Company: XTKG
Filing Date: 2025-04-25
Form Type: 20-F
Source: 0001213900-25-035626
Chunk: 55

Company: X3 Holdings Co., Ltd.
Filing Date: 2025-04-25
Form: 20-F
Item: Item 3
Chunk 55
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 business and operations.

As of the date
of this Annual Report, we and our PRC subsidiaries have received from relevant PRC authorities all requisite licenses, permissions, approvals
or certificates needed for operations in China, and no permission or approval has been denied. As of the date of this Annual Report, our
Company and the subsidiaries have not been involved in any investigations or review initiated by any PRC regulatory authority, not has
any of them received any inquiry, notice or sanction for the business operation, accepting foreign investment or listing on the Nasdaq
Stock Market. We are required to continue to comply with the provisions of the laws, regulations and policies of mainland China for the
operations of our subsidiaries in China and we remain subject to the supervision of the relevant regulatory authorities of mainland China.
However, since these statements and regulatory actions are newly published, it is uncertain what future impact such modified or new laws
and regulations will have on our daily business operations, the ability to accept foreign investments and our continued listing on the
Nasdaq Stock Market. Given the uncertainties of interpretation and implementation of laws and regulations and the enforcement practice
by government authorities, we may be required to obtain additional licenses, permits, filings or approvals for our business and operations
in the future. We cannot assure you that we will be able to obtain, in a timely manner or at all, or maintain such licenses, permits or
approvals, and we may also inadvertently conclude that such permissions or approvals are not required. Any lack of or failure to maintain
requisite approvals, licenses or permits applicable to us or our PRC subsidiaries may have a material adverse impact on our business,
results of operations, financial condition and prospects, significantly limit or completely hinder our ability to offer or continue to
offer securities to investors, and cause the value of our securities to significantly decline or become worthless.

Adverse changes in political, economic and
other policies of the Chinese government could have a material adverse effect on the overall economic growth of China, which could materially
and adversely affect the growth of our business and our competitive position.

A very substantial portion
of our assets and operations are currently located in mainland China. Accordingly, our business, financial condition, results of operations
and prospects are affected significantly by economic, political and legal developments in China. Although the PRC economy has been transitioning
from a planned economy to a more market-oriented economy since the late 1970s, the PRC government continues to exercise significant control
over China’s economic growth through direct allocation