Bitcoin Mining Pool Poolin Files for Chapter 11 Bankruptcy in New Jersey
Key Takeaways
- •Poolin and two US affiliates filed for Chapter 11 bankruptcy in New Jersey with estimated liabilities of $100 million to $500 million and assets of only $1 million to $10 million.
- •The company is seeking court approval to sell two West Texas mining sites to Thor CALAP LLC through a proposed $52 million stalking-horse bid with a September 8 bid deadline.
- •Poolin was the world's largest Bitcoin mining pool in 2019 but has since fallen to 17th place with just a 0.2% market share after suspending wallet withdrawals in September 2022.
- •Bitcoin mining operations face mounting financial pressures from rising electricity costs and the April 2024 halving, which reduced block subsidies from 6.25 BTC to 3.125 BTC per block.
- •Several mining companies including Bitfarms, Hut 8, IREN, and MARA Holdings are diversifying into AI infrastructure as an alternative revenue stream amid industry challenges.
Singapore-based Bitcoin mining pool Poolin, together with two of its US affiliates, filed for Chapter 11 bankruptcy protection in a New Jersey court on Wednesday.
According to court filings, Poolin estimated its liabilities at between $100 million and $500 million. The company reported assets of $1 million to $10 million and listed 10,001 to 25,000 creditors.
Poolin and its affiliates are also seeking court approval to sell two West Texas mining sites to Thor CALAP LLC through a proposed $52 million stalking-horse bid. The deal would include $37 million for the Tarbush assets, which encompasses assumed liabilities, and $15 million for the Pyote site, covering power rights, equipment, and all other assets tied to the mining facilities. A stalking-horse bid sets a minimum floor price in a bankruptcy auction, allowing higher bids to emerge while guaranteeing a baseline sale.
The proposed sale would proceed under a court-supervised auction process, with a bid deadline set for September 8 under the proposed bidding procedures.
Poolin was once the world's largest Bitcoin mining pool in 2019. The company began experiencing liquidity problems in September 2022, when it suspended withdrawals from its pool wallet service, citing industry-wide challenges. It has since declined significantly and now ranks as the 17th largest mining pool operator by hashrate, holding just a 0.2% market share, according to Hashrate Index.
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Bitcoin Miners Increasingly Turn to Restructuring and AI
Bitcoin mining operations are confronting mounting financial pressures driven by rising electricity costs and the April 2024 Bitcoin halving, which reduced block subsidies from 6.25 BTC to 3.125 BTC per block. These challenges have forced some operations to shut down entirely while others pursue alternative revenue streams.
In February, NFN8 Group and two of its affiliates filed for Chapter 11 bankruptcy in the Western District of Texas.
Other miners have sought to diversify into AI infrastructure. In November 2025, Bitfarms initiated a complete wind-down of its Bitcoin mining operations to pivot toward AI and high-performance computing data centers.
On Monday, Bitcoin mining companies Hut 8 and IREN announced major AI infrastructure deals. Hut 8 disclosed a 15-year, $9.8 billion lease for its AI data center campus, while IREN revealed $2.8 billion in cloud services contracts with AI developers. Earlier in July, MARA Holdings announced plans to acquire a Texas site with up to 2 gigawatts of capacity to expand its AI and digital infrastructure business.
Wealth management firm Bernstein stated that partnerships with third-party providers, including Bitcoin miners, will be necessary for AI companies seeking to address the computing power constraints at AI data centers.
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