Company: BTBT
Filing Date: 2025-03-14
Form Type: 10-K
Source: 0001013762-25-000307
Chunk: 184

Company: Bit Digital, Inc
Filing Date: 2025-03-14
Form: 10-K
Item: Item 1
Chunk 184
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 to our shareholders, or take other actions. We may also be required to maintain
specified liquidity or other ratios that could otherwise not be in the interests of our stockholders. If we are unable to raise the additional
capital needed to execute our future strategic growth initiatives, we may be less competitive in our industry and the results of these
provisions could make investing in our securities less attractive to investors and could limit our ability to obtain adequate financing
on a timely basis or on acceptable terms in the future, which could have significant harmful effects on our financial condition and business
and could include substantial limitations on our ability to continue to conduct operations.

We are subject to a highly evolving regulatory
landscape and any adverse changes to or our colocation customers’ failure to comply with any laws or regulations could adversely
affect our business, prospects or operations.

Our
customers’ businesses are subject to extensive laws, rules, regulations, policies and legal and regulatory guidance, including those
governing securities, commodities, exchange and transfer, data governance, data protection, cybersecurity and tax. Many of these legal
and regulatory regimes were adopted prior to the advent of the Internet, mobile technologies, AI and related technologies, cloud services
and data center operations. As a result, they do not contemplate or address unique issues associated with AI, are subject to significant
uncertainty, and vary widely across U.S., Iceland and Canada. These legal and regulatory regimes, including the laws, rules and regulations
thereunder, evolve frequently and may be modified, interpreted and applied in an inconsistent manner from one jurisdiction to another,
and may conflict with one another.

Moreover,
the complexity and evolving nature of our business and the significant uncertainty surrounding the regulation of AI, requires us to exercise
our judgment as to whether certain laws, rules and regulations apply to us or our customers, and it is possible that governmental bodies
and regulators may disagree with our or our customers’ conclusions. To the extent we or our customers have not complied with such
laws, rules and regulations, we could be subject to significant fines and other regulatory consequences, which could adversely affect
our business, prospects or financial condition.

Ongoing
and future regulatory actions could effectively prevent our customers’ and our ongoing or planned co-hosting operations, limiting
or preventing future revenue generation by us or rendering our operations obsolete. Such actions could severely impact our ability to
continue to operate and our ability to continue as a going concern or to pursue our strategy at all, which would have a material adverse
effect on