{"investigation":{"slug":"poolin-technology","entity_name":"Poolin Technology","trust_score":8,"severity_base":null,"score_modifier":0,"confidence":0.85,"status":"published","content_type":"investigation","summary":"Poolin Technology Pte. Ltd., once the world's largest Bitcoin mining pool, halted all mining and hosting operations on July 10, 2026 and filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the District of New Jersey on July 22, 2026, with roughly $173 million in total obligations against less than $10 million in assets. The largest liability, $163.7 million owed to approximately 11,700 wallet customers as unpaid \"IOU\" tokens issued after Poolin froze withdrawals in September 2022, is projected to recover only about 32 cents on the dollar through a court-supervised sale of the company's two remaining Texas mining sites, a process still underway as of this writing.","sections":[{"content":"Poolin Technology Pte. Ltd. (Singapore) and two U.S. affiliates, Lonestar Dream Inc. and Lonestar Taproot LLC, filed voluntary Chapter 11 petitions on July 22, 2026 in the U.S. Bankruptcy Court for the District of New Jersey, jointly administered under lead case number 26-18325 before Judge Eamonn J. O'Hagan. The filings list estimated liabilities of $100 million to $500 million against only $1 million to $10 million in assets, with total prepetition obligations reported at approximately $173.1 million. The petitions estimate between 10,001 and 25,000 creditors. Poolin's Singapore parent reportedly held only about $1.2 million in its bank account at filing, and the U.S. entities had accumulated roughly $45.9 million in cumulative losses. The debtors are represented by Archer & Greiner, P.C.","heading":"Bankruptcy Filing and Financial Collapse","sources":[{"url":"https://www.coindesk.com/markets/2026/07/24/poolin-was-bitcoin-s-biggest-mining-pool-and-now-it-s-filing-for-bankruptcy","name":"Poolin was Bitcoin's biggest mining pool and now it's filing for bankruptcy - CoinDesk","type":"news_article","credibility":2},{"url":"https://news.bitcoin.com/bitcoin-miner-poolin-technology-files-chapter-11-with-173m-debt-as-52m-asset-sale-moves-forward/","name":"Bitcoin Miner Poolin Technology Files Chapter 11 With $173M Debt as $52M Asset Sale Moves Forward - Bitcoin.com News","type":"news_article","credibility":2},{"url":"https://www.theblock.co/post/409587/former-bitcoin-miner-poolin-files-chapter-11-sets-52-million-floor-bid-for-texas-operations","name":"Former bitcoin miner Poolin files Chapter 11, sets $52 million floor bid for Texas operations - The Block","type":"news_article","credibility":2}],"severity":"critical"},{"content":"In September 2022, amid a broader crypto market downturn and liquidity pressures, Poolin froze withdrawals for Poolin Wallet and Pool Account users, citing liquidity issues. Rather than returning customer funds, Poolin issued six IOU tokens (IOUBTC, IOUETH, IOUUSDT, IOULTC, IOUZEC, and IOUDoge) intended to represent user balances 1:1 pending resolution. Those debts were never repaid. According to a declaration by Poolin's Chief Restructuring Officer Michael DuFrayne filed in the bankruptcy case, approximately 11,700 wallet holders (each holding balances over $100) are now owed a combined $163.7 million, constituting the single largest liability in the bankruptcy. Wallet customers are projected to recover roughly 32 cents on the dollar, and that recovery estimate is expected to shrink further once administrative and priority claims are paid ahead of unsecured creditors.","heading":"2022 Withdrawal Freeze and Unpaid IOU Tokens Owed to Customers","sources":[{"url":"https://www.coindesk.com/business/2022/09/13/bitcoin-miner-poolin-to-issue-iou-tokens-after-suspending-withdrawals","name":"Wallet Service of Top Bitcoin Mining Pool Poolin Will Issue 'IOU' Tokens After Suspending Withdrawals - CoinDesk","type":"news_article","credibility":2},{"url":"https://cryptoslate.com/poolin-owes-wallet-users-163-7m-and-its-52m-texas-sale-can-still-unravel-next-week/","name":"Poolin owes wallet users $163.7M, and its $52M Texas sale can still unravel next week - CryptoSlate","type":"news_article","credibility":2},{"url":"https://decrypt.co/374289/poolin-bitcoin-biggest-mining-pools-files-bankruptcy","name":"Poolin, Once One of Bitcoin's Biggest Mining Pools, Files for Bankruptcy - Decrypt","type":"news_article","credibility":2}],"severity":"critical"},{"content":"Poolin's remaining Texas mining and hosting operations, run through subsidiary Lonestar Dream, permanently ceased at the Pyote and Tarbush sites in West Texas on July 10, 2026 — roughly two weeks before the Chapter 11 filing. The company stated it has no plans to resume operations. This marked a dramatic decline for a company that, at its 2019 peak, controlled an estimated 18-20% of Bitcoin's global network hashrate, making it briefly the world's largest mining pool. By the time of the bankruptcy filing, Poolin's effective hashrate share had fallen to near zero for several years.","heading":"Permanent Halt of Mining Operations","sources":[{"url":"https://news.bitcoin.com/bitcoin-miner-poolin-technology-files-chapter-11-with-173m-debt-as-52m-asset-sale-moves-forward/","name":"Bitcoin Miner Poolin Technology Files Chapter 11 With $173M Debt as $52M Asset Sale Moves Forward - Bitcoin.com News","type":"news_article","credibility":2},{"url":"https://www.coindesk.com/markets/2026/07/24/poolin-was-bitcoin-s-biggest-mining-pool-and-now-it-s-filing-for-bankruptcy","name":"Poolin was Bitcoin's biggest mining pool and now it's filing for bankruptcy - CoinDesk","type":"news_article","credibility":2}],"severity":"high"},{"content":"As part of the bankruptcy, Poolin sought court approval to sell its two West Texas mining sites through a stalking-horse bid from Thor CALAP LLC totaling $52 million ($37 million for the Tarbush power rights and equipment, $15 million for the Pyote property and equipment). The marketing process reportedly contacted 335 potential buyers, resulted in 28 signed NDAs, and produced 7 letters of intent over roughly three months preceding the filing. Non-binding indications of interest were due August 27, 2026; a Section 341 creditors meeting was held August 28, 2026; qualified competing bids were due September 8, 2026; and an auction was scheduled for September 10, 2026 at 10:00 a.m. Eastern if competing bids emerged. A sale-approval hearing before Judge O'Hagan was set for September 18, 2026. The deadline for creditors to formally object to the proposed sale was set at 5:00 p.m. Eastern on September 16, 2026. As of this report, independent reporting confirming the outcome of the September 10 auction and the September 18 sale hearing was not yet available; the $52 million floor, even if unimproved, is expected to cover only a fraction of the $163.7 million owed to wallet customers alone, before administrative costs.","heading":"Ongoing Asset Sale: Stalking-Horse Bid, Auction, and Sale Hearing","sources":[{"url":"https://www.cryptotimes.io/2026/08/21/poolin-auction-set-for-september-10-as-objection-deadline-bars-late-creditors/","name":"Poolin Auction Set for September 10 as Objection Deadline Bars Late Creditors - CryptoTimes","type":"news_article","credibility":2},{"url":"https://cryptoslate.com/poolin-owes-wallet-users-163-7m-and-its-52m-texas-sale-can-still-unravel-next-week/","name":"Poolin owes wallet users $163.7M, and its $52M Texas sale can still unravel next week - CryptoSlate","type":"news_article","credibility":2},{"url":"https://www.theblock.co/post/409587/former-bitcoin-miner-poolin-files-chapter-11-sets-52-million-floor-bid-for-texas-operations","name":"Former bitcoin miner Poolin files Chapter 11, sets $52 million floor bid for Texas operations - The Block","type":"news_article","credibility":2}],"severity":"high"},{"content":"Poolin was founded in Beijing in November 2017 by Zhibiao \"Kevin\" Pan, Fa Zhu, and Tianzhao Li, all former employees of BTC.com, a mining pool operated by Bitmain. In April 2019, a Beijing court found the three co-founders had violated non-compete agreements by launching a competing mining pool during a 24-month restricted period. Bitmain's damages claim escalated from an initial $4.3 million to $30 million, but the court denied the larger damages claims and instead imposed fines of approximately $200,000, $178,000, and $154,000 on Pan, Li, and Zhu respectively. The matter was resolved in 2020. This litigation predates and is unrelated to the 2022 withdrawal freeze and 2026 bankruptcy but is relevant background on the founders' business conduct.","heading":"Prior Litigation: Bitmain Non-Compete Lawsuit (2019-2020)","sources":[{"url":"https://www.coindesk.com/policy/2020/09/09/court-denies-bitmain-30m-in-damages-from-co-founders-of-rival-poolin","name":"Court Denies Bitmain $30M in Damages From Co-Founders of Rival Poolin - CoinDesk","type":"news_article","credibility":2}],"severity":"low"},{"content":"On April 25, 2023, CoinDesk reported, based on CryptoQuant data, that Poolin had allegedly moved $150 million in bitcoin to Binance the previous week, characterized as the largest outflow from a mining entity since December 2020. Poolin CEO Kevin Pan publicly disputed the attribution, stating the wallet address did not match his company's profile. CryptoQuant subsequently acknowledged a clustering error, stating the transfer was more likely linked to Bitmain-affiliated AntPool rather than Poolin, and CoinDesk issued a correction. This incident is notable primarily because it was resolved in Poolin's favor and does not support any claim of improper fund movement by the company; it is included for completeness given its prominence in search results about the company.","heading":"2023 Misattributed $150 Million Bitcoin Transfer Allegation","sources":[{"url":"https://www.coindesk.com/business/2023/04/25/embattled-crypto-mining-and-wallet-firm-poolin-moved-150m-in-bitcoin","name":"A Crypto Mining Firm May Have Moved $150M in Bitcoin, CryptoQuant Says - CoinDesk","type":"news_article","credibility":2}],"severity":"low"},{"content":"Following the 2022 withdrawal freeze, affected users organized online campaigns seeking reimbursement from Poolin and CEO Kevin Pan. A Change.org petition titled \"Demand Kevin Pan, CEO of Poolin, to Reimburse Stolen User Funds,\" launched around April 2024, had gathered 594 signatures toward a goal of 1,000 as of research date and alleges that \"more than a billion dollars\" was \"stolen\" from approximately 600,000 affected individuals. These figures (over $1 billion across 600,000 users) substantially exceed the $163.7 million and approximately 11,700 wallet holders documented in Poolin's 2026 bankruptcy court filings and should be treated as unverified, low-confidence community claims rather than established fact. The discrepancy may reflect the petition organizers' broader estimate of total funds affected across all Poolin products (including mining payouts and pool balances) versus the narrower \"wallet customer\" claim class recognized in the bankruptcy, but no independent source was found reconciling the two figures.","heading":"Customer Advocacy and Unverified Community Allegations","sources":[{"url":"https://www.change.org/p/demand-kevin-pan-ceo-of-poolin-to-reimburse-stolen-user-funds","name":"Petition: Demand Kevin Pan, CEO of Poolin, to Reimburse Stolen User Funds - Change.org","type":"community_report","credibility":3}],"severity":"medium"}],"timeline":[{"date":"2017-11","event":"Poolin founded in Beijing by Zhibiao \"Kevin\" Pan, Fa Zhu, and Tianzhao Li, former BTC.com/Bitmain employees.","source":"Court Denies Bitmain $30M in Damages From Co-Founders of Rival Poolin - CoinDesk","source_url":"https://www.coindesk.com/policy/2020/09/09/court-denies-bitmain-30m-in-damages-from-co-founders-of-rival-poolin"},{"date":"2019","event":"Poolin becomes the world's largest Bitcoin mining pool, at one point controlling an estimated 18-20% of global network hashrate; Beijing court finds founders violated non-compete agreements with Bitmain.","source":"CoinDesk / The Block","source_url":"https://www.coindesk.com/policy/2020/09/09/court-denies-bitmain-30m-in-damages-from-co-founders-of-rival-poolin"},{"date":"2020-09","event":"Beijing court denies Bitmain's escalated $30 million damages claim against Poolin's co-founders, instead imposing smaller fines, closing the lawsuit.","source":"CoinDesk","source_url":"https://www.coindesk.com/policy/2020/09/09/court-denies-bitmain-30m-in-damages-from-co-founders-of-rival-poolin","date_evidence":"Court Denies Bitmain $30M in Damages From Co-Founders of Rival Poolin, published 2020/09/09, describing the final resolution of the year-long non-compete lawsuit."},{"date":"2021","event":"China's nationwide ban on cryptocurrency mining forces Poolin to relocate operations, contributing to later financial strain.","source":"The Block","source_url":"https://www.theblock.co/post/409587/former-bitcoin-miner-poolin-files-chapter-11-sets-52-million-floor-bid-for-texas-operations"},{"date":"2022-09","event":"Poolin freezes withdrawals for Poolin Wallet and Pool Account users, citing liquidity issues amid the broader 2022 crypto market downturn; begins issuing six types of IOU tokens in place of customer funds.","source":"Wallet Service of Top Bitcoin Mining Pool Poolin Will Issue 'IOU' Tokens After Suspending Withdrawals - CoinDesk","source_url":"https://www.coindesk.com/business/2022/09/13/bitcoin-miner-poolin-to-issue-iou-tokens-after-suspending-withdrawals"},{"date":"2023-04","event":"CoinDesk reports, then corrects, a CryptoQuant-sourced claim that Poolin moved $150 million in bitcoin to Binance; the transfer is later attributed to a different mining entity (likely AntPool).","source":"A Crypto Mining Firm May Have Moved $150M in Bitcoin, CryptoQuant Says - CoinDesk","source_url":"https://www.coindesk.com/business/2023/04/25/embattled-crypto-mining-and-wallet-firm-poolin-moved-150m-in-bitcoin"},{"date":"2024-04","event":"A Change.org petition demanding CEO Kevin Pan reimburse allegedly stolen user funds is launched by affected customers.","source":"Change.org petition","source_url":"https://www.change.org/p/demand-kevin-pan-ceo-of-poolin-to-reimburse-stolen-user-funds"},{"date":"2026-07","event":"Poolin's U.S. subsidiary Lonestar Dream permanently halts all mining and hosting operations at its Pyote and Tarbush, Texas sites.","source":"Bitcoin.com News","source_url":"https://news.bitcoin.com/bitcoin-miner-poolin-technology-files-chapter-11-with-173m-debt-as-52m-asset-sale-moves-forward/","date_evidence":"Lonestar Dream halted mining and hosting operations at its Pyote and Tarbush sites in West Texas on July 10, and the company says it does not intend to resume.","date_original":"2026-07-10"},{"date":"2026-07-22","event":"Poolin Technology and two U.S. affiliates file voluntary Chapter 11 bankruptcy petitions in the U.S. Bankruptcy Court for the District of New Jersey (lead case No. 26-18325).","source":"CoinDesk / The Block","source_url":"https://www.coindesk.com/markets/2026/07/24/poolin-was-bitcoin-s-biggest-mining-pool-and-now-it-s-filing-for-bankruptcy","date_evidence":"Poolin, Lonestar Taproot LLC and Lonestar Dream, Inc. filed voluntary Chapter 11 petitions on July 22 in the U.S. Bankruptcy Court for the District of New Jersey."},{"date":"2026-08","event":"Court sets sale-process deadlines: non-binding indications of interest due August 27, Section 341 creditors meeting August 28, qualified bids due September 8, possible auction September 10, sale hearing September 18, objection deadline September 16.","source":"Poolin Auction Set for September 10 as Objection Deadline Bars Late Creditors - CryptoTimes","source_url":"https://www.cryptotimes.io/2026/08/21/poolin-auction-set-for-september-10-as-objection-deadline-bars-late-creditors/","date_original":"2026-08-21"},{"date":"2026-08","event":"Section 341 creditors meeting held remotely in the Poolin Chapter 11 case.","source":"CryptoTimes","source_url":"https://www.cryptotimes.io/2026/08/21/poolin-auction-set-for-september-10-as-objection-deadline-bars-late-creditors/","date_original":"2026-08-28"},{"date":"2026-09","event":"Qualified competing bids for the Texas mining assets due September 8; possible auction scheduled for September 10; asset-sale approval hearing scheduled for September 18 before Judge Eamonn J. O'Hagan. Outcome not yet independently confirmed as of this report.","source":"CryptoSlate / CryptoTimes","source_url":"https://cryptoslate.com/poolin-owes-wallet-users-163-7m-and-its-52m-texas-sale-can-still-unravel-next-week/"}],"sources_used":[{"url":"https://www.coindesk.com/markets/2026/07/24/poolin-was-bitcoin-s-biggest-mining-pool-and-now-it-s-filing-for-bankruptcy","name":"Poolin was Bitcoin's biggest mining pool and now it's filing for bankruptcy - CoinDesk","type":"news_article","archive_url":"http://web.archive.org/web/20260809225843/https://www.coindesk.com/markets/2026/07/24/poolin-was-bitcoin-s-biggest-mining-pool-and-now-it-s-filing-for-bankruptcy","credibility":2,"archive_timestamp":"2026-08-09T22:58:43+00:00"},{"url":"https://news.bitcoin.com/bitcoin-miner-poolin-technology-files-chapter-11-with-173m-debt-as-52m-asset-sale-moves-forward/","name":"Bitcoin Miner Poolin Technology Files Chapter 11 With $173M Debt as $52M Asset Sale Moves Forward - Bitcoin.com News","type":"news_article","archive_url":"http://web.archive.org/web/20260729084116/https://news.bitcoin.com/bitcoin-miner-poolin-technology-files-chapter-11-with-173m-debt-as-52m-asset-sale-moves-forward/","credibility":2,"archive_timestamp":"2026-07-29T08:41:16+00:00"},{"url":"https://www.theblock.co/post/409587/former-bitcoin-miner-poolin-files-chapter-11-sets-52-million-floor-bid-for-texas-operations","name":"Former bitcoin miner Poolin files Chapter 11, sets $52 million floor bid for Texas operations - 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Decrypt","type":"news_article","archive_url":"http://web.archive.org/web/20260906154214/https://decrypt.co/374289/poolin-bitcoin-biggest-mining-pools-files-bankruptcy","credibility":2,"archive_timestamp":"2026-09-06T15:42:14+00:00"},{"url":"https://www.cryptotimes.io/2026/08/21/poolin-auction-set-for-september-10-as-objection-deadline-bars-late-creditors/","name":"Poolin Auction Set for September 10 as Objection Deadline Bars Late Creditors - CryptoTimes","type":"news_article","archive_url":"https://web.archive.org/web/20260912021934/https://www.cryptotimes.io/2026/08/21/poolin-auction-set-for-september-10-as-objection-deadline-bars-late-creditors/","credibility":2,"archive_timestamp":"2026-09-12T02:19:34+00:00"},{"url":"https://www.coindesk.com/policy/2020/09/09/court-denies-bitmain-30m-in-damages-from-co-founders-of-rival-poolin","name":"Court Denies Bitmain $30M in Damages From Co-Founders of Rival Poolin - CoinDesk","type":"news_article","archive_url":null,"credibility":2,"archive_timestamp":null},{"url":"https://www.coindesk.com/business/2023/04/25/embattled-crypto-mining-and-wallet-firm-poolin-moved-150m-in-bitcoin","name":"A Crypto Mining Firm May Have Moved $150M in Bitcoin, CryptoQuant Says - 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