Bitcoin Mining Pool Poolin Seeks Chapter 11 Protection

Singapore-based Bitcoin mining pool operator Poolin and two US affiliates have filed for Chapter 11 bankruptcy in a New Jersey court, according to a court filing accessible via PACER Monitor. The move marks a further sign of stress inside parts of the mining sector as margins are squeezed by electricity costs and infrastructure expenses.

In the filing, Poolin Technology PTE Ltd estimates liabilities in a range of $100 million to $500 million, assets of $1 million to $10 million, and 10,001 to 25,000 creditors. The company also asked the court for permission to sell two West Texas mining sites to Thor CALAP LLC through a proposed stalking-horse bid.

Key takeaways

• Poolin and US affiliates have entered Chapter 11 in New Jersey, citing a wide gap between estimated liabilities and assets.


• Poolin is seeking approval to sell its Tarbush and Pyote West Texas mining facilities for a combined $52 million under a stalking-horse process.


• A court-supervised auction is planned, with a bid deadline of Sept. 8 under the proposed procedures.


• The case reflects broader industry pressure, with other miners restructuring or pivoting toward AI and high-performance computing.

Bankruptcy filing and proposed West Texas asset sale

Poolin’s bankruptcy petition is tied to court-supervised efforts to reorganize and monetize remaining assets. The company’s filing includes estimates of $100 million to $500 million in liabilities against assets estimated between $1 million and $10 million, alongside a creditor count in the 10,001 to 25,000 range.

In addition to seeking Chapter 11 protection, Poolin requested permission to sell two mining sites in West Texas to Thor CALAP LLC. The proposed stalking-horse bid values the deal at $52 million, split into:

• $37 million for the Tarbush assets, including assumed liabilities.


• $15 million for the Pyote site, including power rights, equipment, and other assets related to the mining facilities.

The filing further states that the sale would be subject to a court-supervised auction, with a Sept. 8 bid deadline under the proposed bidding procedures.

Poolin’s market position has shifted

Poolin’s bankruptcy comes at a time when its relative standing in the mining industry has declined. According to Hashrate Index, Poolin is currently the 17th largest Bitcoin mining pool operator by hashrate, with about 0.2% market share.

The filing’s outcome is therefore not just a case-specific story: it underscores how the competitive landscape has evolved since Poolin’s peak. The company was once reported as the world’s largest Bitcoin mining pool in 2019, but its hashrate share has since fallen as other operators scaled and diversified.

Industry pressure: restructuring and an AI pivot

Poolin’s bankruptcy fits a broader pattern in which Bitcoin miners increasingly look for restructuring pathways—or new lines of business—to manage operating constraints. The source reporting notes that financial pressure has been driven in part by rising electricity costs, with some mining operations shutting down while others seek additional revenue.

Earlier examples highlighted in the broader reporting include a Chapter 11 filing by NFN8 Group and two affiliates in February, in which those entities sought bankruptcy protection in the Western District of Texas. Other miners have pursued different strategies, including a shift toward AI and high-performance computing infrastructure.

For instance, the reporting notes that in November 2025, Bitfarms initiated a complete wind-down of its Bitcoin mining operations to pivot toward AI and high-performance computing data centers. More recently, it cites major AI-related infrastructure announcements from publicly traded miners:

• Hut 8 announced a 15-year lease worth $9.8 billion for an AI data center campus.


• IREN disclosed $2.8 billion in cloud services contracts with AI developers.

The same reporting also references MARA Holdings plans to acquire a Texas site with up to 2 gigawatts of capacity to expand AI and digital infrastructure ambitions.

In its coverage, the source further points to comments attributed to Bernstein, stating that AI companies may need deals with third-party providers—such as Bitcoin miners—to overcome computing power limits of AI data centers.

Why this Chapter 11 case matters to the market

For investors and industry participants, Poolin’s filing is notable not only because of what happens inside a bankruptcy court, but because it may influence how mining supply and hosting capacity evolve during a period when many operators are recalibrating their strategies.

The proposed sale of specific West Texas mining sites—along with included power rights and equipment—also highlights where value is being concentrated. In practical terms, power access and deployable infrastructure are often the decisive factors in mining economics, particularly when energy prices and equipment costs challenge profitability.

Meanwhile, the broader shift toward AI infrastructure suggests a deeper restructuring of demand for compute. While Bitcoin mining is tied to network incentives, AI data center expansion depends on long-term capacity planning. That difference helps explain why some miners are attempting to convert physical assets and energy contracts into a different revenue model—yet Poolin’s bankruptcy indicates that not every operator can make that transition fast enough or on terms favorable to creditors.

One watchpoint is the timing and outcome of the court-supervised auction. The filing proposes a Sept. 8 bid deadline, which could determine whether competing bids emerge beyond the stalking-horse valuation or whether the Thor CALAP LLC offer becomes the baseline for a broader asset disposition.

Readers should monitor the bankruptcy docket for updates on the auction process, any competing bids, and the ultimate disposition of the Tarbush and Pyote sites. Just as importantly, the case may provide another data point on how quickly—if at all—mining operators can reposition energy- and infrastructure-heavy businesses toward AI-related compute demand.

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