Company: ZDAN
Filing Date: 2025-01-10
Form Type: DRS/A
Source: 0001683168-25-000168
Chunk: 83

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-01-10
Form: DRS/A
Chunk 83
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modify its products and platform in order to comply with these changes. In addition, government agencies or private organizations have
imposed and may impose additional taxes, fees or other charges for accessing the internet or commerce conducted via the internet or other
networks. These laws or charges could limit the growth of internet-related commerce or communications as well as decentralized distributed
networks generally, or result in reductions in the demand for internet-based products and services or other network-based products such
as the VIE products. In addition, the use of the internet or other networks as a business tool could be adversely affected due to delays
in the development or adoption of new standards and protocols to handle increased demands of internet or other network activity, security,
reliability, cost, ease-of-use, accessibility and quality of service. The performance of the internet or other networks and their acceptance
as business tools has been adversely affected by “viruses,” “worms,” and similar malicious programs. If the use
of the internet or other networks is reduced as a result of these or other issues, then demand for the VIE’s products could decline,
which could adversely affect our business, results of operations and financial condition.

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We are exposed to the risks of litigation and arbitration in the course of our operations.

We may from time to time
be subject to various legal or administrative claims and proceedings arising from the ordinary course of business. Litigation or any
other legal or administrative proceeding, regardless of the outcome, is likely to result in substantial cost and diversion of our resources,
including our management’s time and attention.

If we fail to defend ourselves
in these actions, we may be subject to restrictions, fines or penalties that will materially and adversely affect our operations. Even
if we are successful in our attempt to defend ourselves in legal and regulatory actions or to assert our rights under various laws and
regulations, the process of communicating with relevant regulators, defending ourselves and enforcing our rights against the various
parties involved may be expensive and time-consuming. These actions could expose us to negative publicity, substantial monetary damages
and legal defense costs, injunctive relief and criminal and civil fines and penalties, including but not limited to suspension or revocation
of licenses to conduct business.

We may face tax liabilities for historical reporting errors.

In the ordinary course of
our business, we are subject to complex income tax and other tax regulations, and significant judgment is required in the determination
of a provision for income taxes. Although we believe our tax provisions