Company: ABTC
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076632
Chunk: 54

Company: American Bitcoin Corp.
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 8
Chunk 54
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 and related professional fees were expensed as of each of the acquisition
termination dates.

As
of the Captus Assignment Agreement, the Company had approximately $1,953,000 of cash deposits and related professional fees, which were
expensed as of the assignment date.

Also, the Company had approximately $223,000 of fees related to three
other potential acquisitions. The $253,000 was expensed upon the termination dates of the contracts.

Loss on disposal of
asset

Loss
on disposal of asset was $83,000 for the six months ended June 30, 2025, as compared to $146,000 for the six months ended June 30, 2024.
The loss related to the April 2025 disposal of 66 miners with a cost basis of approximately $132,000 and accumulated depreciation of approximately
$49,000.

ABTC merger costs

On
May 9, 2025, the Company entered into an Agreement and Plan of Merger with ABTC. For the six months ended June 30, 2025, the Company
incurred approximately $989,000 of costs related to the ABTC merger, consisting of $543,000 for legal fees, $103,000 for accounting
services, $200,000 for fairness opinion, $128,000 for the modification of the Anchorage warrant, and $15,000 of other miscellaneous
expenses.

Interest expense

For
the six months ended June 30, 2025, interest expense was $9,000 as compared to $620,000 for June 30, 2024. For the six months ended June
30, 2024 interest expense was related to the note payable denominated in Bitcoin. As to the Bitcoin denominated note payable was settled
in October 2024 and accounted for as a troubled debt restructuring, the new note payable principal balance was increased for aggregate
interest expense accrued under the prior note, and as such the monthly interest payment reduces the note payable balance; therefore, the
Company did not recognize interest expense for the six months ended June 30, 2025.

Three months ended June 30, 2025 compared to the three months ended
June 30, 2024 

The following table shows the Company’s
results of operations for the three months ended June 30,

    Change 

    2025  
    2024  
    Dollar  
    Percentage 
  
    Revenues 

    Mining revenues