Bitcoin Miner Aquifer Files for Chapter 11 Bankruptcy

California-based bitcoin mining company and MegaBigPower franchisee Aquifer LLC has filed for Chapter 11 bankruptcy protection.

Feb 23, 2015 at 10:25 p.m. UTC
Updated Sep 11, 2021 at 11:34 a.m. UTC

Bitcoin mining company Aquifer LLC has filed for Chapter 11 bankruptcy protection.

According to court documents obtained by CoinDesk, Aquifer, also known as AQH, LLC, filed for Chapter 11 in the US Bankruptcy Court for the Northern District of California on 19th February.

The company claimed between $1m and $10m in assets, as well as between $1m and $10m in outstanding liabilities. The company has between one and 49 creditors, the filing stated.

Aquifer said in court documents that it expects to have enough funds on hand to repay unsecured creditors. The filing names a number of California-based vendors and service providers, as well as other creditors located in the United States.

Headquartered in Sunnyvale, California, Aquifer is one of several mining companies involved in MegaBigPower’s franchisee program. When the program was announced in the summer of 2014, Aquifer was described as a “strategic partner”. According to MBP, Aquifer was the recipient of more than 700 TH/s in mining power since the partnership began.

MBP owner Dave Carlson told CoinDesk that he was unaware of the bankruptcy filing and had been unable to communicate with the Aquifer team in the past month, adding that the hashing power the MBP mining pool had received from Aquifer dropped off roughly two weeks ago.

"My focus will be to attempt to recover my equipment from their location," he said.

A representative for Aquifer declined to comment.

The California bitcoin company has maintained a public profile in the past with appearances at recent bitcoin-focused events, including head of finance and operations Anthony Borough's participation on the mining panel at the North American Bitcoin Conference in January.

Aquifer is the second US-based bitcoin mining company to file for bankruptcy in 2015. Last month, CoinTerra filed for Chapter 7 bankruptcy protection amid a deterioration of its finances and a lawsuit filed by C7 Data Centers of Utah.

Aquifer’s bankruptcy filing can be found below:

Image via Shutterstock

The Festival for the Decentralized World
Thursday - Sunday, June 9-12, 2022
Austin, Texas
Save a Seat Now

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Trending

1
Binance Seeking 'Ideal Point' For India Launch

Increased hiring, active consultations, and monitoring of the regulatory environment by the company suggest Indian operations may soon be underway.

Increased hiring, active consultations, and monitoring of the regulatory environment by the company suggest Indian operations may soon be underway.

2
The Rosetta Stone of Passwords, Return to the ‘Fappening’

The best and brightest people can make truly stupid decisions and terrible predictions. What can we learn from them?

The best and brightest people can make truly stupid decisions and terrible predictions. What can we learn from them?

3
A16z Launches First Gaming Fund With $600M Commitment

The venture capital giant will invest in game studios, apps and infrastructure.

The venture capital giant will invest in game studios, apps and infrastructure.

4
First Mover Americas: Bitcoin Back Below $30K as Target's Earnings Miss Shows Effects of Inflation

The latest moves in crypto markets in context for May 18, 2022.

The latest moves in crypto markets in context for May 18, 2022.