Company: FUFU
Filing Date: 2025-06-10
Form Type: 424B5
Source: 0001213900-25-053161
Chunk: 20

Company: Bitfufu Inc.
Filing Date: 2025-06-10
Form: 424B5
Chunk 20
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 which it is considered to own at
least 25% of the interest by value, is passive income, or (b) if at least 50% of its assets in a taxable year of the foreign corporation,
ordinarily determined based on fair market value and averaged quarterly over the year, including its pro rata share of the assets of any
entity in which it is considered to own at least 25% of the interest by value, are held for the production of, or produce, passive income.
Passive income generally includes dividends, interest, rents and royalties (other than rents or royalties derived from the active conduct
of a trade or business) and gains from the disposition of passive assets. The application of these rules to digital assets and operations
relating thereto, including Bitcoin and Bitcoin mining operations, is subject to uncertainty. For example, it is possible that our Bitcoin
mining operations could cause us to hold digital assets that are treated as commodities or non-inventory property, the excess of
gains over losses from the disposition of which could be treated as passive income. Further, the digital assets themselves could be treated
as passive assets.

Whether we or any of our subsidiaries is treated as a PFIC for U.S. federal income tax purposes is a factual determination that must be
made annually at the close of each taxable year and, thus, is subject to significant uncertainty. Among other factors, fluctuations in
the market price of Class A Ordinary Shares and how, and how quickly, we use liquid assets and cash may influence whether we or any of
our subsidiaries is treated as PFIC. The Company does not believe that it was a PFIC for the taxable year ended December 31, 2024. However,
for the taxable year ending December 31, 2025 and for future taxable years, there can be no assurance that we or any of our subsidiaries
will not be treated as a PFIC for any such taxable year. Moreover, we do not expect to provide a PFIC annual information statement for
2025 or going forward, which will preclude U.S. Holders from making or maintaining a “qualified electing fund” election under
section 1295 of the Code.

If we were determined to be a PFIC for any taxable year (or portion
thereof) that is included in the holding period of a U.S. Holder of Class A Ordinary Shares and, in the case of Class A
Ordinary Shares, the U.S. Holder did not make a valid