Company: BTBT
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110383
Chunk: 277

Company: Bit Digital, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 2
Chunk 277
---
 across borders. Increased
trade friction could reduce labor mobility, increase wages, or limit access to essential expertise, slowing project execution.

80

Such
higher costs for critical data center components, potential disruptions to equipment supply chains and labor and cross-border workforce
challenges could have material adverse effects on our business, financial condition and results of operations.

Additionally,
if tariffs increase the cost of building and operating data centers in the U.S. and Canada, our customers, hyperscalers and cloud
providers, may shift expansion plans to more cost-effective regions, such as Europe or Asia. This could negatively impact short-term and
long-term demand for WhiteFiber’s colocation and infrastructure services.

Finally,
in response to tariffs, other countries have implemented retaliatory tariffs on U.S. goods. Political tensions as
a result of trade policies could reduce trade volume, investment, technological exchange, and other economic activities between major
international economies, resulting in a material adverse effect on global economic conditions and the stability of global financial markets,
which could in turn have a material adverse impact on our business, financial condition and results of operations.

Uncertainty
in the global economy and instability within international relations, including changes in governmental policies relating to technology,
and any potential downturn in the semiconductor and electronics industries, may negatively impact our business.

There
is inherent risk, based on the complex relationships between certain countries and within regions, that political, diplomatic or military
events could result in trade disruptions and other disruptions in the markets and industries we serve and our supply chain. For example,
the ongoing geopolitical and economic uncertainty between the U.S. and China, the unknown impact of current and future U.S. and
Chinese trade regulations, and geopolitical risks between the U.S, Canada, where our data centers are located, between the U.S. and
Mexico, where certain components are supplied, or between China and Taiwan where chips are manufactured, could, directly or indirectly,
materially harm our business, financial condition and results of operations.

While
overall semiconductor supply conditions have improved, we continue to monitor potential availability constraints for high-performance GPUs
and related hardware, which may affect the timing of future deployments in our cloud services business.

Furthermore,
political or economic conflicts between various global actors, and responsive measures that have been taken and could be taken in the
future, have created and can further create significant global economic uncertainty that could prolong or expand such conflicts, which
could have a lasting