Company: PFSA
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001213900-25-112723
Chunk: 446

Company: Profusa, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Part II, Item 1
Chunk 446
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 may depend, for instance, on public familiarity with digital assets, ease of buying,
accessing or gaining exposure to bitcoin, institutional demand for bitcoin as an investment asset, the participation of traditional financial
institutions in the digital assets industry, consumer demand for bitcoin as a means of payment, and the availability and popularity of
alternatives to bitcoin. Even if growth in bitcoin adoption occurs in the near or medium-term, there is no assurance that bitcoin usage
will continue to grow over the long-term.

Because bitcoin has no physical existence beyond the record of transactions
on the bitcoin blockchain, a variety of technical factors related to the bitcoin blockchain could also impact the price of bitcoin. For
example, malicious attacks by miners, inadequate mining fees to incentivize validating of bitcoin transactions, hard “forks”
of the bitcoin blockchain into multiple blockchains, and advances in digital computing, algebraic geometry, and quantum computing could
undercut the integrity of the bitcoin blockchain and negatively affect the price of bitcoin. The liquidity of bitcoin may also be reduced
and damage to the public perception of bitcoin may occur, if financial institutions were to deny or limit banking services to businesses
that hold bitcoin, provide bitcoin-related services or accept bitcoin as payment, which could also decrease the price of bitcoin. Similarly,
the open-source nature of the bitcoin blockchain means the contributors and developers of the bitcoin blockchain are generally not directly
compensated for their contributions in maintaining and developing the blockchain, and any failure to properly monitor and upgrade the
bitcoin blockchain could adversely affect the bitcoin blockchain and negatively affect the price of bitcoin.

The liquidity of bitcoin may also be impacted to the extent that changes
in applicable laws and regulatory requirements negatively impact the ability of exchanges and trading venues to provide services for bitcoin
and other digital assets.

Our historical financial statements do not reflect our acquisition
of bitcoin, the fact that our bitcoin holdings could be a substantial part of our assets, or the potential variability in earnings that
we may experience in the future relating to our bitcoin holdings.

Our historical financial statements do not reflect our intended acquisition
of bitcoin, that we intend for our bitcoin holdings to comprise most of our total assets, or the potential variability in earnings that
we may experience in the future from holding or selling significant amounts of bitcoin, given our expected asset concentration. The price
of bitcoin has historically been subject to dramatic price fluctuations and is highly volatile. We expect to determine the fair value
of our bitcoin based on quoted (unadjusted) prices on the Coinbase exchange, and following early adoption