Company: FUFU
Filing Date: 2025-11-07
Form Type: F-3
Source: 0001213900-25-107483
Chunk: 43

Company: Bitfufu Inc.
Filing Date: 2025-11-07
Form: F-3
Chunk 43
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 the taxable
year in which we pay a dividend or for the preceding taxable year. See the discussion below under “—Passive Foreign Investment Company Status.”

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The amount of any dividend
paid in foreign currency will be the U.S. dollar value of the foreign currency distributed by us, calculated by reference to the
spot exchange rate in effect on the date the dividend is includible in the U.S. Holder’s income, regardless of whether the
payment is in fact converted into U.S. dollars on the date of receipt. Generally, a U.S. Holder should not recognize any foreign
currency gain or loss if the foreign currency is converted into U.S. dollars on the date the payment is received. However, any gain
or loss resulting from currency exchange fluctuations during the period from the date the U.S. Holder includes the dividend payment
in income to the date such U.S. Holder actually converts the payment into U.S. dollars will be treated as ordinary income or
loss.

To the extent that the amount
of any distribution made by us on the Class A Ordinary Shares exceeds our current and accumulated earnings and profits for a 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