Company: HODL
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0000930413-25-003438
Chunk: 149

Company: VanEck Bitcoin ETF
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 4
Chunk 149
---
, which may adversely affect the value of bitcoin
and, consequently, the value of the Shares.

Digital asset trading platforms are relatively new and, in some cases,
unregulated. Many operate outside the United States. Furthermore, while many prominent digital asset trading platforms provide
the public with significant information regarding their ownership structure, management teams, corporate practices and regulatory
compliance, many digital asset trading platforms do not provide this information. Digital asset trading platforms may not be subject
to, or may not comply with, regulation in a similar manner as other regulated trading platforms, such as national securities exchanges
or designated contract markets. As a result, the marketplace may lose confidence in digital asset trading platforms, including
prominent trading platforms that handle a significant volume of bitcoin trading.

Many digital asset trading platforms are unlicensed, may be unregulated,
may be subject to regulation in a relevant jurisdiction, but may or may not be in compliance therewith, may operate without extensive
supervision by governmental authorities, and do not provide the public with significant information regarding their ownership structure,
management team, corporate practices, cybersecurity, and regulatory compliance. In particular, those located outside the United
States may be subject to significantly less stringent regulatory and compliance requirements in their local jurisdictions, and
may take the position that they are not subject to laws and regulations that would apply to a national securities exchange or designated
contract market in the United States, or may, as a practical matter, be beyond the ambit of U.S. regulators. As a result, trading
activity on or reported by these digital asset trading platforms is generally significantly less regulated than trading in regulated
U.S. securities and commodities markets, and may reflect behavior that would be prohibited in regulated U.S. trading venues.

The bitcoin market globally and in the United States is not subject
to comparable regulatory guardrails as exist in regulated securities markets. Furthermore, many bitcoin trading venues lack certain
safeguards put in place by exchanges for more traditional assets to enhance the stability of trading on the exchanges and prevent
“flash crashes,” such as limit-down circuit breakers, as demonstrated by the October 2025 Flash Crash. As a result,
the prices of bitcoin on trading venues may be subject to larger and/or more frequent sudden declines than assets traded on more
traditional exchanges. Tools to detect and deter fraudulent or manipulative trading activities such as market manipulation, front-running
of trades, and wash-trading may not be available to or employed by digital asset trading platforms, or may not exist at