Company: BTBT
Filing Date: 2025-07-03
Form Type: S-8 POS
Source: 0001213900-25-061371
Chunk: 119

Company: Bit Digital, Inc
Filing Date: 2025-07-03
Form: S-8 POS
Chunk 119
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We have a dual class share structure that allows our directors to issue preference shares that could be dilutive to your interests as an ordinary shareholder.

Our authorized share
capital is US$3,500,000 divided into 340,000,000 Ordinary Shares of par value US$0.01 each and 10,000,000 preference shares of par value
US$0.01 each (“preference shares”). We currently have 1,000,000 preference shares issued and outstanding, with such preference
shares entitled to fifty (50) votes per share and a preferred dividend at the annual rate of 8% of the original purchase price per preference
share (subject to adjustments), as disclosed below.

Our directors have the
discretion to issue preference shares without shareholder approval. The issuance of preference shares could be dilutive to the interests
of holders of Ordinary Shares which could cause the market price of our Ordinary Shares could be adversely affected.

The terms of our preference
shares are the same as our Ordinary Shares, except with respect to the following matters:

Dividends.The
holders of our preference shares are entitled to receive, when, if and as paid or declared by the Directors, out of assets legally available
therefor, prior and in preference to any declaration or payment of any dividend on our ordinary shares, dividends at the annual rate of
eight percent (8%) of the original purchase price per preference share, as adjusted for any share combinations or subdivisions, bonus
issues and similar recapitalization events ("Recapitalization Events"). The right to dividends on preference shares is not cumulative,
and no right accrues to holders of preference shares by reason of the fact that dividends on said shares are not declared in any period,
nor shall any undeclared or unpaid dividend bear or accrue interest.

Liquidation / Insolvency Preference. On a liquidation of the Company, the holder of any preference shares shall have the right to receive in preference to
the holders of the ordinary shares, the greater of (A) the original purchase price of that preference share (adjusted for any Recapitalization
Events) plus any declared but unpaid dividends thereon, but with no right to share in the distribution of any surplus assets of the Company,
or (B) that amount that such preference share would have received had it been converted into an ordinary share pursuant to the conversion
provisions in our Articles (as summarized below) on the day immediately prior to the date on which the Company entered liquidation