Company: BTBT
Filing Date: 2025-09-29
Form Type: 424B5
Source: 0001213900-25-093122
Chunk: 96

Company: Bit Digital, Inc
Filing Date: 2025-09-29
Form: 424B5
Chunk 96
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 primary supervision of a court within 
 the United States and for which one or more U.S. persons have the authority to control all     
 substantial decisions, or (ii) that has a valid election in effect under applicable U.S.       
 Treasury Regulations to be treated as a U.S. person.                                           |

If a partnership (or other entity or arrangement treated as a partnership for U.S. federal income tax purposes) holds the notes or ordinary shares, the tax treatment of a partner in the partnership will generally depend on the status and the activities of the partnership. Partners in a partnership holding the notes or ordinary shares should consult their tax advisors regarding the tax considerations of an investment in the notes or ordinary shares.

Interest on the Notes

It is anticipated, and this discussion assumes, that the notes will be issued with less than a de minimisamount of original issue discount, if any (as determined under the Code). In such case, interest paid on the notes will be taxable to a U.S. Holder as ordinary income at the time it is paid or accrued in accordance with such holder’s method of accounting for U.S. federal income tax purposes and will include amounts withheld in respect of any foreign taxes. Interest income on the notes will generally constitute non-U.S. source income and will generally be treated as “passive category income” for foreign tax credit limitation purposes. The rules governing the foreign tax credit are complex. U.S. Holders should consult their tax advisors regarding the availability of the foreign tax credit under their particular circumstances.

Additional Payments

We may elect to or be required to make additional payments (in cash or in ordinary shares) on the notes in excess of stated principal and interest in certain circumstances. See discussions above under “Description of the Notes—Events of Default” and “Description of the Notes—Conversion Rights.” The election or obligation to make these payments may implicate the provisions of the U.S. Treasury Regulations relating to “contingent payment debt instruments.” We believe and intend to take the position that the possibility of such payments does not result in the notes being treated as contingent payment debt instruments under the applicable U.S. Treasury Regulations.

Our position that the notes are not contingent payment debt instruments is binding on each U.S. Holder unless such U.S. Holder discloses its contrary position to the IRS in the manner required by applicable U.S. Treasury Regulations. Our position that the notes are not contingent payment debt instruments is not, however, binding on the IRS. If the IRS successfully challenged this position, and the notes were treated