Company: XTKG
Filing Date: 2025-04-25
Form Type: 20-F
Source: 0001213900-25-035626
Chunk: 75

Company: X3 Holdings Co., Ltd.
Filing Date: 2025-04-25
Form: 20-F
Item: Item 3
Chunk 75
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 or such persons predicated upon the civil liability
provisions of the securities laws of the U. S. or any state.

The recognition and enforcement
of foreign judgments are provided for under the PRC Civil Procedures Law. PRC courts may recognize and enforce foreign judgments
in accordance with the requirements of the PRC Civil Procedures Law based either on treaties between China and the country where
the judgment is made or on principles of reciprocity between jurisdictions. China does not have any treaties or other forms of written
arrangement with the U. S. that provide for the reciprocal recognition and enforcement of foreign judgments. In addition, according to
the PRC Civil Procedures Law, the PRC courts will not enforce a foreign judgment against us or our directors and officers if they
decide that the judgment violates the basic principles of PRC laws or national sovereignty, security, or public interest. As a result,
it is uncertain whether and on what basis a PRC court would enforce a judgment rendered by a court in the U. S. See “ Enforceability
of Civil Liabilities.”

It may also be difficult for
you or overseas regulators to conduct investigations or collect evidence within China. For example, in China, there are significant legal
and other obstacles to obtaining information needed for shareholder investigations or litigation outside China or otherwise with respect
to foreign entities. Although the authorities in China may establish a regulatory cooperation mechanism with its counterparts of another
country or region to monitor and oversee cross-border securities activities, such regulatory cooperation with the securities regulatory
authorities in the United States may not be efficient in the absence of a practical cooperation mechanism. Furthermore, according to Article
177 of the PRC Securities Law, or “ Article 177”, which became effective in March 2020, no overseas securities regulator is
allowed to directly conduct investigations or evidence collection activities within the territory of the PRC. Article 177 further provides
that Chinese entities and individuals are not allowed to provide documents or materials related to securities business activities to foreign
agencies without prior consent from the securities regulatory authority of the PRC State Council and the competent departments of the
PRC State Council. While detailed interpretation of or implementing rules under Article 177 have yet to be promulgated, the inability
for an overseas securities regulator to directly conduct investigation or evidence collection activities within China may further increase
difficulties faced by you in protecting your interests.

Our Ordinary Shares may be delisted under
the HFCAA if the PCAOB is unable to inspect auditors or