Company: BTBT
Filing Date: 2025-06-25
Form Type: 424B5
Source: 0001213900-25-057815
Chunk: 19

Company: Bit Digital, Inc
Filing Date: 2025-06-25
Form: 424B5
Chunk 19
---
angible assets,
each of which may result in us becoming a PFIC for the current or subsequent taxable years. While the Company’s Management has obtained
a third party analysis for 2024 and does not believe that the Company should be classified as a PFIC for 2024, PFIC status is determined
annually, and whether the Company will be a PFIC for the current taxable year or any future taxable year is uncertain. Moreover, the Company
is not committing to determine whether it is not a PFIC on an annual basis. If we were classified as a PFIC for any year during which
a U.S. Holder held our ordinary shares, we generally would continue to be treated as a PFIC for all succeeding years during which such
U.S. Holder held our ordinary shares even if we cease to be a PFIC in subsequent years, unless certain elections (described below) are
made.

If
we are a PFIC for your taxable year(s) during which you hold ordinary shares, you will be subject to special tax rules with respect to
any “excess distribution” that you receive and any gain you realize from a sale or other disposition (including a pledge)
of the ordinary shares, unless you make a “mark-to-market” election as discussed below. Distributions you receive in a taxable
year that are greater than 125% of the average annual distributions you received during the shorter of the three preceding taxable years
or your holding period for the ordinary shares will be treated as an excess distribution. Under these special tax rules:

| ● | the excess distribution or gain will be allocated ratably 
 over your holding period for the ordinary shares;         |

| ● | the amount allocated to your current taxable year, and any                                                                           
 amount allocated to any of your taxable year(s) prior to the first taxable year in which we were a PFIC, will be treated as ordinary 
 income, and                                                                                                                          |

| ● | the amount allocated to each of your other taxable year(s)                                                                           
 will be subject to the highest tax rate in effect for that year, and an interest charge generally applicable to underpayments of tax 
 will be imposed on the resulting tax attributable to each such year.                                                                 |

The tax liability for amounts
allocated to years prior to the year of disposition or “excess distribution” cannot be offset by any net operating losses
for such years, and gains (but not losses) realized on the sale of the ordinary shares cannot be treated as capital, even if you hold