Company: BTBT
Filing Date: 2025-07-02
Form Type: S-8
Source: 0001213900-25-061020
Chunk: 91

Company: Bit Digital, Inc
Filing Date: 2025-07-02
Form: S-8
Chunk 91
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ocation operations, Iceland, being a member of the European Economic Area, is likely
to be influenced by forthcoming European Union acts such as the Artificial Intelligence Act and the AI Liability Directive. These acts
may shape the future regulatory landscapes in Iceland and lead the Icelandic government to adopt such regulations domestically.

The
potential adoption of said AI regulatory framework could introduce new compliance requirements for our data centers, as well as other
legal and regulatory obligations, impacting operational practices and liability considerations for our data centers. This could ultimately
adversely affect our Company’s business and financial results.

We incur significant costs and demands upon management and accounting and finance resources as a result of complying with the laws and regulations affecting public companies; if we fail to maintain proper and effective internal controls, our ability to produce accurate and timely financial statements and otherwise make timely and accurate public disclosure could be impaired, which could harm our operating results, our ability to operate our business and our reputation.

As
a public company, we are subject to the reporting requirements of the Exchange Act, the Sarbanes-Oxley Act and the Dodd-Frank Act and
are required to prepare its financial statements according to the rules and regulations required by the SEC. The Exchange Act requires
that we file annual, quarterly, current reports and proxy statements. Our failure to prepare and disclose this information in a timely
manner or to otherwise comply with applicable law could subject us to penalties under federal securities laws, expose it to lawsuits and
restrict its ability to access financing. In addition, the Sarbanes-Oxley Act requires that, among other things, that we establish and
maintain effective internal controls and procedures for financial reporting and disclosure purposes. Internal control over financial reporting
is complex and may be revised over time to adapt to changes in our business, or changes in applicable accounting rules. We cannot assure
you that its internal control over financial reporting will be effective in the future or that a material weakness will not be discovered
with respect to a prior period for which it had previously believed that internal controls were effective. If we are not able to maintain
or document effective internal control over financial reporting, our independent registered public accounting firm will not be able to
certify as to the effectiveness of our internal control over financial reporting.

Matters
affecting our internal controls may cause us to be unable to report its financial information on a timely basis, or may cause it to restate
previously issued financial information, and thereby subject us to adverse regulatory consequences, including sanctions or investigations