Bitcoin mining pool Poolin has filed for Chapter 11 bankruptcy protection, the company confirmed this week. As part of a court-approved creditor recovery program, Poolin is initiating a $52 million sale of its two mining sites in West Texas. The move marks a significant restructuring for one of the industry's established mining pools.
Why Chapter 11 now
Poolin officially entered Chapter 11 proceedings in a Delaware bankruptcy court. The filing allows the company to reorganize its debts while continuing operations. The immediate priority is unloading the two Texas facilities, which together carry a $52 million price tag. Proceeds from the sale will go directly to creditors under the recovery plan.
The West Texas sites
Both mining sites are located in West Texas, a region that's become a hub for crypto mining due to cheap power and favorable regulations. Poolin didn't disclose the exact hash rate or capacity of the facilities, but the $52 million valuation suggests they're substantial operations. The sale is expected to close within 60 days, pending court approval.
What creditors can expect
The Chapter 11 filing lists Poolin's major creditors, though the exact amounts owed weren't specified in the initial filing. The company's recovery program aims to repay a portion of those debts through asset sales and operational restructuring. Creditors will vote on the final plan in the coming months.
Next steps
A bankruptcy court hearing is scheduled for early August to approve the bidding process for the Texas sites. If the sale goes through as planned, Poolin will continue to operate its mining pool business while under court supervision. The company hasn't said whether additional asset sales are on the table.
