Hut 8 switches CEOs as it eyes ‘new strategic direction’ after merger

Just two months after the merger between Hut 8 and US Bitcoin Corp, the combined bitcoin miner has named a new CEO.

Former Hut 8 president Asher Genoot — a member of the company’s board of directors — is now its new chief executive, the firm said Wednesday. He replaces Jaime Leverton, who departs the firm after working as its CEO since December 2020.

A change of leadership was “appropriate” as Hut 8 seeks to go in “a new strategic direction,” the company said in a news release.

“The merger of equals of Hut 8 and US Bitcoin Corp was a transformational moment for both companies,” Hut 8 board chairman Bill Tai added in a statement. “Hut 8 is now at a pivotal inflection point, and we believe that Asher is uniquely qualified to accelerate our path to market leadership.”

Read more: Merge between Hut 8, USBTC expected to close this week

The move appears to be unexpected, as the firm noted Leverton would remain as CEO of the combined company in a Nov. 30 news release, upon the deal’s closing.

A Hut 8 spokesperson did not immediately return a request for further comment.

“It is with a heart full of gratitude and love to the incredible team, partners and friends that have made the last three years such an incredible ride,” she wrote in a LinkedIn post. “I can’t wait to see more great things from Hut 8 in this next chapter!”

A new post-merge strategy

The deal between Hut 8 and US Bitcoin Corp was first announced in February. The combination nine months later helped both firms diversify their geographic presence, with US BTC’s operations in New York, Nebraska and Texas complementing Hut 8’s Canadian footprint.

Hut 8 was also set to add business lines after the deal, with Leverton touting US Bitcoin Corp’s fiat-based revenue streams from its hosting and managed infrastructure operations.

Hut 8 Chief Strategy Officer Mike Ho said during a December call with analysts that the company would look to bolster its standing in nascent markets such as artificial intelligence infrastructure and computing.

Read more: New-look Hut 8 eyes AI-related opportunities after merger

Genoot was a co-founder of US Bitcoin Corp and previously served as its chief operating officer, and then president, before the company merged with Hut 8.

The new CEO said in a statement that while Leverton “built a strong foundation” for Hut 8, he would work with the company’s board of directors “to define a new strategy for the company.”

Hut 8 had a self-mining deployed hash rate of 7.2 exahashes per second (EH/s), as of Jan. 31 — though that number could be affected as it gets set to depart two mining sites. The company produced 339 bitcoin (BTC) last month and holds 9,116 bitcoins on its balance sheet.

The CEO change comes just days after Hut 8 Chief Commercial Officer Matt Prusak left his post on Jan. 31 to take over the mining company being spun out of the Celsius bankruptcy.