Company: BTBT
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001013762-25-000307
Chunk: 252

Company: Bit Digital, Inc
Filing Date: 2025-03-14
Form: 10-K
Item: Item 1
Chunk 252
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 and its ability to acquire or sell ETH and other digital assets.

MAS could enact new regulations,
change regulations that were previously adopted, modify, through supervision or enforcement, past regulatory guidance, or interpret existing
regulations in a manner different or stricter than have been previously interpreted, any of which could adversely affect or require us
to change BTSG’s business practices in Singapore.

We may not be able
to prevent others from unauthorized use of our intellectual property, which could harm our business and competitive position.

We regard trademarks,
domain names, know-how, proprietary technologies and similar intellectual property as critical to our success, and we rely on a combination
of intellectual property laws and contractual arrangements, including confidentiality and non-compete agreements with our employees and
others, to protect our proprietary rights. Thus, we cannot assure you that any of our intellectual property rights would not be challenged,
invalidated, circumvented or misappropriated, or such intellectual property will be sufficient to provide us with competitive advantages.
In addition, because of the rapid pace of technological change in our industry, parts of our business rely on technologies developed or
licensed by third parties, and we may not be able to obtain or continue to obtain licenses and technologies from these third parties on
reasonable terms, or at all.

Preventing any unauthorized
use of our intellectual property is difficult and costly and the steps we take may be inadequate to prevent the misappropriation of our
intellectual property. In the event that we resort to litigation to enforce our intellectual property rights, such litigation could result
in substantial costs and a diversion of our managerial and financial resources. We can provide no assurance that we will prevail in such
litigation. In addition, our trade secrets may be leaked or otherwise become available to, or be independently discovered by, our competitors.
To the extent that our employees or consultants use intellectual property owned by others in their work for us, disputes may arise as
to the rights in related know-how and inventions. Any failure in protecting or enforcing our intellectual property rights could have a
material adverse effect on our business, financial condition and results of operations.

66

Our customers frequently make advance payments
based on anticipated future usage.

In
our cloud service business, customers often make advance payments to finance the equipment they intend to purchase from us. If we are
unable to meet the contract requirements or deliver GPU clusters to their satisfaction for any reason, we may be obligated to refund these
deposits.

In
our colocation Data Center Hosting Business, customers typically pay