Company: SLNH
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001641172-25-001756
Chunk: 46

Company: Soluna Holdings, Inc
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1
Chunk 46
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 act or failure to act in his or her capacity as a director or officer except
if (i) the presumption that such director or officer acted in good faith, on an informed basis and with a view to the interests of the
Company is rebutted, and (ii) it is proven that such director’s or officer’s act or failure to act constituted a breach of
his or her fiduciary duties as a director or officer, and such breach involved intentional misconduct, fraud or a knowing violation of
law. Consequently, subject to the applicable provisions of the NRS and to certain limited exceptions in the Articles and Bylaws, the
Company’s officers and directors will not be liable to the Company or to its stockholders for monetary damages resulting from their
conduct as an officer or director. As a result, we may have to spend significant resources indemnifying our officers and directors or
paying for damages caused by their conduct. 

We incur significant costs as a result of operating
as a public company.

As a public company, we incur significant legal, accounting,
and other expenses. For example, we are subject to the information and reporting requirements of the Securities Act of 1933, as amended
(the “Securities Act”), the Exchange Act and other federal securities laws, rules and regulations related thereto, including
compliance with the Sarbanes-Oxley Act of 2002 (the “Sarbanes-Oxley Act”), and the Dodd-Frank Wall Street Reform and Consumer
Protection Act. In addition, the Nasdaq listing requirements and other applicable securities rules and regulations impose various requirements
on public companies. Our management and other personnel are required to devote a substantial amount of time to these compliance initiatives.
Moreover, these rules and regulations significantly increase our legal and financial compliance costs and make some activities more time-consuming
and costly. Among other things, we are required to:

●maintain and evaluate a system of internal controls over financial
reporting in compliance with the requirements of Section 404(a) of the Sarbanes-Oxley Act and the related rules and regulations of the SEC and the Public Company Accounting Oversight Board;

●maintain policies relating to disclosure controls and procedures;

●prepare and distribute periodic reports in compliance with our
obligations under federal securities laws; institute a more comprehensive compliance function, including with respect to corporate governance;
and

●involve, to a greater degree, our outside legal counsel, and
accountants in the above activities.

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The costs