Company: FUFU
Filing Date: 2025-04-21
Form Type: 20-F
Source: 0001213900-25-033733
Chunk: 106

Company: Bitfufu Inc.
Filing Date: 2025-04-21
Form: 20-F
Item: Item 4
Chunk 106
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 2021, Burdy will lease miners
that provide hash calculations to us. We make procurement order at the beginning of each month and are subject to a quarterly minimum
purchase amount based on our quarterly business plan and Burdy’s miner availability. The parties will sign a minimum commitment
of lease amount for next quarter upon confirmation. Burdy reserves the right to adjust the rental price from time to time. After Burdy
leases the miners to us, we will use our system to control the miners, standardize and dispatch the hash calculations of the miners, and
make the cloud-mining solutions available on our platform to our customers. We will be responsible for the services provided through
the miners. We will also take necessary technical measures to ensure the normal operations of the miners and remedial measures against
security risks. We may terminate the agreement if, among other events, Burdy fails to rectify within 48 hours after our request for rectification
of substandard services. Burdy may terminate the agreement if, among other events, we fail to pay the relevant fees more than 15 days
after the due date. This agreement has an initial term of two years, and will be automatically renewed subject to prior written notice
of termination. The hash computer server cooperation agreement is governed by the laws of Hong Kong.

The foregoing description
of the hash computer server cooperation agreement, as amended, does not purport to be complete and is qualified in its entirety by the
terms and conditions of the actual agreements, which are filed as Exhibits 10.1 and 10.2 hereto and incorporated by reference herein.

Digital Assets

We accumulate Bitcoin mined
through our self-mining operations and will exchange Bitcoin for fiat currencies at established cryptocurrency exchanges, such as
Coinbase, to satisfy our working capital needs. We also receive other digital assets, such as BTC, ETH, BCH and USDT, as payments for
our cloud-mining service. Digital assets that are received as service payments would be converted into USDT. Since October 2022,
we have begun to convert USDT into U. S. dollars and deposit them with banking institutions on a timely basis according to our treasury
management strategy. Prior to December 2022, we held digital assets pre-paid by customers for their anticipated purchase of services,
and temporarily held mining rewards of customers on their behalf in separate wallets, if such customers do not have their own digital
asset wallets. We are required to release safeguarded digital assets upon customers’ instruction.