Company: BTBT
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076608
Chunk: 179

Company: Bit Digital, Inc
Filing Date: 2025-08-14
Form: 10-Q
Item: Item 2
Chunk 179
---
 covenants that it “possesses, and
will maintain, all licenses, registrations, authorizations and approvals required by any governmental agency, regulatory authority or
other party necessary for it to operate its business and engage in the business relating to its provision of the Services.” On October
5, 2022, Bit Digital further advised Blockfusion that it expects it to comply with the directives of the Notice. Our service agreement
with Blockfusion ended in September 2023. On June 3, 2024, the Company filed suit in Delaware Superior Court against Blockfusion alleging
claims for breach of contract, conversion, and related claims in connection with, among other things, certain deposits and advances paid
to Blockfusion, the return of which is owed to the Company. The Company is seeking in excess of $4.3 million. On October 22, 2024, Blockfusion
denied the Company’s claims and brought reciprocal breach of contract and related counterclaims. Following limited discovery, the
court entered a stipulation and order on June 18, 2025, amending the Case Management Order to extend multiple discovery deadlines and
vacate the previously scheduled trial date. On August 1, 2025, the Company moved for leave to file a Second Amended Complaint, which adds
claims for fraud and related causes of action arising out of Blockfusion’s, conduct both at the inception of and during the parties’
relationship. The second Amended Complaint also names Blockfusion’s CEO, Alexander Martini-Lomanto, as an additional defendant.
The Company continues to seek the recovery of its original investment, invoices payments, and unpaid late development fees and now seeks
additional damages for the tort and equitable claims contained in the Second Amended Complaint pending Court approval, including punitive
damages. If the Company’s Second Amended Complaint is ultimately accepted by the Court, the total amount of damages sought will
be in excess of $5 million. Refer to Note 19. Commitments and Contingencies for further details.

Miner Fleet Update and Overview 

As of December 31, 2024, we had 24,239 miners
owned or operating (in Iceland) for bitcoin mining with a total maximum hash rate of 2.6 EH/s.

On December 10, 2024, we entered into an agreement with an unaffiliated seller of bitcoin mining computers, from whom we acquired 191
S21 miners. As of the date of this report, all of