Singapore-based Poolin Technology filed for Chapter 11 bankruptcy protection on July 22, 2026, in the U.S. Bankruptcy Court for the District of New Jersey, listing total debt of approximately $173 million against assets valued between $1 million and $10 million. The filing stems from a September 2022 liquidity crisis that forced the Bitcoin mining pool operator to halt customer withdrawals and issue $163.7 million in unsecured promissory notes to approximately 11,700 wallet holders. The bankruptcy reflects broader strains in the cryptocurrency mining industry following China's May 2021 mining ban and the 2022 market downturn that triggered margin calls and collateral liquidations.
Poolin Technology Lists $173M Debt and 11,700 Affected Wallet Holders
Poolin Technology and its U.S. affiliates, including Lonestar Dream and Lonestar Taproot, filed voluntary Chapter 11 petitions on July 22, 2026. Court records show the company's estimated liabilities range between $100 million and $500 million, while estimated assets fall between $1 million and $10 million. Total debt stands at roughly $173 million, with approximately $163.7 million in unsecured promissory notes issued to wallet customers after the company suspended withdrawals in September 2022. Around 11,700 wallet holders with balances exceeding $100 remain affected by the frozen funds.
Thor CALAP LLC Submits $52M Floor Bid for West Texas Mining Facilities
As part of the court-supervised liquidation, Poolin has reached stalking-horse asset purchase agreements totaling $52 million with Thor CALAP LLC for its two West Texas mining infrastructure facilities. Under the proposed transaction, the Pyote site is valued at $15 million, while the Tarbush facility's power rights and equipment are valued at $37 million. The bidding process will remain subject to court approval and higher or better offers. Poolin noted in court filings that growing demand for artificial intelligence data infrastructure could attract additional interest in the sites' power capacity and hardware.
China's 2021 Mining Ban and 2022 Market Downturn Triggered Financial Distress
Poolin's financial distress dates back to China's May 2021 ban on cryptocurrency mining, which disrupted the company's legacy operations. Subsequent attempts to pivot toward mining infrastructure in West Texas were hindered by lower-than-expected power allocations, equipment overorders, and $8.8 million in hardware sales losses between fiscal years 2023 and 2025. In mid-2022, sharp declines in bitcoin prices triggered margin calls from lenders, forcing Poolin Wallet to pledge digital assets as collateral. In September 2022, the company declared a liquidity crisis and halted withdrawals, replacing customer deposits with IOUs. A further crypto price drop in late 2022 led to collateral liquidations by lenders. Poolin permanently halted all mining and hosting operations on July 10, 2026, retaining only a minimal workforce to secure equipment and facilitate the asset sale process. The company stated it has no plans to resume operations and will use proceeds from the bankruptcy sale to satisfy creditor claims under a liquidating plan.
FAQ
What did Poolin Technology file on July 22, 2026?
Poolin Technology filed for Chapter 11 bankruptcy protection on July 22, 2026, in the U.S. Bankruptcy Court for the District of New Jersey, listing approximately $173 million in total debt.
Why did Poolin Technology halt customer withdrawals in September 2022?
In September 2022, Poolin Technology declared a liquidity crisis triggered by mid-2022 bitcoin price declines and margin calls from lenders, forcing the company to halt withdrawals and issue $163.7 million in unsecured promissory notes to approximately 11,700 wallet holders.
How much is Thor CALAP LLC offering for Poolin's West Texas mining facilities?
Thor CALAP LLC has submitted a $52 million floor bid for Poolin's two West Texas mining facilities: $15 million for the Pyote site and $37 million for the Tarbush facility's power rights and equipment.
