Company: BTBT
Filing Date: 2025-07-03
Form Type: S-8 POS
Source: 0001213900-25-061371
Chunk: 91

Company: Bit Digital, Inc
Filing Date: 2025-07-03
Form: S-8 POS
Chunk 91
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 result in the impairment of deferred tax assets that are established based on existing law at the
time of deferral. A number of factors may increase WhiteFiber’s future effective income tax rate, including:

| ● | Governmental authorities increasing                                    
 taxes or eliminating deductions, particularly the depletion deduction. |

| ● | The jurisdictions in which 
 earnings are taxed.        |

| ● | The resolution of issues arising              
 from tax audits with various tax authorities. |

| ● | Changes in the valuation of              
 our deferred tax assets and liabilities. |

| ● | Adjustments to estimated taxes            
 upon finalization of various tax returns. |

| ● | Changes in available tax credits. |

| ● | Changes in stock-based compensation. |

| ● | Other changes in tax laws; or |

| ● | The interpretation of tax laws and/or administrative practices. |

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Our business may be adversely affected by future changes in the European Union’s regulations related to AI, which could be reflected in Icelandic and European Union countries’ domestic laws and regulations.

While
no current Icelandic legislation directly impacts colocation operations, Iceland, being a member of the European Economic Area, is likely
to be influenced by forthcoming European Union acts such as the Artificial Intelligence Act and the AI Liability Directive. These acts
may shape the future regulatory landscapes in Iceland and lead the Icelandic government to adopt such regulations domestically.

The
potential adoption of said AI regulatory framework could introduce new compliance requirements for our data centers, as well as other
legal and regulatory obligations, impacting operational practices and liability considerations for our data centers. This could ultimately
adversely affect our Company’s business and financial results.

We incur significant costs and demands upon management and accounting and finance resources as a result of complying with the laws and regulations affecting public companies; if we fail to maintain proper and effective internal controls, our ability to produce accurate and timely financial statements and otherwise make timely and accurate public disclosure could be impaired, which could harm our operating results, our ability to operate our business and our reputation.

As
a public company, we are subject to the reporting requirements of the Exchange Act, the Sarbanes-Oxley Act and the Dodd-Frank Act and
are required to prepare its financial statements according to the rules and regulations required by the SEC. The Exchange Act requires
that we file annual, quarterly, current reports and proxy statements. Our failure to prepare and disclose this information in a timely
manner or to otherwise comply with applicable law could subject us to penalties