Company: ZDAN
Filing Date: 2025-01-10
Form Type: DRS/A
Source: 0001683168-25-000168
Chunk: 52

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-01-10
Form: DRS/A
Chunk 52
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 fines, suspension of business or other penalties, as well as reputational damage or legal
proceedings or actions against us, which may have a material adverse effect on our business, financial condition or results of operations.

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Government control of currency conversion and transfers of funds may limit our ability to utilize revenues, remit dividends, make distributions or otherwise transfer cash among our subsidiaries and the VIE effectively, which may affect the value of your investment.

Government control of currency
conversion and transfers of funds may limit our ability to utilize revenues, remit dividends, make distributions or otherwise transfer
cash among our subsidiaries and the VIE effectively, which may affect the value of your investment.

The PRC government imposes
controls on the convertibility of the Renminbi into foreign currencies and the remittance of currency out of mainland China. Under our
current corporate structure, our Cayman Islands holding company may rely on dividend payments from our subsidiaries to fund any cash
and financing requirements we may have. The ability of our subsidiaries to remit dividends to us may be restricted by the laws and regulations
imposed by the PRC.

The majority of our and
the VIE’s income is received in Renminbi and our inability to obtain foreign currency or remit currency out of mainland China may
restrict our ability to pay dividends or other payments, or otherwise satisfy our foreign currency denominated obligations, if any. Under
existing PRC foreign exchange regulations, payments of current account items, including profit distributions, interest payments and expenditures
from trade-related transactions, can be made in foreign currencies without prior approval from the State Administration of Foreign Exchange
as long as certain procedural requirements are met. Approval from appropriate government authorities is required if Renminbi is converted
into foreign currency and remitted out of the PRC to pay capital expenses such as the repayment of loans denominated in foreign currencies.
The PRC government may, at its discretion, impose restrictions on access to foreign currencies for current account transactions and if
this occurs in the future, we may not be able to pay dividends in foreign currencies to our shareholders. See “Risk Factors — Risks Related to Doing Business in the PRC — Governmental control of currency conversion may limit our ability to utilize our revenues effectively and affect the value of your investment.”

As of the date of this prospectus,
there are no restrictions or limitations imposed by the Hong Kong government nor under laws in Hong Kong on the transfer of capital within,
into, and out of Hong Kong (including funds from