Poolin Files for Bankruptcy Amid Bitcoin Mining Crisis

Singapore-based Poolin, once the world's largest Bitcoin mining pool in 2019, has initiated Chapter 11 bankruptcy proceedings in the United States.

The company, along with its subsidiaries Lonestar Dream Inc and Lonestar Taproot LLC, filed a petition in the bankruptcy court for the District of New Jersey.

Pollin plans to liquidate its mining business in the US and has put up its West Texas assets for sale with a starting price of $52 million. This bid serves as a stalking horse, allowing for maximum payments to creditors.

The company's bankruptcy is attributed to the consequences of China's mining ban and the 2022 cryptocurrency crisis, which led to a sharp market decline and liquidity crisis.