Company: HODL
Filing Date: 2025-03-26
Form Type: 10-K
Source: 0000930413-25-000995
Chunk: 140

Company: VanEck Bitcoin ETF
Filing Date: 2025-03-26
Form: 10-K
Item: Item 1
Chunk 140
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 Benchmark
Rate. The Sponsor will monitor for significant events related to crypto assets that may impact the value of bitcoin and will determine
in good faith, and in accordance with its valuation policies and procedures, whether to fair value the Trust’s bitcoin on a given
day based on whether certain pre-determined criteria have been met. For example, if the MarketVectorTM Bitcoin Benchmark
Rate deviates by more than a pre-determined amount from an alternate benchmark available to the Sponsor, then the Sponsor may determine
to utilize the alternate benchmark. The Sponsor evaluates its fair value criteria and the factors in determining such criteria from time
to time and no less than quarterly. The Sponsor may also fair value the Trust’s bitcoin using observed market transactions from
one or more exchanges. The Sponsor may also fair value the Trust’s bitcoin using a combination of inputs in certain situations (e.g.,
using observed market transactions, OTC quotations from brokers, etc.) The value of the Shares of the Trust established by using
the MarketVectorTM Bitcoin Benchmark Rate may be different from what would be produced through the use of another methodology.
Bitcoin or other digital asset investments that are valued using techniques other than those employed by the MarketVectorTM
Bitcoin Benchmark Rate, including bitcoin investments that are “fair valued,” may be subject to greater fluctuation in their
value from one day to the next than would be the case if market-price valuation techniques were used.

The liability of the Sponsor and the Trustee is limited, and the
value of the Shares will be adversely affected if the Trust is required to indemnify the Trustee or the Sponsor.

Under the Trust Agreement, the Trustee and the
Sponsor are not liable, and have the right to be indemnified, for any liability or expense incurred absent gross negligence or willful
misconduct on the part of the Trustee or the Sponsor or breach by the Sponsor of the Trust Agreement, as the case may be. As a result,
the Sponsor may require the assets of the Trust to be sold in order to cover losses or liability suffered by it or by the Trustee. Any
sale of that kind would reduce the NAV of the Trust and the value of its Shares.

Due to the increased use of technologies, intentional
and unintentional cyber-attacks pose operational and information security risks.

With the increased use of technologies such as
the internet and the dependence on computer systems to perform necessary business functions, the Trust is susceptible to operational and
information security risks. In general, cyber incidents can result from