Poolin Files for Chapter 11 Bankruptcy Amid Crypto Market Downturn

Poolin, the former top Bitcoin mining pool, has filed for Chapter 11 bankruptcy in the United States. The company's U.S. affiliates are also seeking protection under the same chapter. This move aims to auction off two mining sites in West Texas, with an opening bid of $52 million from Thor CALAP LLC.

The funds raised from this sale will be used to repay creditors, including 11,700 wallet customers who are owed a total of $163.7 million. Poolin struggled after facing significant challenges, including China's 2021 mining ban and the 2022 crypto market downturn, which severely impacted its operations.

The company was once one of the largest Bitcoin mining pools in the world but has faced difficulties due to rising energy costs and other factors. The bankruptcy filing is seen as a strategic move by Poolin to recover from its financial struggles and restructure its business.