Company: BTBT
Filing Date: 2025-07-03
Form Type: S-8 POS
Source: 0001213900-25-061371
Chunk: 79

Company: Bit Digital, Inc
Filing Date: 2025-07-03
Form: S-8 POS
Chunk 79
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ving ETH

In the uncertain regulatory climate for digital
assets, including ETH, regulated financial institutions may refuse to support transactions involving digital assets, including the receipt
of cash proceeds from sales of digital asset. Should this occur, the Company’s business, prospects, financial condition, results
of operations or cash flows could be materially adversely affected.

Risks Related to the Geopolitical Uncertainty

Changes in tariffs or import restrictions could have a material adverse effect on our business, financial condition and results of operations.

The U.S. government has adopted
new approaches to trade policy and in some cases, may renegotiate, or potentially terminate, certain existing bilateral or multi-lateral
trade agreements. The U.S. government has also imposed tariffs on certain foreign goods and has raised the possibility of imposing significant,
additional tariff increases or expanding the tariffs to capture other countries and types of foreign goods. Because WhiteFiber is developing
data centers in Canada and the United States, the imposition of tariffs on imports between these countries could materially impact the
cost, timeline, and feasibility of our projects. Tariffs imposed by the U.S. on imports from Mexico and Canada, as well as reciprocal
tariffs imposed by Canada on U.S. goods, could increase WhiteFiber’s costs for key construction materials, specialized equipment,
and labor, potentially delaying deployments and reducing profitability.

Data center construction relies
heavily on steel, aluminum, electrical components and HVAC systems, some of which the Company is sourcing from Mexico and Canada. The
tariffs the U.S. has imposed on Canadian steel and aluminum imports, are expected to increase the cost of WhiteFiber’s potential
projects in the U.S. Similarly, if Canada imposes reciprocal tariffs on U.S. exports, WhiteFiber’s projects in Canada could see
cost increases for imported power infrastructure, networking hardware, and construction equipment.

Additionally, several transformers,
battery storage systems, and cooling systems used in our North American data centers are manufactured in or pass through Mexico.
If the U.S. imposes new or additional tariffs on Mexican-manufactured electrical equipment, this could create supply chain bottlenecks
and increase capital expenditures for both U.S. and Canadian facilities. Likewise, trade restrictions on Canadian-manufactured networking
equipment or semiconductors would disrupt supply availability for our potential projects in the U.S.

Tariffs and trade tensions
between the U.S., Mexico, and Canada could also indirectly impact the availability and cost of skilled labor. Many specialized contractors for
data center construction, electrical