Company: HODL
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0000930413-25-003438
Chunk: 161

Company: VanEck Bitcoin ETF
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 4
Chunk 161
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. We cannot predict
how these and other related events will affect us or the crypto asset business.

In August 2021, the chair of the SEC stated that he believed investors
using digital asset trading platforms are not adequately protected, and that activities on the platforms can implicate the securities
laws, commodities laws and banking laws, raising a number of issues related to protecting investors and consumers, guarding against
illicit activity, and ensuring financial stability. The chair expressed a need for the SEC to have additional authorities to prevent
transactions, products, and platforms from “falling between regulatory cracks,” as well as for more resources to protect
investors in “this growing and volatile sector.” The chair called for federal legislation centering on digital asset
trading, lending, and decentralized finance platforms, seeking “additional plenary authority” to write rules for digital
asset trading and lending. It is not possible to predict whether, or when, any of these developments will lead to Congress granting
additional authorities to the CFTC, SEC or other regulators, what the nature of such additional authorities might be, how additional
legislation and/or regulatory oversight might impact the ability of digital asset markets to function or how any new regulations
or changes to existing regulations might impact the value of digital assets generally and bitcoin held by the Trust specifically.
The consequences of increased federal regulation of digital assets and digital asset activities could have a material adverse effect
on the Trust and the Shares.

FinCEN requires any administrator or exchanger of convertible virtual
currency (“CVC”) to register with FinCEN as a money transmitter and comply with the anti- money laundering regulations
applicable to money transmitters. Entities which fail to comply with such regulations are subject to fines, may be required to
cease operations, and could have potential criminal liability. For example, in 2015, FinCEN assessed a $700,000 fine against a
sponsor of a digital asset for violating several requirements of the Bank Secrecy Act by acting as an MSB and selling the digital
asset without registering with FinCEN, and by failing to implement and maintain an adequate anti-money laundering program. In 2017,
FinCEN assessed a $110 million fine against BTC-e, a now defunct digital asset exchange, for similar violations. The requirement
that exchangers that do business in the United States register with FinCEN and comply with anti- money laundering regulations may
increase the cost of buying and selling bitcoin and therefore may adversely affect