Crypto mining firm Poolin Technology PTE. Ltd. and its U.S. affiliates Lonestar Dream Inc. and Lonestar Taproot LLC filed for Chapter 11 bankruptcy protection on July 22 in the U.S. Bankruptcy Court for the District of New Jersey. The filing includes a proposed $52 million stalking-horse bid from Thor CALAP LLC for Poolin’s Pyote and Tarbush mining sites in West Texas. Total prepetition liabilities come to $173.1 million, with $163.7 million of that owed to roughly 11,700 Poolin Wallet users — funds that have been frozen since 2022.
Wind-down, not a turnaround
The bankruptcy process is an orderly wind-down and asset liquidation, not a restructuring aimed at keeping the company alive. That distinction matters for creditors: there’s no plan to restart mining operations or rebuild the business. The court will oversee the sale of assets, and the company will eventually dissolve.
The $52 million floor
Thor CALAP LLC’s stalking-horse bid sets a baseline price for the Texas mining sites. In a Chapter 11 sale, a stalking-horse creates a starting bid that other parties can beat. If no higher offer emerges, Thor gets the assets at $52 million. If a better bid comes in, Thor typically gets a breakup fee. Either way, the floor is set — and it’s a long way from covering total liabilities of $173.1 million.
What wallet users are up against
The biggest creditor group by far is the 11,700 Poolin Wallet users. Their $163.7 million in unsecured IOUs dates back to the 2022 crypto crisis when Poolin froze withdrawals. In a liquidation, unsecured creditors are last in line, after secured creditors and administrative costs. Given the gap between the $52 million asset floor and the $173 million liability mountain, recovery for these users is likely to be slim.
Mining industry debt still lingers
Poolin’s filing is a reminder that the debt hangover from the 2022 downturn hasn’t fully cleared. Bitcoin mining firms took on heavy leverage during the bull run, and when prices fell, many got stuck with expensive power contracts and equipment payments. User fund freezes became a distress signal. This case shows that even years later, the cleanup continues — and not everyone gets made whole.
The next step: a first-day hearing in the New Jersey bankruptcy court, likely within days. The stalking-horse bid sets an auction timeline. For the 11,700 wallet users, the wait for answers just got a little longer.
