Company: BTBT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076608
Chunk: 80

Company: Bit Digital, Inc
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 1
Chunk 80
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 made a non-refundable prepayment of $30.0 million for the services to be rendered under this agreement.

In January 2025, the Company entered into a new
agreement to supply its Initial Customer with an additional 464 GPUs for a period of eighteen months. This new agreement replaces the
prior agreement whereby the Company was to provide the customer with an incremental 2,048 H100 GPUs. The contract represents approximately
$15 million of annualized revenue and features a two-month prepayment from the customer. The customer has elected to defer the commencement
date until August 20, 2025, which is the latest allowable date under the agreement.

In August 2024, we executed a binding term sheet
with Boosteroid Inc. (“Boosteroid”), a global cloud gaming provider pursuant to which, we finalized initial orders of 489
GPUs, projected to generate approximately $7.9 million in contracted value in the aggregate through November 2029. The GPUs were delivered
to respective data centers across the U.S. and Europe and began earning fees in November 2024. On October 9, 2024, we executed a Master
Services and Lease Agreement (the “MSA”) with Boosteroid, pursuant to which Boosteroid may, from time to time, lease certain
equipment, including GPUs, from the Company upon delivery of a purchase order. The MSA provides the general terms and conditions for such
equipment leases. Pursuant to the MSA, we are granted a right of first refusal with respect to the next 5,000 servers that Boosteroid
leases during the term of the MSA. The MSA provides Boosteroid with the option to expand in increments of 100 servers, up to 50,000 servers,
representing a potential contract value of approximately $700 million over the five-year term assuming Boosteroid utilizes the GPUs and
services at full capacity for the duration of the contract. Expansion depends upon the internal development roadmap of Boosteroid, Boosteroid
has full discretion to decide when and the quantity to pursue separate source orders (for GPU servers) under the MSA. In the third quarter
of 2025, the Company finalized additional purchase orders for 302, 120, and 279 GPUs, totaling approximately $10.4 million in contracted
value over a five-year term.

45

On November 6, 2024, we entered into a Master
Services Agreement (“MSA”) with a minimum purchase commitment of 16