Company: ZDAN
Filing Date: 2025-07-28
Form Type: F-1/A
Source: 0001683168-25-005450
Chunk: 163

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-07-28
Form: F-1/A
Chunk 163
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’ Bank of China (“PBOC”)
or other authorized financial institutions at exchange rates quoted by PBOC. Approval of foreign currency payments by the PBOC or other
regulatory institutions requires submitting a payment application form together with suppliers’ invoices and signed contracts.
The value of RMB is subject to changes in central government policies and to international economic and political developments affecting
supply and demand in the China Foreign Exchange Trading System market.

Interest Rate Risk

Our exposure to interest
rate risk primarily relates to the short-term and long-term borrowings we have entered with banks. We have not been exposed to material
risks due to changes in interest rates. An increase, however, may raise the cost of any debt we have now or in the future.

Inflation Risk

Our costs and expenses may
also be affected by China’s inflation level. Since our inception, inflation in China has not materially impacted our results of
operations. According to the National Bureau of Statistics of China, the year-over-year percent changes in the consumer price index
for 2021, 2022, 2023, and 2024 were increases of 0.9%, 2.0%, 0.2%, and 0.2%, respectively. Although we have not in the past been
materially affected by inflation since our inception, we can provide no assurance that we will not be affected in the future by higher
rates of inflation in China.

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<div align='center'>BUSINESS</div>

We conduct our business and operations in China through the VIE. The following description of our business is a description of the business of the VIE. For the avoidance of doubt, all references in this section to the terms “our,” “us,” “we,” or “Company” refer to the VIE. See “Corporate History and Structure — The VIE Agreements” for a summary of the contractual arrangements and “Risk Factors — Risks Related to Our Corporate Structure” for certain risks related to the contractual arrangements.

Background

As the internet continues
to develop, we believe certain problems with traditional and current networks (which can informally be referred to as Web 2.0) will become
more and more pronounced. Among them are: (1) security concerns; (2) centralization concerns (e.g., certain companies have full control
over personal data stored on their centralized servers); and (3) resource limitation concerns (e.g., as virtual or augmented reality and
AI (