Company: BTBT
Filing Date: 2025-07-03
Form Type: S-8 POS
Source: 0001213900-25-061371
Chunk: 122

Company: Bit Digital, Inc
Filing Date: 2025-07-03
Form: S-8 POS
Chunk 122
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, 2021 short seller report and included, among other things, additional information concerning
our previously discontinued peer to peer lending business. We filed a motion to dismiss the lawsuit and vigorously defended the action.
While that motion was pending, the Company agreed with the lead plaintiff selected in the case to settle the class action by paying $2,100,000.
The Company chose to do that to eliminate the burden, expense and uncertainties of further litigation. The Company continues to deny the
allegations in the Amended Complaint and nothing in the settlement is evidence of any liability on the Company’s behalf.

On March 7, 2023, a final
judgment in this matter was entered approving the settlement and certifying the class for purposes of enforcing the settlement and payment
was then made by the Company.

We have not paid Ordinary Share dividends in the past and do not anticipate paying cash dividends in the foreseeable future.

We have never declared
or paid any cash dividends with respect to our Ordinary Shares and do not intend to pay any cash dividends in the foreseeable future.
The Preference Shares beneficially held by our Chairman of the Board and Chief Financial Officer provide for a preferential eight (8%)
percent ($800,000) annual dividend when and if declared by the Board. On February 7, 2023, December 8, 2023, and December 20, 2024, the
Board of Directors declared eight (8%) percent dividends on the preference shares to Geney Development Ltd., an entity beneficially owned
by the Company’s Chairman and Chief Financial Officer for the years ended December 31, 2022, 2023, and 2024. We currently plan to
retain any future earnings to cover operating costs and otherwise fund the growth of our business. We cannot assure you that we would,
at any time, generate sufficient surplus cash that would be available for distribution to the holders of our Ordinary Shares as a dividend.
As a result, capital appreciation, if any, of our Ordinary Shares will be the sole source of gain for the foreseeable future. There is
no guarantee that our Ordinary Shares will appreciate in value or even maintain the price at which a shareholder purchased such shareholder’s
shares.

We may be unable to comply with the applicable continued listing requirements of the Nasdaq Capital Market, which may adversely impact our access to capital markets and may cause us to default under certain of our agreements.

Our Ordinary Shares are
currently traded on the Nasdaq Capital Market. Nasdaq rules require us to