lease payments	Finance (in USD thousands) Leases Remainder of 2024 $ 1,867 2025 7,401 2026 6,935 2027 6,935 2028 6,935 Thereafter 4,046 Total undiscounted lease payments 34,119 Less present value discount (8,881) Present value of finance lease liabilities $ 25,238

Stockholders' equity (Tables)

Stockholders' equity (Tables)	9 Months Ended
Stockholders' equity (Tables)	Sep. 30, 2024
Stockholders' Equity
Schedule of recapitalization of common stock	Shares of USBTC USBTC common common stock stock to prior to the Hut 8 Corp. Recapitalization Business common stock of Period Description Combination exchange ratio common stock Three months ended March 31, 2023 Issuance of common stock 2,960,000 0.6716 1,987,936 Three months ended March 31, 2023 Cancellation of restricted stock awards (1,441,913) 0.6716 (968,388) Three months ended March 31, 2023 Stock-based compensation 1,048,912 0.6716 704,449 Three months ended September 30, 2023 Issuance of common stock – stock option exercises 7,391 0.6716 4,963
Summary of common stock purchase warrants	Weighted Weighted average average remaining Number of exercise price contractual life (in USD thousands, except share and per share amounts) shares (per share) (in years) Outstanding as of December 31, 2023 1,895 $ 53.45 2.8 Outstanding as of September 30, 2024 1,895 $ 53.45 2.0
Schedule of changes in accumulated other comprehensive income, net of tax	December 31, Net September 30, (in USD thousands) 2023 Change 2024 Foreign currency translation adjustment gain (loss) $ 10,761 $ (10,449) $ 312 Total $ 10,761 $ (10,449) $ 312

Stock-based compensation (Table

Stock-based compensation (Tables)	9 Months Ended
Stock-based compensation (Tables)	Sep. 30, 2024
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Summary of stock-based compensation expense	Three Months Ended Nine Months Ended (in USD thousands) September 30, 2024 September 30, 2023 September 30, 2024 September 30, 2023 Restricted stock awards $ — $ — $ — $ 687 Stock options 1,043 303 2,668 964 Restricted stock units 1,632 — 9,201 — Deferred stock units — — — — Performance stock units 2,282 — 4,572 — Total stock-based compensation $ 4,957 $ 303 $ 16,441 $ 1,651
Time-base restricted stock awards
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Summary of assumptions used in the option pricing method and the backsolve method	December 31, September 30, 2022 2021 Dividend yield — % — % Expected price volatility 120 % 100 % Risk-free interest rate 4.41 % 0.28 % Expected term 2.0 years 2.0 years
Summary of stock activity	Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) shares fair value intrinsic value Unvested as of December 31, 2022 263,939 $ 3.38 $ 102 Granted 704,449 0.39 Vested — — — Cancelled (968,388) 1.20 Unvested as of September 30, 2023 — $ — $ —
Employee Stock Option
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Summary of assumptions used in determining the fair value of stock options	Nine Months Ended September 30, 2023 Dividend yield — % Expected price volatility 100 % Risk-free interest rate 3.82% – 3.90 % Expected term (in years) 5.5 – 8.0
Summary of stock options activity	Weighted Weighted average average remaining Number of exercise price Aggregate contractual life (in USD thousands, except share and per share amounts) shares (per share) intrinsic value (in years) Outstanding as of December 31, 2023 4,513,375 $ 0.48 $ 58,150 8.8 Granted — — Exercised (1,235,239) 0.39 11,155 Forfeited or canceled (70,828) 0.39 Outstanding as of September 30, 2024 3,207,308 $ 0.52 $ 37,798 7.9 Vested and exercisable as of September 30, 2024 2,195,310 $ 0.58 $ 25,785 7.9 Weighted Weighted average average remaining Number of exercise price Aggregate contractual life (in USD thousands, except share and per share amounts) shares (per share) intrinsic value (in years) Outstanding as of December 31, 2022 2,122,742 $ 2.89 $ — 9.0 Granted 2,469,134 0.39 Exercised (5,172) 0.39 2 Forfeited or canceled (56,815) 0.39 Outstanding as of September 30, 2023 4,529,889 $ 0.39 $ 34,791 8.8 Vested and exercisable as of September 30, 2023 740,020 $ 0.39 $ 5,684 8.1
Restricted stock units
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Summary of the activity of the service-based restricted stock units	Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) units fair value intrinsic value Unvested as of December 31, 2023 1,554,347 $ 10.36 $ 20,735 Granted 871,002 9.19 Vested (987,504) 9.67 9,243 Forfeited (140,130) 10.66 Unvested as of September 30, 2024 1,297,715 $ 10.07 $ 15,910
Deferred stock units
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Summary of the activity of the deferred stock units	Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) units fair value intrinsic value Vested and outstanding as of December 31, 2023 91,804 $ 9.73 $ 1,225 Redeemed (17,850) 9.78 224 Vested and outstanding as of September 30, 2024 73,954 $ 9.72 $ 907
Performance stock units
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Summary of assumptions used in the option pricing method and the backsolve method	Nine Months Ended September 30, 2024 Dividend yield — % Expected price volatility 113.8% – 115 % Risk-free interest rate 3.74% – 4.84 % Expected term (in years) 2.9 – 3.0
Summary of stock activity	Weighted average Number of grant-date Aggregate (in USD thousands, except share and per share amounts) units fair value intrinsic value Unvested as of December 31, 2023 — $ — $ — Granted 1,589,497 17.32 Unvested as of September 30, 2024 1,589,497 $ 17.32 $ 38,974

Net income (loss) per share o_2

Net income (loss) per share of common stock (Tables)	9 Months Ended
Net income (loss) per share of common stock (Tables)	Sep. 30, 2024
Net income (loss) per share of common stock
Schedule of antidilutive securities	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, 2024 2023 2024 2023 Unvested restricted stock awards (1) — — — 239,195 Stock options 23,000 4,529,889 23,000 11,333 Restricted stock units — — — — Deferred stock units — — — — Performance stock units — — — — Warrants 1,895 — 1,895 — Convertible note and separated embedded derivative from convertible note 9,338,213 — — — Total 9,363,108 4,529,889 24,895 250,528 (1)
Schedule of basic and diluted net income (loss) per share	Three Months Ended Nine Months Ended September 30, September 30, September 30, September 30, (in USD thousands, except share and per share amounts) 2024 2023 2024 2023 Numerator: Net income (loss) attributable to Hut 8 Corp. $ 647 $ (4,374) $ 179,657 $ 11,268 Less: loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively) — — 9,364 — Net income (loss) from continuing operations attributable to Hut 8 Corp. – basic $ 647 $ (4,374) $ 189,021 $ 11,268 Effect of dilutive shares on net income (loss): Effect of convertible note and separated embedded derivative from convertible note, net of tax — — 2,336 — Net income (loss) from continuing operations attributable to Hut 8 Corp. – diluted $ 647 $ (4,374) $ 191,357 $ 11,268 Loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively) attributable to Hut 8 Corp. $ — $ — $ (9,364) $ — Denominator: Weighted average shares of common stock outstanding – basic 91,182,107 43,197,355 90,178,607 42,954,301 Dilutive impact of outstanding equity awards 5,225,271 — 4,630,570 1,248,914 Dilutive impact of convertible note — — 3,174,882 — Weighted average shares of common stock outstanding – diluted 96,407,378 43,197,355 97,984,059 44,203,215 Net income (loss) per share of common stock: Basic from continuing operations attributable to Hut 8 Corp. (1) $ 0.01 $ (0.10) $ 2.10 $ 0.26 Basic from discontinued operations attributable to Hut 8 Corp. (2) $ — $ — $ (0.10) $ — Diluted from continuing operations attributable to Hut 8 Corp. (3) $ 0.01 $ (0.10) $ 1.95 $ 0.25 Diluted from discontinued operations attributable to Hut 8 Corp. (4) $ — $ — $ (0.10) $ — (1) (2) (3) (4)

Basis of presentation, summar_4

Basis of presentation, summary of significant accounting policies and recent accounting pronouncements - Change in estimate (Details) - Service Life [Member] - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2026	Dec. 31, 2025	Dec. 31, 2024	Sep. 30, 2024
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Useful Life				4 years
(Increase) decrease in depreciation expense	$ 280	$ 2,028	$ (2,308)
Mining equipment
Property, Plant and Equipment [Line Items]
Property, Plant and Equipment, Useful Life				5 months

Basis of Presentation, Summar_5

Basis of Presentation, Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Fair value of financial instruments (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Dec. 31, 2023	Jun. 30, 2023
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Digital assets, net	$ 576,468	$ 570,504	$ 648,895	$ 388,510	$ 851
Covered call options	921
Initial fair value of separated embedded derivatives	0
Recurring
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Digital assets, net	576,468
Covered call options	921
Recurring \| Level 1
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Digital assets, net	576,468
Recurring \| Level 2
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Covered call options	$ 921

Basis of Presentation, Summar_6

Basis of Presentation, Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Property and equipment (Details)	Sep. 30, 2024
Mining infrastructure \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	5 years
Mining infrastructure \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	10 years
Miners and mining equipment \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	2 years
Miners and mining equipment \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	4 years
Data center infrastructure \| Minimum
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	5 years
Data center infrastructure \| Maximum
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	8 years
Computer and network equipment
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	3 years
Land improvements
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	15 years
Power plant assets
Property, Plant and Equipment [Line Items]
Estimated useful lives of plant and equipment	10 years

Basis of Presentation, Summar_7

Basis of Presentation, Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Finite-lived intangible assets (Details)	Sep. 30, 2024
Customer relationships
Finite-Lived Intangible Assets [Line Items]
Estimated useful lives (years)	6 years
Favorable Contract
Finite-Lived Intangible Assets [Line Items]
Estimated useful lives (years)	4 years
Property Management Agreement ("PMA")
Finite-Lived Intangible Assets [Line Items]
Estimated useful lives (years)	10 years

Basis of Presentation, Summar_8

Basis of Presentation, Summary of Significant Accounting Policies and Recent Accounting Pronouncements - Additional information (Details)			1 Months Ended	3 Months Ended		9 Months Ended
	Nov. 30, 2023 segment	Jun. 30, 2023 segment	Jan. 31, 2024 USD ($) shares	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($) entity segment	Sep. 30, 2023 USD ($)	Feb. 29, 2024 USD ($)	Feb. 15, 2024	Dec. 31, 2023 USD ($)
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Cash equivalents				$ 0		$ 0				$ 0
Allowances for doubtful accounts				100,000		100,000				100,000
Impairment of long-lived assets				0	$ 0	0	$ 0
Impairment of long-lived assets				0		6,100,000
Equipment held for sale				0		$ 0				3,907,000
Long-lived assets to be sold as held for sale								$ 2,000,000
Vesting period						3 years
Interest or penalties related to income taxes				0		$ 0				$ 0
Number of reportable segments \| segment	4	1				4
Number of business lines launched recently \| segment		2
Number of business lines \| segment		3
Number Of reporting entities \| entity						2
Gain on sales of its mining equipment held for sale				$ 0	0	$ 0	0
Far North
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Ownership percentage of non-controlling interest (in %)				19.99%		19.99%			19.99%
Discontinued operations \| Drumheller
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Impairment of long-lived assets				$ 0	0	$ 6,065,000	0
Ionic Digita
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Cash payment			$ 6,400,000
Digital
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Number of shares acquired \| shares			374,261
USBTC
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Shares received for each share of acquiree entity	0.6716
Minimum
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
PMA initial term						4 years
Maximum
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
PMA initial term						10 years
TZRC LLC
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Impairment of long-lived assets				$ 0	$ 0	$ 0	$ 0
2023 Omnibus Incentive Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting period						3 years
2021 Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Term of options						10 years
Tranche one \| 2021 Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting period						2 years
Tranche two \| 2021 Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting period						4 years
Tranche three \| 2021 Plan
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Vesting period						6 years

Far North acquisition - Additio

Far North acquisition - Additional information (Details) $ in Thousands		1 Months Ended
	Feb. 15, 2024 USD ($) Plant	Aug. 31, 2023 USD ($)	Sep. 30, 2024
Far North
Business Acquisition [Line Items]
Number of natural gas power plants acquired \| Plant	4
Payment of purchase price in advance	$ 7,739	$ 7,700
Credit in lieu of investing mining infrastructure and equipment	8,238	$ 8,200
Value of loan with Macquaire restructured	$ 24,611
Far North
Business Acquisition [Line Items]
Ownership percentage of parent (in %)	80.01%
Ownership percentage of non-controlling interest (in %)	19.99%		19.99%

Far North acquisition - Purchas

Far North acquisition - Purchase Price (Details) - Far North - USD ($) $ in Thousands		1 Months Ended
	Feb. 15, 2024	Aug. 31, 2023	Sep. 30, 2024
Business Acquisition [Line Items]
Cash paid by the Company held in deposit	$ 7,739	$ 7,700
Loan assumed by the Company	24,611
Credit for the equipment invested in the acquisition	8,238	$ 8,200
Opening cash invested - Non controlling interest	2,709
Opening cash invested - Hut 8	2,709
Purchase price consideration	$ 46,006		$ 46,006

Far North acquisition - Assets

Far North acquisition - Assets acquired and liabilities assumed (Details) - Far North - USD ($) $ in Thousands	Sep. 30, 2024	Feb. 15, 2024
Business Combinations
Cash		$ 4,061
Accounts receivable, net of allowance of $0		2,883
Property and equipment, net		49,036
Accounts payable and accrued expenses		(1,231)
Non-controlling interest		(8,743)
Total assets acquired and liabilities	$ 46,006	46,006
Allowance for accounts receivable		$ 0

Far North acquisition - Supplem

Far North acquisition - Supplemental disclosures of cash flow information (Details) - Far North - USD ($) $ in Thousands	Sep. 30, 2024	Feb. 15, 2024
Business Combinations
Fair value of tangible assets acquired	$ 55,980
Liabilities assumed	(9,974)
Purchase price consideration	$ 46,006	$ 46,006

Discontinued operations (Detail

Discontinued operations (Details) - USD ($)	3 Months Ended		9 Months Ended
Discontinued operations (Details) - USD ($)	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Operating expenses:
Impairment of long-lived assets	$ 0		$ 6,100,000
Drumheller \| Discontinued operations
Cost of revenue (exclusive of depreciation and amortization shown below):
Digital Assets Mining			3,895,000
Operating expenses:
Depreciation and amortization			169,000
General and administrative expenses			216,000
Impairment of long-lived assets	0	$ 0	6,065,000	$ 0
Total operating expenses			6,450,000
Net loss			(9,364,000)
Cash flows from Discontinued Operations
Operating cashflows used in discontinued operations			(3,243,000)
Assets and Liabilities of Discontinued Operations
Assets					$ 7,240,000
Liabilities	$ 1,978,000		1,978,000
Drumheller \| Discontinued operations \| Digital Asset Mining
Revenue:
Digital Assets Mining			$ 981,000

Segment information - Reconcili

Segment information - Reconciliation of net income (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Reportable segment revenue:
Total segment and consolidated revenue	$ 43,735			$ 21,703			$ 130,691	$ 57,880
Reportable segment cost of revenue: (exclusive of depreciation and amortization shown below):
Total segment and consolidated cost of revenue	17,559			13,526			66,342	34,020
Reconciling items:
Depreciation and amortization	(10,462)			(4,486)			(33,465)	(11,454)
General and administrative expenses	(16,175)			(4,171)			(54,073)	(15,757)
(Losses) gains on digital assets								2,376
Losses (gains) on digital assets	1,552	$ 71,842		185			(201,180)	185
Gain (loss) on sale of property and equipment	444						634	(445)
Realized gain on sale of digital assets								2,376
Impairment of digital assets								(1,431)
Legal settlement								1,531
Foreign exchange gain (loss)	703						(976)
Interest expense	(7,938)			(5,723)			(20,231)	(18,955)
Gain on debt extinguishment	5,966						5,966	23,683
Gain on derivatives	2,704						19,923
Equity in earnings of unconsolidated joint venture	1,495			2,075			8,457	8,717
Income tax provision	(453)			(61)			(2,975)	(672)
Net income (loss) from continuing operations	908			(4,374)			188,789	11,268
Loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively)							(9,364)
Net income (loss)	908			(4,374)			179,425	11,268
Less: Net (income) loss attributable to non-controlling interests	(261)	324	$ 169				232
Net income (loss) attributable to Hut 8 Corp.	647	$ (71,866)	$ 250,876	(4,374)	$ (1,686)	$ 17,328	179,657	11,268
Operating segments \| Digital Asset Mining
Reportable segment revenue:
Total segment and consolidated revenue	11,611			15,565			55,880	39,069
Reportable segment cost of revenue: (exclusive of depreciation and amortization shown below):
Total segment and consolidated cost of revenue	7,257			10,875			31,346	27,427
Operating segments \| Managed Services
Reportable segment revenue:
Total segment and consolidated revenue	20,820			4,777			39,072	14,976
Reportable segment cost of revenue: (exclusive of depreciation and amortization shown below):
Total segment and consolidated cost of revenue	2,812			1,422			8,693	5,319
Operating segments \| High Performance Computing - Colocation and Cloud
Reportable segment revenue:
Total segment and consolidated revenue	3,421						10,112
Reportable segment cost of revenue: (exclusive of depreciation and amortization shown below):
Total segment and consolidated cost of revenue	2,610						7,699
Operating segments \| Other
Reportable segment revenue:
Total segment and consolidated revenue	11,906			1,361			34,598	3,835
Reportable segment cost of revenue: (exclusive of depreciation and amortization shown below):
Total segment and consolidated cost of revenue	8,903			$ 1,229			27,575	$ 1,274
Eliminations
Reportable segment revenue:
Total segment and consolidated revenue	(4,023)						(8,971)
Reportable segment cost of revenue: (exclusive of depreciation and amortization shown below):
Total segment and consolidated cost of revenue	$ (4,023)						$ (8,971)

Segment information - Long-live

Segment information - Long-lived assets and goodwill (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Summarized information for long-lived assets
Total Long-Lived Assets and Goodwill	$ 285,895	$ 207,477
Digital Asset Mining
Summarized information for long-lived assets
Total Long-Lived Assets and Goodwill	166,262	166,340
Managed Services
Summarized information for long-lived assets
Total Long-Lived Assets and Goodwill	4,855	5,221
High Performance Computing - Colocation and Cloud
Summarized information for long-lived assets
Total Long-Lived Assets and Goodwill	25,479	31,282
Other
Summarized information for long-lived assets
Total Long-Lived Assets and Goodwill	$ 89,299	$ 4,634

Digital assets - Changes in the

Digital assets - Changes in the carrying amount (Details) $ in Thousands	3 Months Ended				6 Months Ended	9 Months Ended
	Sep. 30, 2024 USD ($) item	Jun. 30, 2024 USD ($)	Mar. 31, 2024 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2023 USD ($) item	Sep. 30, 2024 USD ($) item	Sep. 30, 2023 USD ($)
Crypto Asset, Activity [Line Items]
Beginning balance	$ 570,504	$ 648,895	$ 388,510	$ 851	$ 851	$ 388,510
Revenue recognized from Bitcoin mined	11,611	13,914	31,336		41,477
Hosting revenue received in Bitcoin	640	1,417	1,814		2,027
Mining revenue earned in prior period received in current period			292		212
Carrying value of assets sold	(12,103)	(15,209)			(41,548)
Change in fair value	(1,552)	(71,842)		$ (185)		201,180	$ (185)
Foreign currency translation adjustments	7,368	(6,671)	(9,295)		8,595
Mining revenue not received					292
Ending balance	$ 576,468	$ 570,504	648,895		$ 388,510	$ 576,468
Number of Bitcoin held as of September 30, 2024 \| item	9,106				64,203	9,106
Realized gains on the sale of Bitcoin for the nine months ended September 30, 2024							$ 2,376
Bitcoin
Crypto Asset, Activity [Line Items]
Assumed through the Business Combination					$ 344,283
Carrying value of assets sold			(37,929)
Change in fair value			274,540		32,493
Number of Bitcoin held as of September 30, 2024 \| item	9,106					9,106
Realized gains on the sale of Bitcoin for the nine months ended September 30, 2024						$ 9,141
Other digital assets
Crypto Asset, Activity [Line Items]
Assumed through the Business Combination					241
Carrying value of assets sold			(407)
Change in fair value			34		133
Cost basis of Bitcoin held as of September 30, 2024	$ 354,128					354,128
Cumulative effect of adjustment
Crypto Asset, Activity [Line Items]
Beginning balance			$ 38			$ 38
Ending balance					$ 38

Digital assets - Segregation (D

Digital assets - Segregation (Details) $ in Thousands	Sep. 30, 2024 USD ($) item	Jun. 30, 2024 USD ($)	Mar. 31, 2024 USD ($)	Dec. 31, 2023 USD ($) item	Jun. 30, 2023 USD ($)
Current
Digital assets - held in custody \| $	$ 1,306			$ 4,963
Non-current
Digital assets - held in custody \| $	305,499			282,997
Digital assets - pledged as collateral \| $	269,663			100,550
Digital assets \| $	$ 576,468	$ 570,504	$ 648,895	$ 388,510	$ 851
Current
Total current digital assets - held in custody (Number of digital assets)	20			55,117
Non-current
Total non-current digital assets - held in custody (Number of digital assets)	4,826			6,704
Total non-current digital assets - pledged as collateral (Number of digital assets)	4,260			2,382
Total digital assets (Number of digital assets)	9,106			64,203
Bitcoin
Current
Digital assets - held in custody \| $	$ 1,306			$ 4,583
Non-current
Digital assets - held in custody \| $	305,499			282,997
Digital assets - pledged as collateral \| $	$ 269,663			$ 100,550
Current
Total current digital assets - held in custody (Number of digital assets)	20			109
Non-current
Total non-current digital assets - held in custody (Number of digital assets)	4,826			6,704
Total non-current digital assets - pledged as collateral (Number of digital assets)	4,260			2,382
Total digital assets (Number of digital assets)	9,106
Other digital assets
Current
Digital assets - held in custody \| $				$ 380
Current
Total current digital assets - held in custody (Number of digital assets)				55,008

Property and equipment, net - C

Property and equipment, net - Components (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Property and Equipment, net
Right-of-use assets - Finance lease	$ 25,381	$ 1,377
Property and equipment, gross	240,981	147,297
Less: Accumulated depreciation	(46,874)	(29,228)
Property and equipment, net	194,107	118,069
Mining infrastructure
Property and Equipment, net
Property and equipment, gross	43,231	26,110
Miners and mining equipment
Property and Equipment, net
Property and equipment, gross	80,136	89,521
Data center infrastructure
Property and Equipment, net
Property and equipment, gross	50,879	8,772
Computer and network equipment
Property and Equipment, net
Property and equipment, gross	8,390	8,254
Leasehold improvements
Property and Equipment, net
Property and equipment, gross	741	742
Land and land improvements
Property and Equipment, net
Property and equipment, gross	106	50
Power plant assets
Property and Equipment, net
Property and equipment, gross	14,630
Construction in progress
Property and Equipment, net
Property and equipment, gross	$ 17,487	$ 12,471

Property and equipment, net - A

Property and equipment, net - Additional information (Details)		3 Months Ended		9 Months Ended
	Mar. 06, 2024 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Dec. 29, 2023 USD ($) a
Property, Plant and Equipment [Line Items]
Depreciation and amortization		$ 9,600,000	$ 4,000,000	$ 31,000,000	$ 11,000,000
Impairment of intangible assets write-down	$ 6,100,000
Impairment of long-lived assets		$ 0	$ 0	$ 0	$ 0
Substation in Culberson County, Texas
Property, Plant and Equipment [Line Items]
Land acquired \| a						1.9
Purchase of substation						$ 7,100,000

Deposits and prepaid expenses -

Deposits and prepaid expenses - Schedule of components of deposits and prepaid expenses (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Current
Prepaid insurance	$ 2,246	$ 4,042
Prepaid electricity	3,516	4,526
Deposits related to infrastructure purchases	16,592
Deposit related to Stalking Horse Bid		7,547
Other deposits	5,671	2,342
Total current deposits and prepaid expenses	28,025	18,457
Non-current
Deposits related to electricity supply under electricity supply agreement	5,662	5,288
Miner purchase option deposit	31,951
Other	232	252
Total non-current deposits and prepaid expenses	$ 37,845	$ 5,540

Deposits and prepaid expenses_2

Deposits and prepaid expenses (Details) $ in Millions	Sep. 19, 2024 USD ($) item
Deposits and prepaid expenses
Exahash per second \| item	15
Deposit towards purchase option \| $	$ 32

Investments in unconsolidated_3

Investments in unconsolidated joint venture (Details) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended		9 Months Ended
	Dec. 06, 2022	Aug. 31, 2022	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Jun. 30, 2023	Nov. 25, 2022
Schedule of Equity Method Investments [Line Items]
Equity in earnings of unconsolidated joint venture			$ 1,495	$ 2,075	$ 8,457	$ 8,717
Investment in unconsolidated joint venture			$ 80,113		$ 80,113		$ 82,656
TZRC
Schedule of Equity Method Investments [Line Items]
Equity method investment, ownership (in percent)			50%		50%
Equity in earnings of unconsolidated joint venture			$ (248)	332	$ 3,228	2,910
Investment in unconsolidated joint venture			80,100		80,100
TZRC \| Asset Purchase Agreement
Schedule of Equity Method Investments [Line Items]
Service contract term (in years)		10 years
Renewal of term (in years)		1 year
Property management fee		$ 1,500
Pass through costs			700		1,700
TZRC \| Asset Purchase Agreement \| Compute North Member, LLC
Schedule of Equity Method Investments [Line Items]
Equity method investment, ownership (in percent)									50%
Difference in fair value of net assets acquired and carrying value of underlying net assets								$ 22,400
Amount of accretion expense			$ 1,700	$ 1,700	$ 5,200	$ 5,800
Consideration paid by cash	$ 10,000
Consideration paid by secured promissory note	$ 95,100

Investments in unconsolidated_4

Investments in unconsolidated joint venture - Summary of income statements (Details) - USD ($) $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Schedule of Equity Method Investments [Line Items]
Total revenue	$ 43,735			$ 21,703			$ 130,691	$ 57,880
Net Income (Loss)	647	$ (71,866)	$ 250,876	(4,374)	$ (1,686)	$ 17,328	179,657	11,268
Net income attributable to investee	1,495			2,075			8,457	8,717
Digital Asset Mining
Schedule of Equity Method Investments [Line Items]
Total revenue	11,611			15,565			55,880	39,069
TZRC
Schedule of Equity Method Investments [Line Items]
Net income attributable to investee	(248)			332			3,228	2,910
TZRC
Schedule of Equity Method Investments [Line Items]
Total revenue	31,499			32,280			105,738	97,747
Gross profit	14,784			17,301			54,105	54,080
Net Income (Loss)	(496)			663			6,456	5,817
TZRC \| Digital Asset Mining
Schedule of Equity Method Investments [Line Items]
Total revenue	5,345			6,684			27,604	25,184
TZRC \| Hosting
Schedule of Equity Method Investments [Line Items]
Total revenue	$ 26,154			$ 25,596			$ 78,134	$ 72,563

Investments in unconsolidated_5

Investments in unconsolidated joint venture - Summary of balance sheets (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Schedule of Equity Method Investments [Line Items]
Cash	$ 72,282	$ 30,504
Total current assets	110,252	61,620
Property and equipment, net	194,107	118,069
Current liabilities	110,478	112,558
Noncurrent liabilities	276,249	140,643
TZRC
Schedule of Equity Method Investments [Line Items]
Cash	69,503	39,505
Total current assets	75,417	55,097
Property and equipment, net	113,225	159,865
Total other assets	34,502	34,490
Current liabilities	29,170	36,970
Noncurrent liabilities	14,548	17,512
Members' equity	$ 179,425	$ 194,970

Loans and notes payable (Detail

Loans and notes payable (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
Loans and notes payable (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	May 16, 2023	Feb. 28, 2023	Dec. 06, 2022
Debt Instrument [Line Items]
Total debt outstanding	$ 297,297		$ 297,297		$ 187,447
Less: current portion	64,956		64,956		64,127
Long-term portion	232,341		232,341		$ 123,320
Total principal payments	1,700	$ 15,100	34,039	$ 29,982
Amortization of debt issuance costs	1,200	1,800	4,000	4,800
Interest expense	$ 9,300	$ 5,700	$ 21,700	$ 19,000
TZRC Secured Promissory Note
Debt Instrument [Line Items]
Interest Rate	15.25%		15.25%		15.25%
Total debt outstanding	$ 80,079		$ 80,079		$ 81,870
Third Party Note
Debt Instrument [Line Items]
Interest Rate	18%		18%		18%	18%		6%
Total debt outstanding					$ 11,490
Anchorage Loan
Debt Instrument [Line Items]
Interest Rate	9%		9%		14%		9%
Total debt outstanding					$ 44,363
Coinbase Credit Facility
Debt Instrument [Line Items]
Interest Rate	11%		11%		10.50%
Total debt outstanding	$ 64,956		$ 64,956		$ 49,724
Convertible note
Debt Instrument [Line Items]
Interest Rate	8%		8%
Total debt outstanding	$ 152,262		$ 152,262

Loans and notes payable - TZRC

Loans and notes payable - TZRC Secured Promissory Note (Details) - TZRC Secured Promissory Note - USD ($) $ in Millions		9 Months Ended
	Dec. 06, 2022	Sep. 30, 2024	Dec. 31, 2023
Debt Instrument [Line Items]
Fair value of debt on investment date	$ 95.1
Discount on promissory note	$ 1.7	$ 1
Variable interest rate	12%
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]	us-gaap:PrimeRateMember
Fixed interest rate	15.25%
Post-default interest	2%
Interest Rate		15.25%	15.25%
Percentage of distribution funds used to pay down notes	100%
Outstanding loan exclusive of deferred financing costs		$ 81.1
Debt instrument, Term		5 years

Loans and notes payable - Third

Loans and notes payable - Third Party Note (Details) - Third Party Note - USD ($) $ in Millions	May 16, 2023	Sep. 30, 2024	Dec. 31, 2023	Dec. 06, 2022
Debt Instrument [Line Items]
Debt instrument, Face amount				$ 10
Interest Rate	18%	18%	18%	6%
Debt instrument, Term	45 days

Loans and notes payable- Anchor

Loans and notes payable- Anchorage Loan (Details) $ / shares in Units, $ in Thousands		1 Months Ended	3 Months Ended			9 Months Ended
	Sep. 27, 2024 USD ($) $ / shares shares	Feb. 28, 2023 USD ($) item shares	Sep. 30, 2024 USD ($)	Sep. 30, 2023 shares	Mar. 31, 2023 shares	Sep. 30, 2024 USD ($) shares	Sep. 30, 2023 USD ($)	Dec. 31, 2023
Debt Instrument [Line Items]
Issuance of common stock - net of retroactive application of recapitalization (in shares) \| shares					1,987,936
Exchange outstanding balance	$ 37,900
Gain on debt extinguishment			$ 5,966			$ 5,966	$ 23,683
Issuance of common stock - debt extinguishment			30,185
Common Stock
Debt Instrument [Line Items]
Issuance of common stock - net of retroactive application of recapitalization (in shares) \| shares				4,963	1,987,936
Issuance of common stock - debt extinguishment			$ 23
Anchorage Loan
Debt Instrument [Line Items]
Interest Rate		9%	9%			9%		14%
Closing fees		$ 700
Issuance of common stock - net of retroactive application of recapitalization (in shares) \| shares		1,987,936
Issuance of common stock - net of retroactive application of recapitalization		$ 800
Termination fee		$ 400
Percentage of net monthly cash flow related to miners		100%
Number of miners to secure loan \| item		21,000
Exchange outstanding balance	37,900
Deferred financing costs	$ 1,500
Conversion shares \| shares	2,313,435					2,313,435
Conversion price \| $ / shares	$ 16.395
Derecognized carrying amount	$ 36,400
Gain on debt extinguishment	6,000
Debt extinguishment cost	200
Issuance of common stock - debt extinguishment	30,200
Adjustments to additional paid in capital, stock issued	100
Anchorage Loan \| Common Stock
Debt Instrument [Line Items]
Issuance of common stock - debt extinguishment	$ 20					$ 20

Loans and notes payable - Coinb

Loans and notes payable - Coinbase Credit Facility (Details) - Coinbase Credit Facility - USD ($)	Jun. 17, 2024	Jan. 12, 2024	Jun. 26, 2023	Sep. 30, 2024
Debt Instrument [Line Items]
Fixed interest rate			5%
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]			hut:BasisspreadonvariablerateRateMember
Variable interest rate			3.25%
Maximum borrowing capacity			$ 50,000,000
Minimum loan-to-value ratio of principal outstanding of the loan and the fair value of collateral as percentage of company's ownership			60%
Outstanding loan exclusive of deferred financing costs				$ 65,000,000
Deferred financing costs				$ 40,000
Tranche 1
Debt Instrument [Line Items]
Debt instrument, Face amount			$ 15,000,000
Tranche 2
Debt Instrument [Line Items]
Debt instrument, Face amount			20,000,000
Tranche 3
Debt Instrument [Line Items]
Debt instrument, Face amount			$ 15,000,000
Tranche 4
Debt Instrument [Line Items]
Debt instrument, Face amount		$ 15,000,000
Fixed interest rate	3.25%	3.25%
Debt Instrument, Variable Interest Rate, Type [Extensible Enumeration]	hut:BasisspreadonvariablerateRateMember	hut:BasisspreadonvariablerateRateMember
Variable interest rate	6%	5%
Threshold prevailing market value	$ 25,000	$ 25,000
Percentage of threshold prevailing market value	60%	60%
Prepayment in principal as well as any accrued and unpaid interest if prevailing market value falls below a certain limit		$ 15,000,000

Loans and notes payable - Conve

Loans and notes payable - Convertible note (Details) - Coatue Note $ / shares in Units, $ in Millions		3 Months Ended	9 Months Ended
	Jun. 28, 2024 item $ / shares	Sep. 30, 2024 USD ($)	Sep. 30, 2024 USD ($)	Jun. 21, 2024 USD ($)
Loans payable
Debt instrument, Face amount		$ 153.1	$ 153.1	$ 150
Interest Rate	8%
Effective interest rate		8.23%	8.23%
Interest expense, Debt		$ 3	$ 3.1
Amortization of debt discount and issuance costs		0.3	0.3
Debt instrument, Term	5 years
Number of extensions \| item	3
Extension term	1 year
Conversion price \| $ / shares	$ 16.395
Debt instrument, Convertible, Average daily trading volume	100
Percentage of principal amount redeemed	100%
Percentage of repurchase of principal amount	120
Debt instrument carrying amount		152.3	152.3
Deferred financing costs		0.8	0.8
Debt instrument, Fair value disclosure		$ 180	$ 180
Stock Price Is Atleast 11.5
Loans payable
Share Price \| $ / shares	$ 11.50
Percentage of redemption price	150%

Loans and notes payable - Galax

Loans and notes payable - Galaxy Credit Facility (Details) $ in Millions	Jun. 17, 2024 USD ($)
Revolving Credit Facility
Loans payable
Uncommitted amount	$ 50

Derivatives - Balance Sheet (De

Derivatives - Balance Sheet (Details) $ in Thousands	Sep. 30, 2024 USD ($)
Derivatives
Liability	$ 921
Covered call options \| Derivatives not designated as hedging instruments:
Derivatives
Liability	$ 921

Derivatives - Statements of Ope

Derivatives - Statements of Operations and Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands	3 Months Ended	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2024
Derivatives
Gain on derivatives	$ 2,704	$ 19,923
Covered call options \| Derivatives not designated as hedging instruments:
Derivatives
Gain on derivatives	$ 2,704	$ 19,923

Derivatives - Covered call opti

Derivatives - Covered call options (Details) - Covered call options $ in Millions	9 Months Ended
	Sep. 30, 2024 USD ($)
Derivatives
Proceeds from sale of covered call options	$ 20.8
Unrealized gain on derivatives	$ 19.9

Derivatives - Separated embedde

Derivatives - Separated embedded derivative from convertible note - Change in fair value of the Company's separated embedded derivatives from convertible note (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023	Sep. 30, 2023
Change in fair value of the Company's separated embedded derivative from convertible note
Initial fair value of separated embedded derivatives	$ 0
Separated embedded derivatives		$ 0	$ 0

Derivatives - Fair value of the

Derivatives - Fair value of the separated embedded derivatives (Details)	Sep. 30, 2024	Jun. 30, 2024
Implied volatility
Derivatives
Embedded Derivative Liability, Measurement Input	1.0506	1.0049
Risk-free interest rate
Derivatives
Embedded Derivative Liability, Measurement Input	0.0331	0.0409
Credit spread
Derivatives
Embedded Derivative Liability, Measurement Input	0.1911	0.1529

Leases - Right-of-use assets an

Leases - Right-of-use assets and lease liabilities (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Right-of-use assets:
Operating leases	$ 20,654	$ 14,534
Finance leases	25,274	1,294
Total right-of-use assets	45,928	15,828
Lease liabilities:
Operating leases	21,435	14,962
Finance leases	25,238	1,409
Total lease liabilities	$ 46,673	$ 16,371

Leases - Components of lease co

Leases - Components of lease costs (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Operating leases
Operating lease cost	$ 907	$ 48	$ 2,160	$ 150
Variable lease cost	572	18	767	54
Operating lease expense	1,479	66	2,927	204
Short-term lease expense	162	71	257	264
Total operating lease expense	1,641	137	3,184	468
Finance leases
Amortization of financed assets	814		1,188
Interest on lease obligations	360		402
Total finance lease expense	1,174		1,590
Total lease expense	$ 2,815	$ 137	$ 4,774	$ 468

Leases - Supplemental lease inf

Leases - Supplemental lease information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Leases
Operating cash outflows - operating leases	$ 2,050	$ 353
Operating cash outflows - finance leases	403
Financing cash outflows - finance leases	1,617
Right-of-use assets obtained in exchange for operating lease liabilities	8,072
Right-of-use assets obtained in exchange for finance lease liabilities	$ 24,672
Weighted-average remaining lease term - operating leases (in years)	8 years 7 months 6 days	2 years 9 months 18 days
Weighted-average remaining lease term - finance leases (in years)	4 years 9 months 18 days
Weighted-average discount rate - operating leases (in %)	11.50%	7%
Weighted average discount rate - finance leases (in %)	10%

Leases - Future minimum operati

Leases - Future minimum operating lease payments (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Operating Leases
Remainder of 2024	$ 1,232
2025	4,958
2026	4,759
2027	4,563
2028	4,250
Thereafter	15,169
Total undiscounted lease payments	34,931
Less present value discount	(13,496)
Present value of operating lease liabilities	$ 21,435	$ 14,962

Leases - Future minimum finance

Leases - Future minimum finance lease payments (Details) - USD ($) $ in Thousands	Sep. 30, 2024	Dec. 31, 2023
Future minimum finance lease payments
Remainder of 2024	$ 1,867
2025	7,401
2026	6,935
2027	6,935
2028	6,935
Thereafter	4,046
Total undiscounted lease payments	34,119
Less present value discount	(8,881)
Present value of finance lease liabilities	$ 25,238	$ 1,409

Stockholders' equity - Authoriz

Stockholders' equity - Authorized Shares (Details) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Stockholders' Equity
Common Stock, Shares Authorized	1,000,000,000	1,000,000,000
Common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Preferred Stock, Shares Authorized	25,000,000	25,000,000
Preferred stock, par value	$ 0.01	$ 0.01

Stockholders' equity - Business

Stockholders' equity - Business Combination Agreement (Details)	Nov. 30, 2023	Sep. 30, 2023	Mar. 31, 2023
Stockholders' Equity
Exchange ratio in business combination	0.2000	0.6716	0.6716
USBTC
Stockholders' Equity
Exchange ratio in business combination	0.2000
Shares received for each share of acquiree entity	0.6716

Stockholders' equity - Recapita

Stockholders' equity - Recapitalization (Details)	3 Months Ended
Stockholders' equity - Recapitalization (Details)	Sep. 30, 2023 shares	Mar. 31, 2023 shares	Nov. 30, 2023
Stockholders' Equity
Issuance of common stock - net of retroactive application of recapitalization (in shares)		1,987,936
Cancellation of restricted stock awards (in shares)		(968,388)
Stock-based compensation - net of retroactive application of recapitalization (in shares)		704,449
Exchange ratio in business combination	0.6716	0.6716	0.2000
Issuance of common stock - stock option exercises (in shares)	4,963
USBTC
Stockholders' Equity
Issuance of common stock - net of retroactive application of recapitalization (in shares)		2,960,000
Cancellation of restricted stock awards (in shares)		(1,441,913)
Stock-based compensation (in shares)		1,048,912
Exchange ratio in business combination			0.2000
Issuance of common stock - stock option exercises (in shares)	7,391

Stockholders' equity - Common s

Stockholders' equity - Common stock (Details) - USD ($) $ in Thousands		1 Months Ended	3 Months Ended			9 Months Ended
	Sep. 27, 2024	Feb. 28, 2023	Sep. 30, 2024	Sep. 30, 2023	Mar. 31, 2023	Sep. 30, 2024
Stockholders' Equity
Shares issued during period (in shares)					1,987,936
Issuance of common stock - debt extinguishment			$ 30,185
USBTC
Stockholders' Equity
Shares issued during period (in shares)					2,960,000
Hut 8 Mining Corp.
Stockholders' Equity
Shares issued in the Business Combination (in shares)						44,346,008
Anchorage Loan
Stockholders' Equity
Shares issued during period (in shares)		1,987,936
Issuance of shares	2,313,435					2,313,435
Issuance of common stock - debt extinguishment	$ 30,200
Stock Issuance Costs						$ 100
Adjustments to additional paid in capital, stock issued	100
Anchorage Loan \| USBTC
Stockholders' Equity
Shares issued during period (in shares)						1,987,936
Additional Paid-in Capital
Stockholders' Equity
Issuance of common stock - debt extinguishment			30,162
Additional Paid-in Capital \| Anchorage Loan
Stockholders' Equity
Issuance of common stock - debt extinguishment						$ 30,200
Common Stock
Stockholders' Equity
Shares issued during period (in shares)				4,963	1,987,936
Issuance of common stock - debt extinguishment			$ 23
Common Stock \| Anchorage Loan
Stockholders' Equity
Issuance of common stock - debt extinguishment	$ 20					$ 20

Stockholders' equity - Common_2

Stockholders' equity - Common stock purchase warrants (Details) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Number of shares
Outstanding (in shares)	1,895	1,895
Weighted average exercise price (per share)
Outstanding (in dollars per share)	$ 53.45	$ 53.45
Weighted average remaining contractual life (in years)
Outstanding (in years)	2 years	2 years 9 months 18 days

Stockholders' equity - Accumula

Stockholders' equity - Accumulated other comprehensive income (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2024 USD ($)
Accumulated other comprehensive income
Beginning balance - Accumulated other comprehensive (loss) income	$ 10,761
Ending balance - Accumulated other comprehensive (loss) income	312
Equity Adjustment from Foreign Currency Translation
Accumulated other comprehensive income
Beginning balance - Accumulated other comprehensive (loss) income	10,761
Net change	(10,449)
Ending balance - Accumulated other comprehensive (loss) income	$ 312

Stock-based compensation (Detai

Stock-based compensation (Details)			1 Months Ended
Stock-based compensation (Details)	Nov. 30, 2023	Mar. 16, 2021 shares	Nov. 30, 2023	Nov. 27, 2023 shares	Feb. 15, 2018 shares
Rollover Option Plan
Stockholders' Equity
Exchange ratio of stock option in business combination		0.6716
Number of shares authorized to issue under plan		4,490,400
2018 Plan
Stockholders' Equity
Exchange ratio of stock option in business combination			0.2000
Number of shares authorized to issue under plan					1,553,254
2023 Plan
Stockholders' Equity
Exchange ratio of stock option in business combination	0.2000
Number of shares authorized to issue under plan				6,065,682

Stock-based compensation - Stoc

Stock-based compensation - Stock-based compensation expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Stock-based compensation expense
Stock-based compensation expense	$ 4,957	$ 303	$ 16,441	$ 1,651
Restricted stock awards
Stock-based compensation expense
Stock-based compensation expense				687
Employee Stock Option
Stock-based compensation expense
Stock-based compensation expense	1,043	$ 303	2,668	$ 964
Restricted stock units
Stock-based compensation expense
Stock-based compensation expense	1,632		9,201
Performance stock units
Stock-based compensation expense
Stock-based compensation expense	$ 2,282		$ 4,572

Stock-based compensation - Time

Stock-based compensation - Time-base restricted stock awards (Details) - USD ($) $ / shares in Units, $ in Thousands			1 Months Ended	9 Months Ended
	Jan. 05, 2023	Oct. 10, 2021	Feb. 28, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2022
Time-base restricted stock awards
Stockholders' Equity
Number of shares awarded				0	704,449
Forfeited (in shares)					968,388
Unrecognized stock-based compensation expense					$ 0
Time-base restricted stock awards \| USBTC
Stockholders' Equity
Number of shares awarded	704,449	395,908
Share price of common stock issued	$ 0.39	$ 3.38				$ 0.39
Unrecognized stock-based compensation expense			$ 600
Time-base restricted stock awards awarded on January 5, 2023
Stockholders' Equity
Forfeited (in shares)			704,449
Time-base restricted stock awards awarded from previously issued awards
Stockholders' Equity
Forfeited (in shares)			263,939

Stock-based compensation - Ti_2

Stock-based compensation - Time-base restricted stock awards, assumptions used (Details) - Time-base restricted stock awards	9 Months Ended	12 Months Ended
	Sep. 30, 2021	Dec. 31, 2022
Stockholders' Equity
Expected price volatility	100%	120%
Risk-free interest rate	0.28%	4.41%
Expected term (in years)	2 years	2 years

Stock-based compensation - Ti_3

Stock-based compensation - Time-base restricted stock awards, activity (Details) - Time-base restricted stock awards - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Number of shares
Unvested as at beginning (in shares)		263,939
Granted (in shares)	0	704,449
Cancelled (in shares)		(968,388)
Weighted average grant-date fair value
Unvested as at beginning (in dollars per share)		$ 3.38
Granted (in dollars per share)		0.39
Cancelled (in dollars per share)		$ 1.20
Aggregate intrinsic value
Unvested as at beginning (in dollars)		$ 102

Stock-based compensation - St_2

Stock-based compensation - Stock options (Details) $ / shares in Units, $ in Thousands				1 Months Ended				3 Months Ended		9 Months Ended
	Nov. 30, 2023 USD ($) $ / shares shares	Nov. 29, 2023 shares	Mar. 16, 2021	Aug. 31, 2024 USD ($) director shares	Nov. 30, 2023	Feb. 28, 2023 shares	Jan. 31, 2023 USD ($) item $ / shares shares	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($) shares	Sep. 30, 2023 USD ($) $ / shares shares
Stockholders' Equity
Stock-based compensation expense \| $								$ 4,957	$ 303	$ 16,441	$ 1,651
Rollover Option Plan
Stockholders' Equity
Exchange ratio of stock option in business combination			0.6716
2018 Plan
Stockholders' Equity
Exchange ratio of stock option in business combination					0.2000
2023 Plan
Stockholders' Equity
Exchange ratio of stock option in business combination	0.2000
Employee Stock Option
Stockholders' Equity
Weighted-average fair value \| $ / shares											$ 0.31
Stock-based compensation expense \| $								$ 1,043	$ 303	$ 2,668	$ 964
Employee Stock Option \| USBTC
Stockholders' Equity
Dividend yield										0%
Number of non-employee directors \| director				3
Accelerated unvested performance-based stocks options	763,609
Accelerated compensation expense \| $				$ 0			$ 0
Number of options converted upon business combination		6,686,123
Number of options issued upon conversion in business combination	4,490,375
Number of options cancelled										70,828	56,815
Number of options modified						27,367	2,122,760
Exercise price of options modified \| $ / shares							$ 0.39
Incremental expense on modification of vested stock options \| $							$ 30
Incremental expense on modification of unvested stock options \| $							$ 100
Number of senior executives that amended the vesting requirement \| item							2
Stock-based compensation expense \| $	$ 0
Employee Stock Option \| USBTC \| Rollover Option Plan
Stockholders' Equity
Exchange ratio of stock option in business combination	0.6716
Employee Stock Option \| USBTC \| 2018 Plan
Stockholders' Equity
Exchange ratio of stock option in business combination	0.2000
Employee Stock Option \| USBTC \| 2023 Plan
Stockholders' Equity
Exchange ratio of stock option in business combination	0.2000
Employee Stock Option \| Hut 8 Mining Corp. \| 2018 Plan
Stockholders' Equity
Number of options cancelled	115,000
Employee Stock Option \| Hut 8 Mining Corp. \| 2023 Plan
Stockholders' Equity
Number of options issued	23,000
Weighted-average exercise price \| $ / shares	$ 18.41
Weighted-average fair value \| $ / shares	$ 7.02
Number of options vested	23,000
Employee Stock Option \| Chief executive officer \| USBTC
Stockholders' Equity
Accelerated unvested performance-based stocks options				425,604
Employee Stock Option \| Non-employee directors \| USBTC
Stockholders' Equity
Accelerated unvested performance-based stocks options				380,658

Stock-based compensation - St_3

Stock-based compensation - Stock options, assumptions used (Details) - Employee Stock Option - USBTC - shares	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Stockholders' Equity
Dividend yield	0%
Expected price volatility		100%
Risk-free interest rate, minimum		3.82%
Risk-free interest rate, maximum		3.90%
Number of options outstanding	1,011,998
Minimum
Stockholders' Equity
Expected term (in years)		5 years 6 months
Maximum
Stockholders' Equity
Expected term (in years)		8 years

Stock-based compensation - St_4

Stock-based compensation - Stock options, activity (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended	9 Months Ended		12 Months Ended
	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023	Dec. 31, 2022
Number of shares
Exercised (in shares)	(4,963)
USBTC
Number of shares
Exercised (in shares)	(7,391)
Employee Stock Option \| USBTC
Number of shares
Outstanding at the beginning (in shares)		4,513,375	2,122,742	2,122,742
Granted (in shares)		0	2,469,134
Exercised (in shares)		(1,235,239)	(5,172)
Forfeited or canceled (in shares)		(70,828)	(56,815)
Outstanding at the end (in shares)	4,529,889	3,207,308	4,529,889	4,513,375	2,122,742
Vested and exercisable as at end (in shares)	740,020	2,195,310	740,020
Weighted average exercise price (in dollars per share)
Outstanding at the beginning (in dollars per share)		$ 0.48	$ 2.89	$ 2.89
Granted (in dollars per share)			0.39
Exercised (in dollars per share)		0.39	0.39
Forfeited or canceled (per share)		0.39	0.39
Outstanding at the end (in dollars per share)	$ 0.39	0.52	0.39	$ 0.48	$ 2.89
Vested and exercisable as at end (in dollars per share)	$ 0.39	$ 0.58	$ 0.39
Aggregate intrinsic value and Weighted average remaining contractual life (in years)
Outstanding as at beginning (in dollars)		$ 58,150
Exercised (in dollars)		11,155	$ 2
Outstanding as at end (in dollars)	$ 34,791	37,798	34,791	$ 58,150
Vested and exercisable as at end (in dollars)	$ 5,684	$ 25,785	$ 5,684
Weighted average remaining contractual life, Outstanding (in years)		7 years 10 months 24 days	8 years 9 months 18 days	8 years 9 months 18 days	9 years
Weighted average remaining contractual life, vested and exercisable (in years)		7 years 10 months 24 days	8 years 1 month 6 days

Stock-based compensation - St_5

Stock-based compensation - Stock options, additional information (Details) - Employee Stock Option - USD ($) $ / shares in Units, $ in Millions	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Stock-based compensation
Unrecognized compensation expense	$ 0.9
Unrecognized compensation expense expected to be recognized over a weighted-average remaining vesting period	1 year 3 months 18 days
Weighted average grant-date fair value of stock options		$ 0.31

Stock-based compensation - Rest

Stock-based compensation - Restricted stock units (Details) - USD ($) $ / shares in Units, $ in Thousands	1 Months Ended	9 Months Ended
	Feb. 28, 2023	Sep. 30, 2024	Sep. 30, 2023
Stockholders' Equity
Vesting period		3 years
Restricted stock awards
Stockholders' Equity
Accelerated vesting restricted stock units	66,666
Accelerated compensation expense	$ 0
Number of units
Unvested as at beginning (in shares)		1,554,347
Granted (in shares)		871,002	0
Vested (in shares)		(987,504)
Forfeited (in shares)		(140,130)
Unvested as at end (in shares)		1,297,715
Weighted average grant-date fair value
Unvested as at beginning (in dollars per share)		$ 10.36
Granted (in dollars per share)		9.19
Vested (in dollars per share)		9.67
Forfeited (in dollars per share)		10.66
Unvested as at end (in dollars per share)		$ 10.07
Aggregate intrinsic value
Unvested as at beginning (in dollars)		$ 20,735
Vested (in dollars)		9,243
Unvested as at end (in dollars)		15,910
Unrecognized compensation expense		$ 7,200
Unrecognized compensation expense expected to be recognized over a weighted-average remaining vesting period		1 year 2 months 12 days

Stock-based compensation - Defe

Stock-based compensation - Deferred stock units (Details) - Deferred stock units - USD ($) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Number of shares
Unvested as at beginning (in shares)	91,804
Granted (in shares)		0
Redeemed	(17,850)
Unvested as at end (in shares)	73,954
Weighted average grant-date fair value
Unvested as at beginning (in dollars per share)	$ 9.73
Redeemed (in dollars per share)	9.78
Unvested as at end (in dollars per share)	$ 9.72
Aggregate intrinsic value
Unvested as at beginning (in dollars)	$ 1,225
Unvested as at end (in dollars)	907
Redeemed (in dollars)	224
Unrecognized stock-based compensation expense	$ 0

Stock-based compensation - Perf

Stock-based compensation - Performance-based restricted stock awards (Details)	9 Months Ended
	Sep. 30, 2024 shares
Stockholders' Equity
Vesting period	3 years
Performance stock units
Stockholders' Equity
Number of shares awarded	1,589,497
Vesting period	3 years
Weighted average stock price, consecutive trading days	20 days
Performance stock units \| Tranche one
Stockholders' Equity
Percentage of performance stock units eligible to vest	100%
Performance stock units \| Tranche two
Stockholders' Equity
Percentage of performance stock units eligible to vest	200%
Performance stock units \| Minimum \| Tranche one
Stockholders' Equity
Stock price performance, percentage	50%
Performance stock units \| Minimum \| Tranche two
Stockholders' Equity
Stock price performance, percentage	100%

Stock-based compensation - Pe_2

Stock-based compensation - Performance-based restricted stock awards, assumptions used (Details) - Performance stock units	9 Months Ended
	Sep. 30, 2024
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Risk-free interest rate, minimum	3.74%
Risk-free interest rate, maximum	4.84%
Minimum
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Expected price volatility	113.80%
Expected term (in years)	2 years 10 months 24 days
Maximum
Share-Based Compensation Arrangement by Share-Based Payment Award [Line Items]
Expected price volatility	115%
Expected term (in years)	3 years

Stock-based compensation - Pe_3

Stock-based compensation - Performance-based restricted stock awards, activity (Details) - Performance stock units $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares
Number of shares
Granted (in shares) \| shares	1,589,497
Unvested as at end (in shares) \| shares	1,589,497
Weighted average grant-date fair value
Granted (in dollars per share) \| $ / shares	$ 17.32
Unvested as at end (in dollars per share) \| $ / shares	$ 17.32
Aggregate intrinsic value
Unvested as at beginning (in dollars)
Unvested as at end (in dollars)	38,974
Unrecognized stock-based compensation expense	$ 23,000
Unrecognized compensation expense to be recognized over a weighted-average vesting period from grant date	3 years
Unrecognized compensation expense expected to be recognized over a weighted-average remaining vesting period	2 years 6 months

Stock-based compensation - Subs

Stock-based compensation - Subsequent awards (Details) - $ / shares	1 Months Ended	9 Months Ended
	Nov. 30, 2024	Sep. 30, 2024
Stockholders' Equity
Vesting period		3 years
Service-based restricted stock units \| Subsequent Event
Stockholders' Equity
Number of shares awarded	61,498
Grant date fair value	$ 24.59
Vesting period	3 years
Performance stock units
Stockholders' Equity
Number of shares awarded		1,589,497
Grant date fair value		$ 17.32
Vesting period		3 years
Performance stock units \| Subsequent Event
Stockholders' Equity
Number of shares awarded	13,112

Net income (loss) per share o_3

Net income (loss) per share of common stock - Potentially dilutive securities that were not included in the computation of diluted net income (loss) per share of common stock as their inclusion would have been anti-dilutive (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded in computation of Diluted Loss per Share (in shares)	9,363,108	4,529,889	24,895	250,528
Restricted stock awards
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded in computation of Diluted Loss per Share (in shares)				239,195
Employee Stock Option
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded in computation of Diluted Loss per Share (in shares)	23,000	4,529,889	23,000	11,333
Warrants
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded in computation of Diluted Loss per Share (in shares)	1,895		1,895
Convertible note and separated embedded derivative from convertible note
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded in computation of Diluted Loss per Share (in shares)	9,338,213
Market Based Performance Stock Units
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items]
Potentially dilutive securities excluded in computation of Diluted Loss per Share (in shares)	37,065		37,065

Net income (loss) per share o_4

Net income (loss) per share of common stock - Reconciliation of the denominator of the basic and diluted net income (loss) per share of common stock computations (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended						9 Months Ended
	Sep. 30, 2024	Jun. 30, 2024	Mar. 31, 2024	Sep. 30, 2023	Jun. 30, 2023	Mar. 31, 2023	Sep. 30, 2024	Sep. 30, 2023
Numerator:
Net income (loss) attributable to Hut 8 Corp.	$ 647	$ (71,866)	$ 250,876	$ (4,374)	$ (1,686)	$ 17,328	$ 179,657	$ 11,268
Less: loss from discontinued operations (net of income taxes of $nil, $nil, $nil, $nil, respectively)							9,364
Net income (loss) from continuing operations attributable to Hut 8 Corp. - basic	647			(4,374)			189,021	11,268
Effect of convertible note and separated embedded derivative from convertible note, net of tax							2,336
Net income from continuing operations attributable to Hut 8 Corp.	$ 647			$ (4,374)			$ 191,357	$ 11,268
Denominator:
Weighted average shares of common stock outstanding - basic (in shares)	91,182,107			43,197,355			90,178,607	42,954,301
Dilutive impact of outstanding equity awards (in shares)	5,225,271						4,630,570	1,248,914
Dilutive impact of convertible note (in shares)							3,174,882
Weighted average shares of common stock outstanding - diluted (in shares)	96,407,378			43,197,355			97,984,059	44,203,215
Net income (loss) per share of common stock:
Basic from continuing operations attributable to Hut 8 Corp. (in $ per share)	$ 0.01			$ (0.10)			$ 2.10	$ 0.26
Basic from discontinued operations attributable to Hut 8 Corp. (in $ per share)							(0.10)
Diluted from continuing operations attributable to Hut 8 Corp. (in $ per share)	$ 0.01			$ (0.10)			1.95	$ 0.25
Diluted from discontinued operations attributable to Hut 8 Corp. (in $ per share)							$ (0.10)
Income taxes of discontinued operations	$ 0			$ 0			$ 0	$ 0

Concentrations (Details)

Concentrations (Details) - item	9 Months Ended	12 Months Ended
Concentrations (Details) - item	Sep. 30, 2024	Dec. 31, 2023
Concentrations
Number of mining pool operators operated in the period	2	2
Product \| Revenue
Concentrations
Percentage of mining revenue	100%	100%

Subsequent events (Details)

Subsequent events (Details) - Subsequent Event $ in Millions	1 Months Ended
	Oct. 31, 2024 USD ($)	Nov. 06, 2024 item $ / item
Subsequent events
Purchase of BITMAIN Antiminer \| item		31,145
Tera hash \| $ / item		15
Call options
Subsequent events
Proceeds to generate cash flow portion of its digital assets \| $	$ 2.9