Company: FUFU
Filing Date: 2025-03-05
Form Type: POS AM
Source: 0001213900-25-020703
Chunk: 65

Company: Bitfufu Inc.
Filing Date: 2025-03-05
Form: POS AM
Chunk 65
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or portion thereof) that is included in the holding period of a U.S. Holder of Class A Ordinary
Shares and, in the case of Class A Ordinary Shares, the U.S. Holder did not make a valid “mark-to-market” election,
such U.S. Holder generally will be subject to special rules with respect to: (i) any gain recognized by the U.S. Holder
on the sale or other disposition of Class A Ordinary Shares and (ii) any “excess distribution” made to the U.S. Holder
(generally, any distributions to such U.S. Holder during a taxable year of the U.S. Holder that are greater than 125% of the
average annual distributions received by such U.S. Holder in respect of the Class A Ordinary Shares during the three preceding
taxable years of such U.S. Holder or, if shorter, such U.S. Holder’s holding period for such ordinary shares).

Under these rules:

| ● | the                                                                                        
 U.S. Holder’s gain or excess distribution will be allocated ratably over the U.S. Holder’s 
 holding period for Class A Ordinary Shares;                                                |

| ● | the                                                                                        
 amount allocated to the U.S. Holder’s taxable year in which the U.S. holder                
 recognized gain or received the excess distribution, or to the period in the U.S. Holder’s 
 holding period before the first day of our first taxable year in which we are a PFIC,      
 will be taxed as ordinary income;                                                          |

| ● | the                                                                                         
 amount allocated to other taxable years (or portions thereof) of the U.S. Holder            
 and included in its holding period will be taxed at the highest tax rate in effect for that 
 year and applicable to the U.S. Holder; and                                                 |

| ● | the                                                                                        
 interest charge generally applicable to underpayments of tax will be imposed in respect of 
 the tax attributable to each such other taxable year of the U.S. Holder.                   |

Although a determination
as to our PFIC status will be made annually, an initial determination that we are a PFIC will generally apply for subsequent years
to a U.S. Holder who held Class A Ordinary Shares while we were a PFIC, whether or not we meet the test for PFIC status in
those subsequent years.

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If a U.S. Holder, at
the close of its taxable year, owns shares in a PFIC that are treated as marketable stock, the U