Company: FUFU
Filing Date: 2025-07-08
Form Type: F-3
Source: 0001213900-25-061902
Chunk: 43

Company: Bitfufu Inc.
Filing Date: 2025-07-08
Form: F-3
Chunk 43
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 taxable
year (as determined under U.S. federal income tax principles), the distribution will first be treated as a tax-free return of
capital, causing a reduction in the adjusted basis of the U.S. Holder’s Class A Ordinary Shares, and to the extent the
amount of the distribution exceeds the U.S. Holder’s tax basis, the excess will be taxed as capital gain recognized on a sale
or exchange as described below under “—Sale, Exchange, Redemption or Other Taxable Disposition of Class A Ordinary Shares.” However, we may not calculate earnings and profits in accordance with U.S. federal income tax principles. In such
event, a U.S. Holder should expect to generally treat distributions we make as dividends.

Sale, Exchange, Redemption or Other Taxable Disposition of BitFuFu Securities

Subject to the discussion
below under “— Passive Foreign Investment Company Status,” a U.S. Holder will generally recognize gain
or loss on any sale, exchange, or other taxable disposition of Class A Ordinary Shares in an amount equal to the difference between
the amount realized on the disposition and such U.S. Holder’s adjusted tax basis in such Class A Ordinary Shares. Any
gain or loss recognized by a U.S. Holder on a taxable disposition of Class A Ordinary Shares will generally be capital gain
or loss and will be long-term capital gain or loss if the holder’s holding period in the Class A Ordinary Shares exceeds
one year at the time of the disposition. Preferential tax rates may apply to long-term capital gains of non-corporate U.S. Holders.
The deductibility of capital losses is subject to limitations. Any gain or loss recognized by a U.S. Holder on the sale or exchange
of Class A Ordinary Shares will generally be treated as U.S. source gain or loss.

Passive Foreign Investment Company Status

Certain adverse U.S. federal
income tax consequences could apply to a U.S. Holder if we, or any of our subsidiaries, is treated as a PFIC for any taxable year
during which the U.S. Holder holds Class A Ordinary Shares. A non-U.S. corporation will be classified as a PFIC for any
taxable year (a) if at least 75% of its gross income in a taxable year, including its pro rata share of the gross income of any entity
in 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