Company: HODL
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0000930413-25-000995
Chunk: 87

Company: VanEck Bitcoin ETF
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1
Chunk 87
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 To the extent that the Trust,
the Sponsor, the Bitcoin Custodian or the Additional Bitcoin Custodian is unable to identify and mitigate or stop new security
threats or otherwise adapt to technological changes in the digital asset industry, the Trust’s bitcoins may be subject to
theft, loss, destruction or other attack.

The Sponsor has evaluated the security procedures in
place for safeguarding the Trust’s bitcoins. Nevertheless, the security procedures cannot guarantee the prevention of any
loss due to a security breach, hack, software defect or act of God that may be borne by the Trust and the security procedures
may not protect against all errors, software flaws or other vulnerabilities in the Trust’s technical infrastructure, which
could result in theft, loss or damage of its assets. The Sponsor does not control the Bitcoin Custodian’s or the Additional
Bitcoin Custodian’s operations or implementation of such security procedures and there can be no assurance that such security
procedures will actually work as designed or prove to be successful in safeguarding the Trust’s assets against all possible
sources of theft, loss or damage.

The security procedures and operational
infrastructure may be breached due to the actions of outside parties, error or malfeasance of an employee of the Sponsor, the
Bitcoin Custodian, the Additional Bitcoin Custodian or otherwise, and, as a result, an unauthorized party may obtain access to
the Trust’s account with the Bitcoin Custodian, the private keys (and therefore bitcoin) or other data of the Trust. Additionally,
outside parties may attempt to fraudulently induce employees of the Sponsor, the Bitcoin Custodian, the Additional Bitcoin Custodian
or the Trust’s other service providers to disclose sensitive information in order to gain access to the Trust’s infrastructure.
As the techniques used

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to obtain unauthorized access, disable or degrade service,
or sabotage systems change frequently, or may be designed to remain dormant until a predetermined event and often are not recognized
until launched against a target, the Sponsor, the Bitcoin Custodian and the Additional Bitcoin Custodian may be unable to anticipate
these techniques or implement adequate preventative measures. The Bitcoin Custodian is also dependent on key service providers,
including, without limitation, its data centers, and if these were to cease operation or be the subject of operational problems
or security threats, it could affect the Trust’s Bitcoin Account or Clearing Account with the Bitcoin Custodian or the Trust’s
Additional Bitcoin Account with the Additional Bitcoin Custodian.

An actual or perceived breach of the Trust’s
Bitcoin Account or Clear