Company: BTBT
Filing Date: 2025-07-03
Form Type: S-8 POS
Source: 0001213900-25-061371
Chunk: 59

Company: Bit Digital, Inc
Filing Date: 2025-07-03
Form: S-8 POS
Chunk 59
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 natural events (such as an earthquake or flood) or human actions (such as a terrorist attack). We may be in
control and possession of one of the more substantial holdings of digital assets. As we increase in size, we may become a more appealing
target of hackers, malware, cyber-attacks or other security threats. Any of these events may adversely affect our operations and, consequently,
our investments and profitability. The loss or destruction of a private key required to access our digital wallets may be irreversible
and we may be denied access for all time to our digital asset holdings held in those compromised wallets. Our loss of access to our private
keys or our experience of a data loss relating to our digital wallets could adversely affect our investments and assets.

Digital assets are controllable only by the possessor
of both the unique public and private keys relating to the local or online digital wallet in which they are held, which wallet’s
public key or address is reflected in the network’s public blockchain. We will publish the public key relating to digital wallets
in use when we verify the receipt of transfers and disseminate such information into the network, but we will need to safeguard the private
keys relating to such digital wallets. To the extent such private keys are lost, destroyed or otherwise compromised, we will be unable
to access our bitcoin rewards and such private keys may not be capable of being restored by any network. Any loss of private keys relating
to digital wallets used to store our digital assets could have a material adverse effect on our ability to continue as a going concern
or to pursue our business strategy at all, which could have a material adverse effect on our business, prospects or operations and potentially
the value of any bitcoin or other digital assets we mine or otherwise acquire or hold for our own account.

It is possible that, through computer or human
error, theft or criminal action, our digital assets could be transferred in incorrect amounts or to unauthorized third parties or accounts.
In general, digital asset transactions are irrevocable, and stolen or incorrectly transferred digital assets may be irretrievable, and
we may have extremely limited or no effective means of recovering such digital assets.

We safeguard and keep private our digital assets,
including the bitcoin that we mine, by utilizing storage solutions provided by Cactus Custody and Fireblocks, which requires multi-factor
authentication. While we are confident in the security of our digital assets held by Cactus Custody and Fireblocks, given the broader
market conditions, there can be no assurance that other