Company: ABTC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076632
Chunk: 21

Company: American Bitcoin Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 8
Chunk 21
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 2024 
  
    Balance - beginning of period 
    $2,263,000  
    $420,000 
  
    Additions 
     1,548,000  
     2,207,000 
  
    Merger and acquisition costs expensed 
     (2,324,000) 
     - 
  
    Amounts applied to accounts payable 
     (356,000) 
     (364,000)
  
    Balance - end of period 
    $1,131,000  
    $2,263,000 

The Company contracts with
other service providers for the hosting of its equipment and operational support in data centers where the Company’s equipment is
deployed. These arrangements also typically require advance payments to be made to vendors in conjunction with the contractual obligations
associated with these services. The Company classifies these payments as “Deposits” in the unaudited condensed consolidated
balance sheets. As of June 30, 2025 and December 31, 2024, the Company had deposits of approximately $931,000 and $656,000, respectively,
with data centers. The remaining June 30, 2025 and December 31, 2024 deposit balances of $200,000 and $1,607,000, respectively, were potential
business acquisitions.

Giga Caddo, LLC

On August 16, 2024, Giga Caddo, LLC, a Delaware
limited liability company (“Seller”), and the Company entered into an Asset Purchase Agreement (the “Giga Purchase Agreement”)
pursuant to which Seller agreed to sell: (i) four (4) natural gas generators with a combined gas standby rating of 1,900 kW, (ii) five
hundred and sixty-six (566) bitcoin ASIC mining computers with a combined hashrate capacity of approximately 57,120 TH/s, (iii) six (6)
Giga Box Air modular data center units with a combined power capacity of 2,900 kW and (iv) certain other crypto mining equipment and related
assets to be agreed by the parties (the “Assets”) for $1,500,000 in cash (the “Giga Purchase Price”) (the “Giga
Transaction”). On August 5, 2024, prior to the execution of the Giga Purchase Agreement, $50,000 of the Purchase Price was paid
in the form of a refundable earnest