Company: BTBT
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110383
Chunk: 63

Company: Bit Digital, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 1
Chunk 63
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PC Limited for investment
of $15.9 million in its AI Innovation Fund I. The investment includes a direct investment into private equity and fund of fund opportunities
within the AI industry. On May 20, 2025 the Company invested an additional $2.0 million into the fund.

As
a practical expedient, the Company uses Net Asset Value (“NAV”) or its equivalent to measure the fair value of the investment
in the fund. For the three months ended September 30, 2025, the Company recorded cumulative downward adjustments of $75,000 on the investment.
For the nine months ended September 30, 2025, the Company recorded cumulative downward adjustments of $225,000 on the investment. 

31

(h) Investment
in Innovation Fund I (“Innovation fund”)

After
the Company disposed its BVI entities for its previous fund operation (See Note 20. Disposition of Bit Digital Investment Management
Limited and Bit Digital Innovation Master Fund Spc Limited for more information), the Company no longer consolidates the investment
in the fund. As a practical expedient, the Company uses Net Asset Value (“NAV”) or its equivalent to measure the fair value
of the investment in the fund.

In
March 2025, the Company invested an additional 3,400 ETH into the fund, equivalent to approximately $7.0 million based on the ETH-to-USD
exchange rate at the time of investment.

In
August 2025, the Company invested an additional 9,000 ETH into the fund, equivalent to approximately $40.6 million based on the ETH-to-USD
exchange rate at the time of investment.

For
the three months ended September 30, 2025 and 2024, the Company recorded cumulative upward adjustments of $7,094,032 and cumulative downward
adjustments of $2,058,996, respectively, on the investment. For the nine months ended September 30, 2025 and 2024, the Company recorded
cumulative upward adjustments of $6,470,555 and $617,241, respectively, on the investment.

11.
OTHER NON-CURRENT ASSETS, NET

Other
non-current assets were comprised of the following:

    September
    30,  2025  
    December 31,
    2024 
  
    Deposits (a) 
    $        5,094,966  
    $        7,103,560