Company: PFSA
Filing Date: 2025-10-29
Form Type: 424B3
Source: 0001213900-25-103174
Chunk: 105

Company: Profusa, Inc.
Filing Date: 2025-10-29
Form: 424B3
Chunk 105
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 the value of the
collateral would not reflect potential gains in the market value of bitcoin, all of which could negatively affect our business and
implementation of our bitcoin strategy.

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Changes in the accounting treatment of our bitcoin holdings could have significant accounting impacts, including increasing the volatility of our results.In
December 2023, the FASB issued ASU 2023-08, which upon our adoption will require us to measure in-scope crypto assets (including
our bitcoin holdings) at fair value in our statement of financial position, and to recognize gains and losses from changes in the fair
value of our bitcoin in net income each reporting period. ASU 2023-08 will also require us to provide certain interim and annual
disclosures with respect to our bitcoin holdings. Due to the volatility in the price of bitcoin, the adoption of ASU 2023-08 could
have a material impact on our financial results in future periods, increase the volatility of our financial results, affect the carrying
value of our bitcoin on our balance sheet, and could result in tax-related adjustments, which in turn could have a material adverse effect
on our financial results and the market price of our common stock.

The broader digital assets
industry, including the technology associated with digital assets, the rate of adoption and development of, and use cases for, digital
assets, market perception of digital assets, and the legal, regulatory, and accounting treatment of digital assets are constantly developing
and changing, and there may be additional risks in the future that are not possible to predict.

Bitcoin is a highly volatile asset, and fluctuations in the price of bitcoin are likely to influence our financial results and the market price of our common stock.

Bitcoin is a highly volatile
asset, and fluctuations in the price of bitcoin are likely to influence our financial results and the market price of our common stock.
Our financial results and the market price of our common stock would be adversely affected, and our business and financial condition would
be negatively impacted, if the price of bitcoin decreased substantially (as it has in the past, such as during 2022), including as a result
of:

| ● | decreased user and investor confidence in bitcoin, including due to the various factors described herein; |

| ● | investment and trading activities, such as (i) trading activities of highly active retail and institutional                              
 users, speculators, miners and investors, (ii) actual or expected significant dispositions of bitcoin by large holders, and