Company: ABTS
Filing Date: 2025-12-02
Form Type: F-3/A
Source: 0001493152-25-025631
Chunk: 28

Company: Abits Group Inc
Filing Date: 2025-12-02
Form: F-3/A
Chunk 28
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 1 of the current year. Our mainland China subsidiary’s activity related to cross-border data transfer is limited to corporate records, including financial data and certain non-sensitive personal information of our employees (such as name, age, and resumes of such employees). From January 1, 2022 to the date of this prospectus, our mainland China subsidiary made outbound data transfers of significantly less than 10,000 users’ personal information cumulatively and did not transfer any sensitive personal information outbound. Based on the above facts, as advised by our PRC counsel, Jincheng Tongda & Neal, we and our PRC subsidiary are not required to apply from the relevant cyberspace department for data security assessment and clearance of outbound data transfers.

On September 24, 2024, the CAC released the Regulations
for the Administration of Network Data Security, or the Network Data Security Regulations, which took effect on January 1, 2025. The
Network Data Security Regulation requires that a network data processor who carries out network data processing activities that affect
or may affect national security shall undergo a national security review in accordance with relevant regulations. Based on the assessment
of the management, none of our Company, our Hong Kong subsidiary and U.S. Subsidiaries conduct any data processing activities within
the PRC, or those outside the PRC that may damage the national security, public interests, or legitimate interests of PRC persons. Based
on the opinion of our PRC counsel, Jincheng Tongda & Neal, the Company, the Hong Kong subsidiary and the U.S. Subsidiaries are not
subject to the Network Data Security Regulations. Our PRC subsidiary, Bitmatrix, conducts network data processing activities, including
the processing of personal information, for its operation in the PRC and is subject to the Network Data Security Regulations. Such data
processing activities do not affect national security, and Bitmatrix does not process large amount of personal data or any important
data. It is not a network platform service provider. None of the Company and our subsidiaries (including Bitmatrix) have been informed
by any PRC governmental authority of any requirement for a national security review or any reporting and/or security assessment under
the Network Data Security Regulations. Based on the opinion of our PRC counsel, Jincheng Tongda & Neal, we and our PRC subsidiary
are not required to undergo the national security review under the Network Data Security Regulation, because none of the network data
processing activities carried out