Company: ZDAN
Filing Date: 2025-02-18
Form Type: DRS/A
Source: 0001683168-25-001085
Chunk: 164

Company: Zerolimit Technology Holding Co. Ltd.
Filing Date: 2025-02-18
Form: DRS/A
Chunk 164
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 in China has not materially impacted our results of
operations. According to the National Bureau of Statistics of China, the year-over-year percent changes in the consumer price index for
2021, 2022 and 2023 were increases of 0.9% 2.0% and 0.2%, respectively. Although we have not in the past been materially affected by
inflation since our inception, we can provide no assurance that we will not be affected in the future by higher rates of inflation in
China.

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<div align='center'>BUSINESS</div>

We conduct our business and operations in China through the VIE. The following description of our business is a description of the business of the VIE. For avoidance of doubt, all references in this section to the terms “our,” “us,” “we,” or “Company” refer to the VIE. See “Corporate History and Structure — The VIE Agreements” for a summary of the contractual arrangements and “Risk Factors — Risks Related to Our Corporate Structure” for certain risks related to the contractual arrangements.

Background

As the internet continues
to develop, we believe certain problems with the traditional and current networks (which can informally be referred to as Web 2.0) will
become more and more pronounced. Among them are: (1) security concerns; (2) centralization concerns, for example, certain companies have
full control over personal data stored on their centralized servers; and (3) resource limitation concerns, for instance, as virtual or
augmented reality and AI (and other technologies loosely considered to be a part of Web3) become more ubiquitous, the processing power,
bandwidth, and storage resources required for such data increases, and consequently, companies and individuals find themselves requiring
newer and more advanced equipment to keep up with the increasing resource demands. We believe that we offer solutions to the limitations
of traditional networks. Secure, decentralized distributed networks can be created at relatively little cost, whereby a company or individual
can have at their disposal sufficient processing power, bandwidth, and storage necessary to meet the increased demands of the next generation
of the internet which some have coined “Web3” through the secure sharing of resources across the decentralized network. Web3
is built on the concepts of decentralization, openness, and user-control of data, shifting away from centralization in the current Web
2.0 landscape by leveraging technologies such as distributed networks, encryption algorithms, and blockchain.

Our Mission