Company: PFSA
Filing Date: 2025-10-29
Form Type: 424B3
Source: 0001213900-25-103174
Chunk: 120

Company: Profusa, Inc.
Filing Date: 2025-10-29
Form: 424B3
Chunk 120
---
ians with which we will custody substantially all of our bitcoin, could have a material adverse effect on our business,
prospects, financial condition, and operating results.

If bitcoin is determined to
constitute a security for purposes of the federal securities laws, the additional regulatory restrictions imposed by such a determination
could adversely affect the market price of bitcoin and in turn adversely affect the market price of our common stock. See “Risk Factors — Regulatory change reclassifying bitcoin as a security could lead to our classification as an “investment company” under the Investment Company Act of 1940, as amended, or the 1940 Act, and could adversely affect the market price of bitcoin and the market price of our common stock” above. Moreover, the risks of us engaging in a bitcoin treasury strategy
could create complications due to the lack of experience that third parties have with companies engaging in such a strategy, such as increased
costs of director and officer liability insurance or the potential inability to obtain such coverage on acceptable terms in the future.

A temporary or permanent blockchain “fork” to bitcoin or other crypto assets could adversely affect our business.

Blockchain protocols, including
bitcoin, are open source. Any user can download the software, modify it, and then propose that bitcoin or other blockchain protocols users
and miners adopt the modification. When a modification is introduced and a substantial majority of users and miners consent to the modification,
the change is implemented and the bitcoin or other blockchain protocol networks, as applicable, remain uninterrupted. However, if less
than a substantial majority of users and miners consent to the proposed modification, 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 impacted blockchain protocol network and respective blockchain, with one prong running the pre-modified software and the other running
the modified software. The effect of such a fork would be the existence of two parallel versions of the bitcoin or other blockchain protocol
network, as applicable, running simultaneously, but with each split network’s crypto asset lacking interchangeability. A “hard
fork” — where there is disagreement among the users about the rules of the network — can have a significant
negative impact on value of the crypto asset.

The bitcoin has been subject
to “forks” that resulted in the creation of new networks, including bitcoin cash ABC, bitcoin cash SV, bitcoin diamond, bitcoin
gold and others. Some of these forks have caused fragmentation among platforms as to