Company: HODL
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0000930413-25-003438
Chunk: 173

Company: VanEck Bitcoin ETF
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 4
Chunk 173
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 Shareholders. In any of these circumstances, a malicious actor may be able to compromise the security
    of the Bitcoin network or take the Trust’s bitcoin, which would adversely affect the value of the Shares. Moreover,
    the functionality of the Bitcoin network may be negatively affected such that it is no longer attractive to users, thereby
    reducing or even eliminating demand for bitcoin. Even if another digital asset other than bitcoin were affected by similar
    circumstances, any reduction in confidence in the source code or cryptography underlying digital assets generally could negatively
    affect the demand for digital assets and therefore adversely affect the value of the Shares.

Moreover, because digital assets, including bitcoin, have been in existence
for a short period of time and are continuing to develop, there may be additional risks in the future that are impossible to predict
as of the date of this Report.

Shareholders do not have the protections associated with ownership
of Shares in an investment company registered under the 1940 Act or the protections afforded by the CEA.

The 1940 Act is designed to protect investors by preventing insiders
from managing investment companies to their benefit and to the detriment of public investors, such as: the issuance of securities
having inequitable or discriminatory provisions; the management of investment companies by irresponsible persons; the use of unsound
or misleading methods of computing earnings and asset value; changes in the character of investment companies without the consent
of investors; and investment companies from engaging in excessive leveraging. To accomplish these ends, the 1940 Act requires the
safekeeping and proper valuation of fund assets, restricts greatly transactions with affiliates, limits leveraging, and imposes
governance requirements as a check on fund management.

The Trust is not registered as an investment company under the 1940
Act, and the Sponsor believes that the Trust is not required to register under such act. Consequently, Shareholders do not have
the regulatory protections provided to investors in investment companies.

The Trust will not hold or trade in commodity interests (as currently
defined) regulated by the CEA, as administered by the CFTC. Furthermore, the Sponsor believes that the Trust is not a commodity
pool for purposes of the CEA, and that neither the Sponsor nor the Trustee is subject to regulation by the CFTC as a commodity
pool operator or a commodity trading advisor in connection with the operation of the Trust. Consequently, Shareholders will not
have the regulatory protections provided to investors in CEA-regulated instruments or commodity pools. However,