Company: HODL
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0000930413-25-003438
Chunk: 50

Company: VanEck Bitcoin ETF
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 50
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 introduced
by the core developers and a substantial majority of users and miners consent to the modification, the change is implemented and
the Bitcoin network continues to operate uninterrupted on a single

26

blockchain. However, if less than a substantial majority of users and
miners consent to the proposed modification, but the modification is nonetheless implemented by some users and miners and the modification
is not compatible with the software prior to its modification, the consequence would be what is known as a “fork” (i.e.,
“split”) of the Bitcoin network (and the blockchain), with one version running the pre-modified software and the other
running the modified software. The effect of such a fork would be the existence of two (or more) versions of the Bitcoin network
running in parallel, but with each version’s bitcoin lacking interchangeability, and with different blockchains. Such a fork
in the Bitcoin Blockchain typically would be addressed by community-led efforts to merge the forked Bitcoin Blockchains, and several
prior forks have been so merged. Since the Bitcoin network’s inception, modifications to the Bitcoin network have generally
been accepted by the majority of users and miners, ensuring that the Bitcoin network remains a coherent economic system and the
focal point of the majority of developer activity. There is no assurance, however, that this will continue to be the case, and
if it is not, then the price of bitcoin could be negatively affected. The original blockchain and the forked blockchain could potentially
compete with each other for users, developers, and miners, leading to a loss of these for the original blockchain. A fork of any
kind could adversely affect an investment in the Trust or the ability of the Trust to operate and the Trust’s procedures
may be inadequate to address the effects of a fork.

Additionally, a fork could be introduced by an unintentional, unanticipated
software flaw in the multiple versions of otherwise compatible software miners and users run. It is also possible that, in a future
accidental or unintentional fork, a substantial number of users and miners could adopt an incompatible version of the digital asset
while resisting community-led efforts to merge the two blockchains, resulting in a permanent fork. Any of these events could cause
bitcoin to decline in value.

Furthermore, a hard fork can lead to new security concerns. For example,
when the Ethereum and Ethereum Classic networks split in July 2016, replay attacks, in which transactions from one network were
rebroadcast to nefarious effect on the other network, plagued