Company: HODL
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0000930413-25-003438
Chunk: 3

Company: VanEck Bitcoin ETF
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 3
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 (the “Trust”),
a Delaware statutory trust, is an exchange-traded fund that issues common shares of beneficial interest in an ownership of the
Trust (the “Shares”). The Shares are traded on the Cboe BZX Exchange, Inc. (the “Exchange”). The Trust’s
investment objective is to reflect the performance of the price of bitcoin less the net operating expenses of the Trust. The Trust
is managed and controlled by VanEck Digital Assets, LLC (the “Sponsor”), a wholly-owned subsidiary of Van Eck Associates
Corporation (“VanEck”). The CSC Delaware Trust Company is the “Trustee” of the Trust.

Note 2. Significant Accounting Policies:

 A. Basis of Preparation and Use of Estimates

The preparation of financial statements
in conformity with U.S. generally accepted accounting principles (“GAAP”) requires management to make estimates and
assumptions that affect the reported amounts and disclosures in the financial statements. Actual results could differ from those
estimates.

The Trust qualifies as an investment
company solely for accounting purposes and not for any other purpose and follows accounting and reporting requirements of Accounting
Standards Codification (“ASC”) Topic 946 Financial Services—Investment Companies (“ASC Topic 946”),
but is not registered, and is not required to be registered, as an investment company under the Investment Company Act of 1940,
as amended.

 B. Cash 

Cash, if any, represents cash deposits
held at a major financial institution and is subject to credit risk to the extent its balance exceeds the federally insured limits.
As of September 30, 2025, and December 31, 2024, the Trust did not hold cash.

 C. Investment Valuation

The Trust values its investment in
bitcoin and other assets and liabilities at fair value. Fair value is the price that would be received to sell an asset or paid
to transfer a liability in an orderly transaction between market participants on the measurement date.

The Trust identifies and determines
the bitcoin principal market (or in the absence of a principal market, the most advantageous market) for GAAP financial statement
purposes consistent with the application of fair value measurement framework in Financial Accounting Standards Board (“FASB”)
ASC 820 at 11:59 p.m. EST. Under ASC 820, a principal market is the market with the greatest volume and activity level for the
asset or liability. The Sponsor on behalf of the Trust will determine in its sole discretion the valuation sources and policies
used