Poolin Technology, once one of the world’s largest Bitcoin mining pools, has filed for Chapter 11 bankruptcy protection in the United States after years of liquidity pressure, losses and an unsuccessful expansion effort.

The Singapore-based company and its U.S. subsidiaries sought protection in the U.S. Bankruptcy Court for the District of New Jersey. According to court and restructuring documents cited in the filing, the process is focused mainly on selling remaining mining assets rather than continuing ordinary operations. Chapter 11 allows a company to operate under court supervision while pursuing a restructuring or asset sale, with creditor recoveries determined through the bankruptcy process.

Texas Mining Assets Set for Stalking-Horse Sale

Poolin’s proposed transaction covers two mining properties in West Texas. Thor CALAP LLC is serving as the stalking-horse bidder, with an initial offer valuing the assets at $52 million. The bid establishes a floor price for the assets, although higher offers may emerge during the bankruptcy process.

Operations at both facilities reportedly stopped earlier this month as Poolin prepared to wind down parts of its business. The company’s bankruptcy paperwork lists liabilities in the range of $100 million to $500 million, while listed assets are substantially lower. The filing reportedly involves between 10,001 and 25,000 creditors, underscoring the scale of the company’s financial obligations.

Customer IOUs Dominate Poolin’s Debt Burden

A major portion of Poolin’s debt stems from its wallet operations rather than its mining business. In September 2022, during a severe downturn in the crypto market, the company paused wallet withdrawals, citing liquidity issues that followed the broader market crash.

Instead of returning customer deposits at the time, Poolin issued unsecured IOUs to users whose funds had been locked. Those customer-related obligations now account for about $163.7 million of the company’s estimated $173.1 million in prepetition debt, according to restructuring documents. As a result, customer claims are expected to be central to the bankruptcy proceedings.

The source cited court materials including Poolin-related filings at and

From Major Mining Pool to Bankruptcy Court

Founded in 2017 by former Bitmain executives, Poolin grew rapidly alongside the expansion of industrial Bitcoin mining. At its peak, the company accounted for approximately 20% of Bitcoin’s global hashrate and became one of the most influential mining pools during the previous cycle of Bitcoin growth.

The business environment changed sharply in the following years. China’s ban on crypto mining forced major operators to relocate overseas, while an extended bear market, declining mining profitability and rising infrastructure costs put additional pressure on mining companies. Poolin’s case highlights how mining-pool operations, customer wallet services and capital-intensive infrastructure projects can create different creditor groups when a crypto business enters insolvency.

Poolin also committed significant capital to mining operations in Texas, but the expansion did not proceed as planned. The company expected materially higher allocations than it ultimately received, leaving it with excess mining equipment orders. It later sold assets at reduced prices while the Texas operations continued to lose money and were eventually closed.

The Chapter 11 case now places Poolin’s remaining assets under court supervision as the company seeks to complete a sale and address creditor claims, including the large balance of customer IOUs issued after the 2022 withdrawal freeze.