Poolin, once among the world’s largest bitcoin mining pools, has filed for Chapter 11 bankruptcy and lined up a $52 million opening bid for its West Texas mining sites. The Singapore parent reported roughly $173.1 million in obligations, most of it owed to about 11,700 wallet customers frozen out since 2022.
Poolin Technology Pte. Ltd. filed for Chapter 11 bankruptcy protection in the U.S. Bankruptcy Court for the District of New Jersey, after its Texas bitcoin mining and hosting operations ceased on July 10. Rather than reorganize, the company plans to sell substantially all of its remaining U.S. mining assets.
The debtors signed asset purchase agreements with Thor CALAP LLC as the stalking horse bidder, valuing the portfolio at $52 million — $15 million for the Pyote property and related power rights and $37 million for the Tarbush site’s power rights and equipment. That bid sets the auction floor, leaving the assets open to higher offers and court approval, and the two properties may be sold separately.
The debt behind the filing
Chief Restructuring Officer Michael DuFrayne placed the prepetition obligations at approximately $173.1 million. About $163.7 million of that consists of unsecured IOUs issued to Poolin Wallet customers after the company suspended withdrawals during the 2022 cryptocurrency market downturn. Around 11,700 retail users held frozen IOUs exceeding $100 each when the suspension began.
From top mining pool to liquidation
Founded in China in 2017, Poolin by September 2019 ranked among the world’s largest cryptocurrency mining pool providers. The company also built Poolin Wallet, letting users borrow the stablecoin USDT against crypto collateral before adding interest-bearing deposits.
After China prohibited bitcoin mining in 2021, the firm’s push to rebuild around U.S. mining ran into trouble. It had borrowed roughly $213 million against crypto then valued at approximately $355.8 million, and the 2022 crash triggered collateral liquidations that left it unable to service debt. A proposed $49 million acquisition by China Green Agriculture, announced in late 2023, never closed.
The proposed sale followed a three-month effort that contacted more than 335 potential buyers, producing 28 nondisclosure agreements and seven letters of intent. The Singapore parent now retains approximately $1.2 million in a New Jersey bank account, an office lease, and an intercompany claim.
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