Company: FUFU
Filing Date: 2025-04-21
Form Type: 20-F
Source: 0001213900-25-033733
Chunk: 29

Company: Bitfufu Inc.
Filing Date: 2025-04-21
Form: 20-F
Item: Item 3
Chunk 29
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 related disputes, which could be time-consuming, costly to defend or settle and result in the loss of significant
rights and lower sales.

We may be subject to infringement
claims from time to time or otherwise become aware of potentially relevant patents or other IP rights held by other parties that may cover
some of our technology, services and products. Patent litigation has increased in recent years owing to increased assertions made
by IP licensing entities and increasing competition in our markets. Additionally, we may enter into licensing agreements with third parties
for the use of their proprietary technologies, primarily software development tools, in the development of our services and products.
As with any business relationship, we may face disputes and lawsuits related to such agreements. As our operations continue to grow in
size and scale, the likelihood of becoming involved in IP related lawsuits and disputes to protect or defend our IP rights and the use
of third-party IP rights will increase. In addition, it is extremely difficult for us to monitor all of the patent applications that
have been filed by others and whether, if such pending patents are granted, such patents would have a material and adverse effect on our
business if our product and service offering were to infringe upon them.

Other third parties may file
claims against us alleging that our services, products, processes, or technologies infringe third-party patents or IP rights. Regardless
of their merits or resolutions, such claims could be costly to defend or settle and could divert the efforts and attention of our management
and technical personnel. We do not know whether we could prevail in any such proceeding given the complex technical issues and inherent
uncertainties involved in IP litigation. In addition, we may be required to indemnify and defend our customers or other business partners
from third-party infringement claims and to pay damages in the case of adverse rulings. As such, claims of this sort also could harm
our relationships with those parties. If any pending or future proceedings result in an adverse outcome, we could be required to cease
our business operations or provision of our services, which could have a material adverse effect on our business, financial condition
and results of operations.

The loss of any member of our senior management
team, or our failure to attract, train and retain qualified personnel, especially our R& D and technical personnel, could impair our
ability to grow our business and effectively execute our business strategy.

Since our inception, the growth
and expansion of our business operations have been dependent upon the business strategies and foresight of our senior management. Our
future