Bitcoin Mining Pool Poo Poolin Files Bankruptcy with $173M Debt
Poo Poolin, once one of the world's largest Bitcoin mining pool companies, has filed for Chapter 11 bankruptcy with debts totaling nearly $173 million. The Singapore-based company and its U.S. affiliates, Lonestar Dream and Lonestar Taproot, made the move after customers' crypto funds were blocked since 2022.
The majority of Poolin's debt - around $163 million - stems from unsecured promissory notes issued to wallet customers following the block on withdrawals in 2022. This significant amount dwarfs the minimum price set for auction, which is $52 million for the two Texas sites being sold off.
Poo Poolin produced 28 non-disclosure agreements and seven preliminary offers, but it remains to be seen if the bidding will increase beyond the current offer of around $30% of the company's stated obligations. The sale aims to dispose of the remaining mining assets in the U.S., with potential bidders showing interest.