Company: ABTC
Filing Date: 2025-08-29
Form Type: S-3/A
Source: 0001213900-25-082524
Chunk: 18

Company: American Bitcoin Corp.
Filing Date: 2025-08-29
Form: S-3/A
Chunk 18
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 fiduciary duties, subject to certain exceptions. The Proposed Charter will include a provision that eliminates the personal
liability of directors and officers for monetary damages for any breach of fiduciary duty as a director or officer, except to the extent
such exemption from liability or limitation thereof is not permitted under the DGCL. The effect of these provisions will be to eliminate
the rights of us and our stockholders, through stockholders’ derivative suits on our behalf, to recover monetary damages from a
director for breach of fiduciary duty as a director, including breaches resulting from grossly negligent behavior. This provision will
not limit or eliminate the liability of any officer in any action by us or in our right, including any derivative claims. Exculpation
under this provision will not apply to any director or officer if the director or officer has breached the duty of loyalty to us and our
stockholders, acted in bad faith, knowingly or intentionally violated the law, authorized illegal dividends or redemptions or derived
an improper benefit from their actions as a director or officer.

The Proposed Charter will
provide that we must generally indemnify and advance expenses to, our directors and officers to the fullest extent authorized by the DGCL. We
are also expressly authorized to carry directors’ and officers’ liability insurance providing indemnification for our directors,
officers and certain employees for some liabilities. It is also expected that we will enter into indemnification agreements with our directors,
which agreements will require us to indemnify these individuals to the fullest extent permitted under Delaware law against liabilities
that may arise by reason of their service to us and to advance expenses incurred as a result of any proceeding against them as to which
they could be indemnified.

The limitation of liability,
indemnification and advancement provisions in the Proposed Charter may discourage stockholders from bringing a lawsuit against directors
for breach of their fiduciary duty. These provisions also may have the effect of reducing the likelihood of derivative litigation against
directors and officers, even though such an action, if successful, might otherwise benefit us and our stockholders. In addition, your
investment may be adversely affected to the extent we pay the costs of settlement and damage awards against directors and officers pursuant
to these indemnification provisions.

Registration Rights

We have entered into the Investors’
Rights Agreement. The operative provisions of the Investors’ Rights Agreement will become effective at the closing of the Mergers.
The Investors’ Rights Agreement provides, that following the closing of the Mergers,