Company: HODL
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0000930413-25-003438
Chunk: 247

Company: VanEck Bitcoin ETF
Filing Date: 2025-11-13
Form: 10-Q
Item: Part II, Item 1A
Chunk 247
---
 hardware defects, telecommunications infrastructure outages, a decision to
    close such facilities or cease providing such services, or other problems with the Sponsor’s or a Trust service provider’s
    systems or third-party data center hosting or cloud providers that the Sponsor or a Trust service provider uses, or may use
    in the future, such as a failure to meet service standards, could severely impact the Trust’s or Sponsor’s ability
    to conduct business operations, such as creation and redemption processes or deposits or withdrawals into the Trust’s
    custodial accounts, any of which could materially adversely affect the Trust’s operations or cause losses to the Trust’s
    Shareholders.

    ●
    Banks and other established financial institutions may refuse to process
    funds for bitcoin transactions; process wire transfers to or from bitcoin trading platforms, bitcoin-related companies or
    service providers; or maintain accounts for persons or entities transacting in bitcoin. This could dampen liquidity in the
    market and damage the public perception of digital assets generally or any one digital asset in particular, such as bitcoin,
    and their or its utility as a payment system, which could decrease the price of digital assets generally or individually.
    Further, the lack of availability of banking services, including those provided by the Cash Custodian or the financial institutions
    at which the Bitcoin Custodian maintains the cash credited to the Trust’s Fiat Account, could inhibit or prevent the
    Trust from being able to complete cash creations or redemptions, or the timely liquidation of bitcoin even if the Sponsor
    determined that such liquidation were appropriate or suitable.

    ●
    Users, developers and miners may otherwise switch to or adopt certain
    digital assets at the expense of their engagement with other digital asset networks, which may negatively impact those networks,
    including the Bitcoin network.

    ●
    As the Bitcoin network continues to develop and grow, certain technical
    issues might be uncovered and the trouble shooting and resolution of such issues requires the attention and efforts of bitcoin’s
    global development community. Like all software, the Bitcoin network is at risk of vulnerabilities and bugs that can potentially
    be exploited by malicious actors. For example, in 2010, the Bitcoin network underwent a hard fork to reverse the effects of
    a hack in which an unknown attacker took advantage of a software vulnerability in the early source code of the Bitcoin network
    to fraudulently mint a large amount of bitcoin.

    ●
    The acceptance of software patches or upgrades by a significant