Poolin Files Bankruptcy, Sells Texas Mining Assets for $52 Million
Singapore-based Poolin, once the world's largest Bitcoin mining pool, has filed for Chapter 11 bankruptcy in the US Bankruptcy Court for the District of New Jersey.
The company will sell its mining assets in Texas as part of the bankruptcy process. The combined $52 million offer from a bidder serves as a stalking horse bid to maximize recoveries for creditors and requires court approval.
Poolin's bankruptcy is attributed to the fallout from China's 2021 mining ban and the 2022 crypto crisis, which triggered a liquidity crunch. In September 2022, Poolin Wallet halted withdrawals and issued IOU tokens to approximately 11,700 users with balances over $100.
The company has effectively ceased operations since then. The sale of its Texas assets is seen as an opportunity for AI data center operators to access electricity and energy infrastructure, which has become increasingly valuable in the industry.