Company: BTBT
Filing Date: 2025-07-02
Form Type: S-8
Source: 0001213900-25-061020
Chunk: 40

Company: Bit Digital, Inc
Filing Date: 2025-07-02
Form: S-8
Chunk 40
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PC data center located in
Montreal Canada (MTL-1), and expect to commence operations in the fourth quarter of 2025 at MTL-2 and MTL-3. In May 2025, we purchased
a former industrial manufacturing building and land outside of Greensboro, NC which we expect to be operational in March 2026.

In order to maintain its
HPC data centers operational, we will need to acquire sufficient supplies of electricity generated by hydroelectric and geothermal energy.
In addition, our colocation facilities need also to maintain reliable and adequate infrastructure and cooling systems to ensure optimal
performance.

Currently,
Icelandic and Canadian-based data centers and similar facilities, including the ones contracted with the Company, may face significant
risks of energy disruption, curtailment or discontinuance due to low water level in Icelandic reservoirs utilized by hydropower plants,
which provide hydro-generated energy in the country. In the event of a water shortage, and therefore a shortage of hydro-generated energy,
the prioritization framework for Icelandic energy favors residential and certain business uses over data centers and similar facilities.
In addition, volcanic eruptions might interrupt the generation of electricity from geothermal energy, as occurred several times in 2023.

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In
addition, we may be subject to risks and unanticipated costs associated with obtaining power from various utility companies. Utilities
that serve our data centers may be dependent on, and sensitive to price increases for, a particular type of fuel, including hydroelectric.
In addition, the total cost of delivered electricity could increase as a result of: regulations intended to regulate carbon emissions
and other pollutants, ratepayer surcharges related to recovering the cost of extreme weather events and natural disasters (including volcanoes
in Iceland), geopolitical conflicts, military conflicts, grid modernization charges, as well as other charges borne by ratepayers. Increases
in the cost of power at any of our data centers could put those locations at a competitive disadvantage relative to data centers that
are supplied power at a lower price.

Accordingly,
the energy supply for our data centers may be subject to disruption and could become insufficient to support our operations. Our financial
condition or results of operations may be adversely affected if our data centers are disrupted or discontinued due to a curtailment or
interruption of the energy supply.

We depend on third parties to provide network connectivity to the customers in our data centers and any delays or disruptions in connectivity may materially adversely affect