Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 47

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 47
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 of preparing and filing annual and quarterly
reports, proxy statements and other information with the SEC and furnishing audited reports to stockholders is expensive and compliance
with these rules and regulations involves a material increase in regulatory, legal, and accounting expenses and the attention of our board
of directors and management. In addition, being a public company makes it more expensive for us to obtain director and officer liability
insurance. In the future, we may be required to accept reduced coverage or incur substantially higher costs to obtain this coverage. These
factors could also make it more difficult for us to attract and retain qualified executives and members of our board of directors. Furthermore,
if we are unable to satisfy our obligations as a public company, we could be subject to fines, sanctions and other regulatory action and
potentially civil litigation

Certain natural disasters
or other external events, including climate change or mechanical failures, could harm our business, financial condition, results of operations,
cash flows, and prospects.

As with any business, we could experience disruptions
due to mechanical failure, human error, physical or electronic security breaches, war, terrorism, fire, earthquake, pandemics, hurricane,
flood, and other natural disasters, sabotage, and vandalism. Our systems may be susceptible to damage, interference, or interruption from
modifications or upgrades, power loss, telecommunications failures, computer viruses, ransomware attacks, computer denial of service attacks,
phishing schemes, or other attempts to harm or access our systems. Such disruptions could materially and adversely affect our business
and our financial condition, operating results, cash flows, and prospects.

We may become involved
in litigation arising in the ordinary course of our business that may materially adversely affect us. 

From time to time, we may
become involved in various legal proceedings relating to matters incidental to the ordinary course of our business, including intellectual
property, commercial, product liability, employment, class action, whistleblower and other litigation and claims, and governmental and
other regulatory investigations and proceedings. Attending to such matters can be time-consuming, divert management’s attention
and resources, cause us to incur significant expenses or liability or require us to change our business practices. Because of the potential
risks, expenses, and uncertainties of litigation, we may, from time to time, settle disputes, even where we believe that we have meritorious
claims or defenses, and we cannot assure you that the results of any of these actions will not have a material adverse effect on our business.
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