# EDGAR Filing Document

**Accession Number:** 0001964789
**File Stem:** 0001104659-26-055891
**Filing Date:** 2026-5
**Character Count:** 334770
**Document Hash:** 580119bbb626a1141679ba9a4003ae86
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001104659-26-055891.hdr.sgml**: 20260506

**ACCESSION NUMBER**: 0001104659-26-055891

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 118

**CONFORMED PERIOD OF REPORT**: 20260331

**FILED AS OF DATE**: 20260506

**DATE AS OF CHANGE**: 20260506

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** Hut 8 Corp.
- **CENTRAL INDEX KEY:** 0001964789
- **STANDARD INDUSTRIAL CLASSIFICATION:** FINANCE SERVICES [6199]
- **ORGANIZATION NAME:** 09 Crypto Assets
- **EIN:** 922056803
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1231

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-41864
- **FILM NUMBER:** 26945711

**BUSINESS ADDRESS:**
- **STREET 1:** 1101 BRICKELL AVENUE, SUITE 1500
- **CITY:** MIAMI
- **STATE:** FL
- **ZIP:** 33131
- **BUSINESS PHONE:** 305-224-6427

**MAIL ADDRESS:**
- **STREET 1:** 1101 BRICKELL AVENUE, SUITE 1500
- **CITY:** MIAMI
- **STATE:** FL
- **ZIP:** 33131

?xml version='1.0' encoding='ASCII'? Hut 8 Corp._March 31, 2026

[**Table of Contents**](#TOC)

------

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**Washington, D.C. 20549**

**FORM 10-Q**

**(Mark One)**

**☒** **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934** 

**For the quarterly period ended March 31, 2026**

**OR**

**☐** **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**For the transition period from &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; to &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**

**Commission file number 001-41864**

**Hut 8 Corp.**

**(Exact name of registrant as specified in its charter)**

---

| | |
|:---|:---|
| **Delaware** | **92-2056803** |
| (State or other jurisdiction of<br>incorporation or organization) | (I.R.S. Employer Identification No.) |
| **1101 Brickell Avenue, Suite 1500** |  |
| **Miami, Florida** | **33131** |
| (Address of principal executive offices) | (Zip Code) |

---

**(305) 224-6427**

(Registrant's telephone number, including area code)

**Securities registered pursuant to Section 12(b) of the Act:**

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| **Common Stock, par value $0.01 per share** | **HUT** | **The Nasdaq Stock Market LLC**<br>**Toronto Stock Exchange** |

---

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90 days.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Yes **☒**&nbsp;&nbsp;&nbsp;&nbsp; No **☐**

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Yes **☒** No **☐**

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | **☒** | Accelerated filer | **☐** |
| Non-accelerated filer | **☐** | Smaller reporting company | **☐** |
|  |  | Emerging growth company | **☐** |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; **☐**

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act). &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Yes **☐** No **☒**

As of May 4, 2026, the registrant had 112,594,112 shares of its common stock outstanding. 

------

[**Table of Contents**](#TOC)

#### **TABLE OF CONTENTS**

---

| | |
|:---|:---|
|  | **Page** |
| [Cautionary Statement Regarding Forward-Looking Statements](#CautionaryStatementRegardingForwardLooki) | 1 |
| [**PART I – FINANCIAL INFORMATION**](#PARTIFINANCIALINFORMATION_252797) | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 1. Financial Statements](#Item1FinancialStatements_1491) | 2 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](#Item2ManagementsDiscussionandAnalysisofF) | 41 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 3. Quantitative and Qualitative Disclosures About Market Risk](#Item3QuantitativeandQualitativeDisclosur) | 56 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 4. Controls and Procedures](#Item4ControlsandProcedures_118326) | 57 |
| [**PART II – OTHER INFORMATION**](#PARTIIOTHERINFORMATION_244701) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 1. Legal Proceedings](#Item1LegalProceedings_33148) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 1A. Risk Factors](#Item1ARiskFactors_4860) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](#Item2UnregisteredSalesofEquitySecurities) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 3. Defaults Upon Senior Securities](#Item3DefaultsUponSeniorSecurities_164749) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 4. Mine Safety Disclosures](#Item4MineSafetyDisclosures_273614) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 5. Other Information](#Item5OtherInformation_360868) | 58 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[Item 6. Exhibits](#Item6Exhibits_586899) | 60 |
| [Signatures](#SIGNATURES_771203) | 61 |

---

[**Table of Contents**](#TOC)

**Cautionary Statement Regarding Forward-Looking Statements**

This Quarterly Report on Form 10-Q (this "Quarterly Report") contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties, as well as assumptions, that, if proven incorrect or do not materialize, could cause our results to differ materially from those expressed or implied by these forward-looking statements. Forward-looking statements generally are identified by the words "intend," "plan," "may," "should," "will," "project," "estimate," "anticipate," "believe," "expect," "continue," "potential," "opportunity," and similar expressions. All statements other than statements of historical fact are statements that could be deemed forward-looking statements. Such statements are based on management's current expectations and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. There can be no assurance that actual results or business conditions will not differ materially from those projected or suggested in such forward-looking statements as a result of various factors, including those described in Part I, Item 1A, "Risk Factors" in the Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the "Annual Report") and in Part II, Item 1A, "Risk Factors" of this Quarterly Report. Except as required by law, we do not assume any obligation to update or revise these forward-looking statements for any reason, even if new information becomes available in the future.

[**Table of Contents**](#TOC)

#### PART I – FINANCIAL INFORMATION
**Item 1. Financial Statements**

**Hut 8 Corp. and Subsidiaries**

**Condensed Consolidated Balance Sheets**

*(in USD thousands, except share and per share data)*

---

| | | |
|:---|:---|:---|
|  | **March 31,**<br>**2026**<br>**(Unaudited)** | **December 31,**<br>**2025**<br>**(Audited)** |
| **Assets** |  |  |
| Current assets |  |  |
| &nbsp;&nbsp;&nbsp;Cash | $160016 | $44914 |
| &nbsp;&nbsp;&nbsp;Restricted cash | 610 | 2373 |
| &nbsp;&nbsp;&nbsp;Accounts receivable, net | 7191 | 31122 |
| &nbsp;&nbsp;&nbsp;Deposits and prepaid expenses | 48111 | 189332 |
| &nbsp;&nbsp;&nbsp;Derivative assets |  | 16223 |
| &nbsp;&nbsp;&nbsp;Digital assets – pledged for miner purchase |  | 84688 |
| &nbsp;&nbsp;&nbsp;Digital assets receivable | 646 | 812 |
| &nbsp;&nbsp;&nbsp;Assets held for sale |  | 38719 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current assets | 216574 | 408183 |
| Non-current assets |  |  |
| &nbsp;&nbsp;&nbsp;Derivative assets | 161699 | 101179 |
| &nbsp;&nbsp;&nbsp;Digital assets – held in custody | 435720 | 661979 |
| &nbsp;&nbsp;&nbsp;Digital assets – pledged for miner purchase | 210823 | 242937 |
| &nbsp;&nbsp;&nbsp;Digital assets – pledged as collateral  | 477520 | 396624 |
| &nbsp;&nbsp;&nbsp;Property and equipment, net | 812373 | 643244 |
| &nbsp;&nbsp;&nbsp;Operating lease right-of-use asset | 17499 | 18496 |
| &nbsp;&nbsp;&nbsp;Deposits and prepaid expenses | 8247 | 8314 |
| &nbsp;&nbsp;&nbsp;Investment in unconsolidated joint venture | 43588 | 45158 |
| &nbsp;&nbsp;&nbsp;Other investments | 6378 | 6378 |
| &nbsp;&nbsp;&nbsp;Intangible assets, net | 10164 | 11141 |
| &nbsp;&nbsp;&nbsp;Goodwill | 209159 | 210087 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total non-current assets | 2393170 | 2345537 |
| **Total assets** | $**2609744** | $**2753720** |
| **Liabilities and stockholders' equity** |  |  |
| Current liabilities |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | $43927 | $44519 |
| &nbsp;&nbsp;&nbsp;Miner purchase liability, current portion |  | 100910 |
| &nbsp;&nbsp;&nbsp;Deferred revenue | 1970 | 1458 |
| &nbsp;&nbsp;&nbsp;Operating lease liability, current portion | 2852 | 2891 |
| &nbsp;&nbsp;&nbsp;Loans, notes payable, and other financial liabilities, current portion | 199966 | 199926 |
| &nbsp;&nbsp;&nbsp;Income taxes payable | 3712 | 115 |
| &nbsp;&nbsp;&nbsp;Liabilities held for sale |  | 25764 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total current liabilities | 252427 | 375583 |
| Non-current liabilities |  |  |
| &nbsp;&nbsp;&nbsp;Miner purchase liability, less current portion | 360877 | 332153 |
| &nbsp;&nbsp;&nbsp;Operating lease liability, less current portion | 15309 | 16279 |
| &nbsp;&nbsp;&nbsp;Loans, notes payable, and other financial liabilities, less current portion | 204784 | 210235 |
| &nbsp;&nbsp;&nbsp;Deferred tax liabilities | 86094 | 129854 |
| &nbsp;&nbsp;&nbsp;Warrant liability | 77 | 146 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total non-current liabilities | 667141 | 688667 |
| **Total liabilities** | **919568** | **1064250** |
| **Commitments and contingencies** |  |  |
| **Equity** |  |  |
| Preferred stock, $0.01 par value; 25,000,000 shares authorized; no shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively |  |  |
| Common stock, $0.01 par value; 1,000,000,000 shares authorized; 112,546,250 and 110,091,358 shares issued and outstanding as of March 31, 2026 and December 31, 2025, respectively | 1125 | 1101 |
| Additional paid-in capital | 1612762 | 1425775 |
| (Accumulated deficit) retained earnings | (214368) | 5481 |
| Accumulated other comprehensive loss | (19680) | (10432) |
| **Total Hut 8 Corp. stockholders' equity** | **1379839** | **1421925** |
| Non-controlling interests | 310337 | 267545 |
| **Total equity** | **1690176** | **1689470** |
| **Total liabilities and equity** | $**2609744** | $**2753720** |

---

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

[**Table of Contents**](#TOC)

**Hut 8 Corp. and Subsidiaries**

**Condensed Consolidated Statements of Operations and Comprehensive Loss**

*(Unaudited, in USD thousands, except share and per share data)*

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
|  | **2026** | **2025** |
| **Revenue:** |  |  |
| &nbsp;&nbsp;&nbsp;Power | $3740 | $4380 |
| &nbsp;&nbsp;&nbsp;Digital Infrastructure | 1303 | 1317 |
| &nbsp;&nbsp;&nbsp;Compute | 65974 | 16118 |
| **Total revenue** | 71017 | 21815 |
| **Cost of revenue (exclusive of depreciation and amortization shown below):** |  |  |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Power | 2107 | 3628 |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Digital Infrastructure | 1546 | 1559 |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Compute | 21895 | 13472 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total cost of revenue | 25548 | 18659 |
| **Operating expenses:** |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 38442 | 14899 |
| &nbsp;&nbsp;&nbsp;General and administrative expenses | 81740 | 21059 |
| &nbsp;&nbsp;&nbsp;Losses on digital assets | 295657 | 112394 |
| &nbsp;&nbsp;&nbsp;Loss on sale of property and equipment |  | 2454 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 415839 | 150806 |
| **Operating loss** | (370370) | (147650) |
| **Other (expense) income:** |  |  |
| &nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain | (2720) | 9 |
| &nbsp;&nbsp;&nbsp;Interest expense | (9243) | (7469) |
| &nbsp;&nbsp;&nbsp;Asset contribution costs |  | (22780) |
| &nbsp;&nbsp;&nbsp;Gain on derivatives | 40817 | 20862 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Loss) gain on other financial liability | (661) | 1139 |
| &nbsp;&nbsp;&nbsp;Gain on warrant liability | 69 |  |
| &nbsp;&nbsp;&nbsp;Gain on sale of Far North JV, net of transaction costs | 33601 |  |
| &nbsp;&nbsp;&nbsp;Equity in earnings of unconsolidated joint venture | 6430 | 1365 |
| Total other income (expense) | 68293 | (6874) |
| **Net loss before income taxes** | (302077) | (154524) |
| &nbsp;&nbsp;&nbsp;Income tax benefit | 48942 | 20205 |
| **Net loss** | (253135) | (134319) |
| **Less: Net loss attributable to non-controlling interests** | 33286 | 430 |
| **Net loss attributable to Hut 8 Corp.** | $(219849) | $(133889) |
| **Net loss per share of common stock:** |  |  |
| &nbsp;&nbsp;&nbsp;Basic attributable to Hut 8 Corp. | $(1.98) | $(1.30) |
| &nbsp;&nbsp;&nbsp;Diluted attributable to Hut 8 Corp. | $(1.98) | $(1.30) |
| **Weighted average number of shares of common stock outstanding:** |  |  |
| &nbsp;&nbsp;&nbsp;Basic | 111064728 | 102854747 |
| &nbsp;&nbsp;&nbsp;Diluted | 111064728 | 102854747 |
| **Net loss** | $(253135) | $(134319) |
| &nbsp;&nbsp;&nbsp;Other comprehensive (loss) income: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Foreign currency translation adjustments | (9310) | 1187 |
| **Total comprehensive loss** | (262445) | (133132) |
| &nbsp;&nbsp;&nbsp;Less: Comprehensive loss attributable to non-controlling interests | 33281 | 431 |
| **Comprehensive loss attributable to Hut 8 Corp.** | $(229164) | $(132701) |

---

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

[**Table of Contents**](#TOC)

**Hut 8 Corp. and Subsidiaries**

**Condensed Consolidated Statements of Equity**

*(Unaudited, in USD thousands, except share and per share data)*

**Three Months Ended March 31, 2025**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Common Stock** | **Common Stock** | | | | | |
|  | **Shares** | **Amount** | **Additional**<br>**Paid-in**<br>**Capital** | <br>**Retained**<br>**Earnings** | <br>**Non-controlling**<br>**Interests** | **Accumulated Other**<br>**Comprehensive**<br>**(Loss) Income** | <br>**Total**<br>**Equity** |
| **Balance, December 31, 2024** | **99478012** | $**995** | $**789597** | $**231630** | $**3910** | $**(45553)** | $**980579** |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – at-the-market offering, net of issuance costs | 4205019 | 42 | 111969 |  |  |  | 112011 |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – stock option exercises | 327204 | 3 | 124 |  |  |  | 127 |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – restricted stock unit settlements | 140275 | 2 | (2) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Stock-based compensation |  |  | 3793 |  |  |  | 3793 |
| &nbsp;&nbsp;&nbsp;Issuance of warrants by subsidiary |  |  | 1449 |  |  |  | 1449 |
| &nbsp;&nbsp;&nbsp;Non-controlling interest in American Bitcoin Corp. |  |  | (1354) |  | 24222 |  | 22868 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments |  |  |  |  | (1) | 1188 | 1187 |
| &nbsp;&nbsp;&nbsp;Net loss attributable to Hut 8 Corp. |  |  |  | (133889) |  |  | (133889) |
| &nbsp;&nbsp;&nbsp;Net loss attributable to non-controlling interest |  |  |  |  | (430) |  | (430) |
| **Balance, March 31, 2025** | **104150510** | $**1042** | $**905576** | $**97741** | $**27701** | $**(44365)** | $**987695** |

---

**Three Months Ended March 31, 2026**

---

| | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|
|  | **Common Stock** | **Common Stock** | | | | | |
|  | **Shares** | **Amount** | **Additional**<br>**Paid-in**<br>**Capital** | **Retained**<br>**Earnings**<br>**(Accumulated Deficit)** | <br>**Non-controlling**<br>**Interests** | **Accumulated Other**<br>**Comprehensive**<br>**(Loss) Income** | <br>**Total**<br>**Equity** |
| **Balance, December 31, 2025** | **110091358** | $**1101** | $**1425775** | $**5481** | $**267545** | $**(10432)** | $**1689470** |
| &nbsp;&nbsp;&nbsp;Issuance of Class A common stock by American Bitcoin Corp., net of issuance costs |  |  | 32500 |  | 78002 |  | 110502 |
| &nbsp;&nbsp;&nbsp;Deferred income tax on American Bitcoin Corp. – equity transactions |  |  | (8539) |  |  |  | (8539) |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – at-the-market offering, net of issuance costs | 2101363 | 21 | 120099 |  |  |  | 120120 |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – stock option exercises | 124619 | 1 | 47 |  |  |  | 48 |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – restricted stock unit settlements | 228910 | 2 | (2) |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Stock-based compensation |  |  | 50980 |  |  |  | 50980 |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments |  |  |  |  | 5 | (9315) | (9310) |
| &nbsp;&nbsp;&nbsp;Exercise of warrants issued by subsidiary |  |  | (283) |  | 283 |  |  |
| &nbsp;&nbsp;&nbsp;Sale of Far North JV and non-controlling interest acquisition prior to sale |  |  | (7815) |  | (2212) | 67 | (9960) |
| &nbsp;&nbsp;&nbsp;Net loss attributable to Hut 8 Corp. |  |  |  | (219849) |  |  | (219849) |
| &nbsp;&nbsp;&nbsp;Net loss attributable to non-controlling interests |  |  |  |  | (33286) |  | (33286) |
| **Balance, March 31, 2026** | **112546250** | $**1125** | $**1612762** | $**(214368)** | $**310337** | $**(19680)** | $**1690176** |

---

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

[**Table of Contents**](#TOC)

**Hut 8 Corp. and Subsidiaries**

**Condensed Consolidated Statements of Cash Flows**

*(Unaudited, in USD thousands)*

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
|  | **2026** | **2025** |
| **Operating activities** |  |  |
| Net loss | $(253135) | $(134319) |
| Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 38442 | 14899 |
| &nbsp;&nbsp;&nbsp;Amortization of operating right-of-use assets | 679 | 609 |
| &nbsp;&nbsp;&nbsp;Non-cash lease expense | 551 | 611 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation | 50874 | 3793 |
| &nbsp;&nbsp;&nbsp;Equity in earnings of unconsolidated joint venture | (6430) | (1365) |
| &nbsp;&nbsp;&nbsp;Distributions of earnings from unconsolidated joint venture | 8000 |  |
| &nbsp;&nbsp;&nbsp;ASIC compute revenue | (62117) | (12338) |
| &nbsp;&nbsp;&nbsp;Losses on digital assets | 295657 | 112394 |
| &nbsp;&nbsp;&nbsp;Deferred tax assets and liabilities | (52265) | (20443) |
| &nbsp;&nbsp;&nbsp;Foreign exchange loss (gain) | 2720 | (9) |
| &nbsp;&nbsp;&nbsp;Amortization of debt discount | 171 | 144 |
| &nbsp;&nbsp;&nbsp;Loss on sale of property and equipment |  | 2454 |
| &nbsp;&nbsp;&nbsp;Gain on derivatives | (40817) | (20862) |
| &nbsp;&nbsp;&nbsp;Loss (gain) on other financial liability | 661 | (1139) |
| &nbsp;&nbsp;&nbsp;Gain on warrant liability | (69) |  |
| &nbsp;&nbsp;&nbsp;Gain on sale of Far North JV, net of transaction costs | (33601) |  |
| &nbsp;&nbsp;&nbsp;Paid-in-kind interest expense | 1759 | 6268 |
| &nbsp;&nbsp;&nbsp;Asset contribution costs |  | 22780 |
| Changes in assets and liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts receivable, net | 23300 | 2625 |
| &nbsp;&nbsp;&nbsp;Deposits and prepaid expenses | 758 | 1243 |
| &nbsp;&nbsp;&nbsp;Income taxes receivable | 341 | 240 |
| &nbsp;&nbsp;&nbsp;Income taxes payable | 3597 |  |
| &nbsp;&nbsp;&nbsp;Accounts payable and accrued expenses | (5521) | (8540) |
| &nbsp;&nbsp;&nbsp;Deferred revenue | 512 | (1636) |
| &nbsp;&nbsp;&nbsp;Operating lease liabilities | (1289) | (1258) |
| **Net cash used in operating activities** | (27222) | (33849) |
| **Investing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Proceeds from sale of digital assets |  | 3433 |
| &nbsp;&nbsp;&nbsp;Bitcoin purchased | (61317) |  |
| &nbsp;&nbsp;&nbsp;Deposits for future sites | (16839) |  |
| &nbsp;&nbsp;&nbsp;Purchases of property and equipment | (36617) | (63336) |
| &nbsp;&nbsp;&nbsp;Proceeds from sale of property and equipment |  | 2563 |
| &nbsp;&nbsp;&nbsp;Net proceeds from sale of Far North JV, net of cash divested | 63601 |  |
| &nbsp;&nbsp;&nbsp;Additions to intangible assets |  | (896) |
| **Net cash used in investing activities** | (51172) | (58236) |
| **Financing activities** |  |  |
| &nbsp;&nbsp;&nbsp;Repayments of loans payable | (8000) |  |
| &nbsp;&nbsp;&nbsp;Principal payments on finance lease | (957) | (119) |
| &nbsp;&nbsp;&nbsp;Settlement of finance lease obligation in connection with sale of Far North JV | (20756) |  |
| &nbsp;&nbsp;&nbsp;Cash paid to buyout non-controlling interest of Far North JV | (9960) |  |
| &nbsp;&nbsp;&nbsp;Proceeds from the issuance of common stock – stock option exercises | 48 | 127 |
| &nbsp;&nbsp;&nbsp;Proceeds from the issuance of common stock – at-the-market offering, net of issuance costs | 120120 | 112011 |
| &nbsp;&nbsp;&nbsp;Proceeds from the issuance of American Bitcoin Corp. Class A common stock – at-the-market offering, net of issuance costs | 110502 |  |
| &nbsp;&nbsp;&nbsp;Proceeds from other financial liability |  | 3500 |
| **Net cash provided by financing activities** | 190997 | 115519 |
| Effect of exchange rate changes on cash, and restricted cash | (591) | (95) |
| Net increase in cash | 112012 | 23339 |
| Cash, beginning of period | 48614 | 85635 |
| **Cash, and restricted cash, end of period** | $160626 | $108974 |

---

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements.

[**Table of Contents**](#TOC)

**Hut 8 Corp. and Subsidiaries**

**Condensed Consolidated Statements of Cash Flows**

*(Unaudited, in USD thousands)*

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
|  | **2026** | **2025** |
| **Supplemental cash flow information:** |  |  |
| Cash paid for interest | $7566 | $1776 |
| Cash paid for income taxes | $43 | $— |
| Non-cash transactions |  |  |
| &nbsp;&nbsp;&nbsp;Reclassification of deposits and prepaid expenses to property and equipment | $156853 | $— |
| &nbsp;&nbsp;&nbsp;Right-of-use assets obtained in exchange for operating lease liabilities | $— | $212 |
| &nbsp;&nbsp;&nbsp;Compute revenue in accounts receivable, net | $646 | $— |
| &nbsp;&nbsp;&nbsp;Property and equipment acquired under miner purchase liability | $8827 | $85814 |
| &nbsp;&nbsp;&nbsp;Property and equipment acquired under accounts payable and accrued expenses | $3331 | $— |
| &nbsp;&nbsp;&nbsp;Property and equipment acquired through exchange of right-of-use asset – Far North JV | $16944 | $— |
| &nbsp;&nbsp;&nbsp;Bitcoin redemption and put options acquired under miner purchase liability | $23227 | $— |
| &nbsp;&nbsp;&nbsp;Net income (loss) attributable to non-controlling interests | $(33286) | $(430) |
| &nbsp;&nbsp;&nbsp;Issuance of common stock – restricted stock unit settlements | $2 | $2 |
| &nbsp;&nbsp;&nbsp;Issuance of warrants by subsidiary as finance lease payments | $— | $1449 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation capitalized in property and equipment, net | $106 | $— |
| &nbsp;&nbsp;&nbsp;Subsidiary warrants exercised | $283 | $— |
| **Reconciliation of cash, and restricted cash to the Consolidated Balance Sheets:** |  |  |
| Cash | $160016 | $108382 |
| Restricted cash | 610 | 592 |
| **Total cash, and restricted cash** | $160626 | $108974 |

---

See accompanying Notes to Unaudited Condensed Consolidated Financial Statements

[**Table of Contents**](#TOC)

#### Note 1. Organization

#### Nature of operations and corporate information
**Hut 8 Corp. (together with its consolidated subsidiaries, the "Company" or "Hut 8") is an energy infrastructure platform integrating power, digital infrastructure, and compute at scale to fuel next-generation, energy-intensive technologies such as AI, high-performance computing, and ASIC compute. The Company develops, commercializes, and operates industrial-scale energy and data center infrastructure through a power-first, innovation-driven approach. The Company was incorporated in Delaware in January 2023.**

#### Note 2. Basis of presentation, summary of significant accounting policies and recent accounting pronouncements

#### Basis of presentation
The accompanying Unaudited Condensed Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States of America ("GAAP") for interim financial reporting. While these statements reflect all normal recurring adjustments which are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all the information and footnotes required by GAAP for complete financial statements. As such, the information included in this Quarterly Report should be read in conjunction with the Company's Consolidated Financial Statements for the year ended December 31, 2025, and related notes thereto, included in the Annual Report.

Interim results are not necessarily indicative of results for a full year.

The U.S. Dollar is the functional and presentation currency of the Company.

Significant accounting policies followed by the Company in the preparation of the accompanying Unaudited Condensed Consolidated Financial Statements are summarized below.

#### Principles of consolidation
***These Unaudited Condensed Consolidated Financial Statements of the Company include the accounts of the Company and its controlled subsidiaries. Consolidated subsidiaries' results are included from the date the subsidiary was formed or acquired. Intercompany balances and transactions have been eliminated in consolidation.***

***Unconsolidated investments in which the Company does not have a controlling interest but does have significant influence are accounted for as equity method investments, with earnings recorded in other (expense) income. These investments are included in long-term assets and the Company's proportionate share of income or loss is included in other (expense) income.***

#### Recent accounting pronouncements
The Company continually assesses any new accounting pronouncements to determine their applicability. When it is determined that a new accounting pronouncement affects the Company's financial reporting, the Company undertakes a study to determine the consequences of the change to its Unaudited Condensed Consolidated Financial Statements and ensures that there are proper controls in place to ascertain that the Company's Unaudited Condensed Consolidated Financial Statements properly reflect the change.

[**Table of Contents**](#TOC)

In December 2025, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2025-12, Codification Improvements ("ASU 2025-12"). Among other amendments to various Topics within the FASB Accounting Standards Codification, ASU 2025-12 clarifies dilutive earnings per share treatment for certain contracts that may be settled in stock or cash when a company has a loss from continuing operations. This update is effective for interim and annual reporting periods beginning after December 15, 2026, with early adoption permitted. The Company is currently assessing the impact of adopting this standard. For earnings per share amendments, adoption of ASU 2025-12 requires retrospective application to each prior reporting period presented.

In September 2025, FASB issued ASU 2025-07, Derivatives and Hedging (Topic 815) and Revenue from Contracts with Customers (Topic 606) ("ASU 2025-07"). With respect to Topic 815, ASU 2025-07 refines the scope of Topic 815 to clarify which contracts are subject to derivative accounting. This update is effective for interim and annual reporting periods beginning after December 15, 2026, with early adoption permitted. The Company is currently assessing the impact of adopting this standard. ASU 2025-07 may be applied using a prospective or modified retrospective transition approach.

In September 2025, FASB issued ASU 2025-06, Intangibles—Goodwill and Other—Internal-Use Software (Subtopic 350-40): Targeted Improvements to the Accounting for Internal-Use Software ("ASU 2025-06"). ASU 2025-06 modernizes the accounting for internal-use software to current development practices, clarifies when to begin capitalizing costs, and enhances disclosure requirements. This update is effective for interim and annual periods beginning after December 15, 2027, with early adoption permitted. The Company is currently assessing the impact of adopting the standard. ASU 2025-06 may be applied using a prospective transition, modified transition, or retrospective transition approach.

In January 2025, FASB issued ASU 2025-01, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Clarifying the Effective Date ("ASU 2025-01"). ASU 2025-01 was issued to clarify the effective date for ASU 2024-03, Income Statement—Reporting Comprehensive Income—Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses ("ASU 2024-03"). ASU 2024-03 requires public business entities to provide additional disclosures in the notes to financial statements, disaggregating specific expense categories within relevant income statement captions. The prescribed categories include purchases of inventory, employee compensation, depreciation, intangible asset amortization, and depreciation, depletion, and amortization related to oil-and-gas producing activities. ASU 2024-03 is effective for the first annual reporting period beginning after December 15, 2026, and interim periods within annual reporting periods beginning after December 15, 2027. Early adoption is permitted. The Company is currently assessing the impact of adopting the standard. ASU 2024-03 may be applied prospectively or retrospectively.

***Use of estimates***

The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions about future events that affect the amounts reported in the financial statements and accompanying notes. Future events and their effects cannot be determined with absolute certainty. Therefore, the determination of estimates requires the exercise of judgment. Actual results inevitably will differ from those estimates, and such differences may be material to the financial statements. The most significant accounting estimates inherent in the preparation of the Company's Unaudited Condensed Consolidated Financial Statements include estimates associated with revenue recognition, determining the useful lives and recoverability of long-lived assets, impairment analysis of finite-lived intangibles, goodwill and digital assets, stock-based compensation, and current and deferred income tax assets (including the associated valuation allowance) and liabilities.

[**Table of Contents**](#TOC)

***Accounts receivable***

Accounts receivable consists of amounts due from the Company's Power, Digital Infrastructure, and Compute customers. The Company records accounts receivable at the invoiced amount less an allowance for any potentially uncollectable accounts under the current expected credit loss ("CECL") impairment model and presents the net amount of the financial instrument expected to be collected. The CECL impairment model requires an estimate of expected credit losses, measured over the contractual life of an instrument, that considers forecasts of future economic conditions in addition to information about past events and current conditions. Based on this model, the Company considers many factors, including the age of the balance, collection history, and current economic trends. Bad debts are written off after all collection efforts have ceased.

***Allowances for credit losses are recorded as a direct reduction from an asset's amortized cost basis. Credit losses are recorded in General and administrative expenses in the Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss.***

***Based on the Company's current and historical collection experience, management recorded allowances for doubtful accounts of $0.2 million and $0.2 million as of March 31, 2026 and December 31, 2025, respectively.***

#### Fair value measurement
The Company's financial assets and liabilities are accounted for in accordance with FASB ASC Topic 820, *Fair Value Measurements and Disclosures* ("ASC 820") which defines fair value as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The fair value hierarchy requires an entity to maximize the use of observable inputs when measuring fair value and classifies those inputs into three levels:

Level 1— Quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2— Observable, market-based inputs, other than quoted prices included in Level 1, for the assets or liabilities either directly or indirectly.

Level 3—Unobservable inputs in which there is little or no market data, which require the reporting entity to develop its own assumptions.

Observable inputs are based on market data obtained from independent sources, while unobservable inputs are based on the Company's market assumptions. Unobservable inputs require significant management judgment or estimation. In some cases, the inputs used to measure an asset or a liability may fall into different levels of the fair value hierarchy. In those instances, the fair value measurement is required to be classified using the lowest level of input that is significant to the fair value measurement. Such determination requires significant management judgment.

Assets and liabilities measured at fair value on a recurring basis

The following table presents information about the Company's assets and liabilities measured at fair value on a recurring basis and the Company's estimated level within the fair value hierarchy of those assets and liabilities as of March 31, 2026 and December 31, 2025:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Fair value measured at March 31, 2026** | **Fair value measured at March 31, 2026** | **Fair value measured at March 31, 2026** | **Fair value measured at March 31, 2026** |
|  | **Total carrying** |  | **Significant other** | **Significant**  |
|  | **value at** | **Quoted prices in** | **observable** | **unobservable** |
|  | **March 31,** | **active markets** | **inputs** | **inputs** |
| *(in USD thousands)* | **2026** | **(Level 1)** | **(Level 2)** | **(Level 3)** |
| Digital assets | $1124063 | $1124063 | $— | $— |
| Bitcoin redemption and put options | 161699 |  | 161699 |  |
| Other financial liability | (3205) |  |  | (3205) |
| Warrant liability | (77) |  |  | (77) |

---

[**Table of Contents**](#TOC)

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Fair value measured at December 31, 2025** | **Fair value measured at December 31, 2025** | **Fair value measured at December 31, 2025** | **Fair value measured at December 31, 2025** |
|  | **Total carrying** |  | **Significant other** | **Significant**  |
|  | **value at** | **Quoted prices in** | **observable** | **unobservable** |
|  | **December 31,** | **active markets** | **inputs** | **inputs** |
| *(in USD thousands)* | **2025** | **(Level 1)** | **(Level 2)** | **(Level 3)** |
| Digital assets | $1386228 | $1386228 | $— | $— |
| Bitcoin redemption and put options | 117402 |  | 117402 |  |
| Other financial liability | (2544) |  |  | (2544) |
| Warrant liability | 146 |  |  | 146 |

---

In determining the fair value of its digital assets, the Company uses quoted prices as determined by the Company's principal market, which is the Coinbase exchange. As such, the Company's digital assets were determined to be Level 1 assets.

The Company estimates the fair value of its Bitcoin redemption and put options using the Black model, which includes several inputs and assumptions, including the forward price of the underlying asset (Bitcoin), the underlying asset's implied volatility, the risk-free interest rate, and the expected term of the redemption option. As of March 31, 2026, these options were held only by American Bitcoin Corp. ("American Bitcoin").

See *Derivatives* below for a description of certain of the Company's derivative instrument accounting policies.

In estimating the fair value of its call options sold on Bitcoin that it owns (the "covered call options"), the Company uses the Black model, which includes several inputs and assumptions, including the forward price of the underlying asset (Bitcoin), the underlying asset's implied volatility, the risk-free interest rate, and the expected term of the options. The expected term of the options is the contractual term of the options given the options can only be exercised on their expiry date (i.e., European-style options). The Company determined that the covered call options are Level 2 liabilities given all inputs are observable, but the options themselves are not traded in an active market.

The Company estimated the fair value of its other financial liability using the Probability-Weighted Expected Return Method ("PWERM"), which includes significant unobservable inputs, including the instrument's estimated credit spread, and as a result, the Company determined that the other financial liability is a Level 3 liability. For quantitative disclosure on the inputs used to estimate the fair value of the Company's other financial liability, see Note 9. *Loans, notes payable, and other financial liabilities*. See *Other financial liability* for a description of the Company's other financial liability accounting policy.

The Company estimated the fair value of its warrant liability using the Black-Scholes pricing model, which includes significant unobservable inputs, including the expected term of the warrants, and as a result, the Company determined that the warrant liability is a Level 3 liability. For quantitative disclosure on the inputs used to estimate the fair value of the Company's warrant liability, see Note 10. *Derivatives*. See *Warrant liability* for a description of the Company's warrant liability accounting policy.

The Company estimates the fair value of its separated embedded derivative from the convertible note, namely from the Company's Coatue Note (as defined below), using the partial differential equation model ("PDE Model"), which includes several inputs and assumptions including the Company's common stock price at the time of valuation, the implied volatility of the Company's common stock matching the moneyness of the conversion option, the risk-free interest rate curve, and the instrument's estimated credit spread. In addition, management's assumption of the probability of occurrence of the separated embedded derivative from the convertible note's trigger event is a significant unobservable input. For quantitative disclosure on the inputs used to estimate the fair value of the Company's separated embedded derivative from the convertible note, see Note 10. *Derivatives*. The Company determined that the separated embedded derivative from the convertible note is a Level 3 liability given significant unobservable inputs are included in its valuation.

[**Table of Contents**](#TOC)

Assets and liabilities measured at fair value on a non-recurring basis

In addition to assets and liabilities that are measured at fair value on a recurring basis, the Company also measures certain assets and liabilities at fair value on a non-recurring basis. The Company's non-financial assets, including goodwill, intangible assets, operating lease right-of-use assets, assets held for sale, and property and equipment, are measured at fair value when there is an indication of impairment and the carrying amount exceeds the asset's projected undiscounted cash flows. These assets are recorded at fair value only when an impairment charge is recognized. The Company had nil impairment from its continuing operations related to its non-financial assets and liabilities measured on a non-recurring basis during the three months ended March 31, 2026 and 2025, respectively. See the *Impairment of long-lived assets* and *Goodwill* accounting policies below for further discussion.

The carrying amounts of the Company's financial assets and liabilities, such as cash, accounts receivable, accounts payable, and accrued expenses, approximate fair value due to the short-term nature of these instruments. The carrying value of loans and notes payable and other long-term liabilities approximate fair value, except for the Company's convertible note, as the related interest rates approximate rates currently available to the Company. See *Derivatives* and *Convertible instruments* below for a description of the Company's derivative instrument accounting policy and convertible instrument accounting policy, respectively, and Note 9. *Loans, notes payable, and other financial liabilities* for disclosure on the Company's convertible note.

#### Goodwill
Goodwill represents the cost of a business acquisition in excess of the fair value of the net assets acquired. Goodwill is not amortized and is reviewed at least annually for possible impairment. A qualitative assessment may be first performed to determine whether it is more likely than not that a reporting unit is impaired. If through the qualitative assessment, it is determined that it is more likely than not that goodwill is not impaired, no further testing is required. If it is determined more likely than not that goodwill is impaired, or if the Company elects not to first assess qualitative factors, the Company's impairment testing continues with the estimation of the fair value of the reporting unit using a combination of an income (discounted cash flow) approach and a market approach at the reporting unit level. The estimation of the fair value of the reporting unit requires significant management judgment with respect to revenue and expense growth rates, changes in working capital and the selection and use of an appropriate discount rate. The estimate of the fair value of the reporting unit is based on the best information available as of the date of the assessment. The use of different assumptions would increase or decrease estimated discounted future operating cash flows and could increase or decrease an impairment charge. Company management uses its judgment in assessing whether assets may have become impaired between annual impairment tests. Indicators such as adverse business conditions, economic factors, and technological change or competitive activities may signal that an asset has become impaired. For the three months ended March 31, 2026 and 2025, there was nil impairment of goodwill.

#### Impairment of long-lived assets
The Company reviews long-lived assets for impairment at least annually, or more frequently whenever events or changes in circumstances indicate that the carrying value of such assets (or asset groups) may not be fully recoverable. The asset (or asset group) to be held and used that is subject to impairment review represents the lowest level of identifiable cash flows that is largely independent of other groups of assets and liabilities. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to undiscounted future cash flows expected to be generated by the asset. If such assets are considered unrecoverable, the impairment loss to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Factors the Company considers that could trigger an impairment include, but are not limited to, the following: significant changes in the manner of the Company's use of the acquired assets or the strategy for the Company's overall business, significant underperformance relative to expected historical or projected development milestones, significant negative regulatory or economic trends, and significant technological changes that could render the asset (or asset group) obsolete. Fair value is determined through various valuation techniques, including discounted cash flow models, quoted market values, and third-party independent appraisals, as necessary. When recognized, impairment losses related to long-lived assets to be held and used in operations are recorded as cost and expenses in the Company's Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss. For the three months ended March 31, 2026 and 2025, there was nil impairment.

[**Table of Contents**](#TOC)

***Derivatives***

The Company accounts for the derivative contracts it enters into, including Bitcoin redemption and put options, covered call options, the separated embedded derivative from the convertible note, and warrant liability as follows:

*Bitcoin redemption and put options*

The Company has entered into agreements to purchase property and equipment that include pledges of Bitcoin, rights to make future pledges of Bitcoin, and rights to redeem the pledged Bitcoin for certain periods after the relevant redemption periods start. These Bitcoin redemption and put options do not qualify as accounting hedges under FASB ASC Topic 815, *Derivatives and Hedging* ("ASC 815"). Accordingly, the Company carries its Bitcoin redemption and put options at fair value and any gains or losses are recognized in profit or loss.

*Covered call options*

From time to time, the Company has sold covered call options to generate cash flows on a portion of its Bitcoin held. These options do not qualify as accounting hedges under ASC 815. Accordingly, the Company carries its covered call options at fair value and any gains or losses are recognized in profit or loss.

*Separated embedded derivative from the convertible note*

The Company evaluates and accounts for derivatives embedded in its convertible instruments in accordance with ASC 815. Accordingly, the Company has assessed if embedded derivatives should be separated from its host contract and accounted for as a derivative instrument based on whether all three ASC 815 criteria are met: (1) the economic characteristics and risks of the embedded derivative are not clearly and closely related to the economic characteristics and risks of the host contract, (2) the hybrid instrument is not remeasured at fair value under GAAP with changes in fair value reported in earnings as they occur, and (3) a separate instrument with the same terms as the embedded derivative would be a derivative instrument. ASC 815 also provides an exception to this rule when the host instrument is deemed to be a conventional convertible debt instrument as defined in the FASB ASC topic. The Company identified embedded derivatives in the Coatue Note, which is a convertible instrument it issued, including conversion options, other redemption features, and contingently exercisable options. The Company determined that the Contingent Repurchase Right (as defined in Note 9. *Loans, notes payable, and other financial liabilities*) in such convertible instrument is an embedded derivative that should be separated from its host contract and accounted for as a derivative instrument as per ASC 815. The conversion option is indexed to the Company's common stock and meets the criteria for classification in stockholders' equity, and therefore derivative accounting does not apply. The other embedded derivatives do not meet all three previously mentioned ASC 815 criteria, and therefore should not be separated from their host contract. The Company accounts for its separated embedded derivative as a derivative instrument that is carried at fair value and any gains or losses are recognized in profit or loss.

*Warrant liability*

The Company assumed certain warrants in the ABTC Merger (as defined in Note 10. *Derivatives*) that meet the definition of a derivative under ASC 815, and due to the terms, the warrants are required to be classified as a liability. The Company carries its warrant liability at fair value and any gains or losses are recognized in profit or loss.

***Other financial liability***

The Company carries its other financial liability at fair value in accordance with FASB ASC Topic 480, *Distinguishing Liabilities from Equity* ("ASC 480") and any gains or losses are recognized in profit or loss.

[**Table of Contents**](#TOC)

***Net loss per share attributable to common stockholders***

Basic net loss per share of common stock attributable to the Company is computed by dividing net loss attributable to the Company adjusted for the impact of subsidiary warrants exercisable for little or no cash consideration ("Penny Warrant(s)") issued by a consolidated subsidiary by the weighted-average number of shares of common stock outstanding during the period.

Diluted net loss per share of common stock attributable to the Company is computed by giving effect to all potentially dilutive shares of common stock, including stock options, restricted stock units, deferred stock units, performance stock units, and common stock purchase warrants to the extent dilutive under the treasury-stock method, the numerator adjustment from the impact of the warrant liability assumed by a consolidated subsidiary to the extent dilutive, and potential shares of common stock issuable upon conversion of the Company's convertible note under the if-converted method. Under the if-converted method, net loss attributable to the Company is adjusted by the effect, net of tax, of potentially dilutive shares computed under this method. Contingently issuable shares whose issuance is contingent upon the satisfaction of certain conditions are considered outstanding and included in the computation of diluted net loss per share of common stock attributable to the Company if all necessary conditions have been satisfied by the end of the period or if the end of the period is deemed the end of the contingently issuable shares' contingency period. In computing potentially dilutive shares of common stock, each class of shares is applied to basic net loss per share of common stock attributable to the Company on a most to least dilutive basis until a particular class no longer produces further dilution, if applicable.

***Non-controlling interests***

Non-controlling interests represent the portion of net assets in consolidated entities that are not owned by the Company and are reported as a component of equity on Company's Unaudited Condensed Consolidated Balance Sheets. As of March 31, 2026, the non-controlling interest on the Company's Unaudited Condensed Consolidated Balance Sheets consists of 44.70% ownership by third parties in American Bitcoin. For more details, refer to *American Bitcoin non-controlling interest* section in Note 12. *Equity*. Previously, there was a non-controlling interest in the Company's formerly consolidated subsidiary, Far North Power Corp. (the "Far North JV"), prior to its sale. For more details, refer to Note 3. *Far North JV sale*.

**Note 3. Far North JV sale**

On February 2, 2026, the Company closed on its share purchase agreement ("Far North SPA") with TransAlta Corporation ("TransAlta"), under which TransAlta acquired 100% of the Far North JV which owned and operated a 310-megawatt portfolio of four natural gas-fired power plants in Ontario. TransAlta paid cash consideration in Canadian Dollars (C$), and the total amount paid was $75.4 million (C$105.1 million). Pursuant to the Far North SPA, immediately prior to the sale of the Far North JV to TransAlta, (1) the non-controlling interest exercised 2,000,000 Penny Warrants of the Far North JV, (2) the Company acquired the non-controlling interest in the Far North JV for $10.0 million (C$13.9 million), (3) the Company received $7.4 million (C$10.4 million) for the repayment of indebtedness owed by the Far North JV to the Company, and (4) $27.9 million (C$38.9 million) was paid to the finance lease lessor to buy out the finance lease at the Far North JV's Iroquois Falls, Ontario power plant.

[**Table of Contents**](#TOC)

A reconciliation of the proceeds received by the Company, or paid for on behalf of the Company, and the gain on sale of the Far North JV is as follows:

---

| | |
|:---|:---|
| *(in USD thousands)* | **Amount** |
| Cash consideration paid by TransAlta | $75394 |
| &nbsp;&nbsp;Indebtedness owed by the Far North JV to the Company | (7447) |
| &nbsp;&nbsp;Finance lease buyout <sup>(1)</sup> | (27898) |
| &nbsp;&nbsp;Carrying amount of the Far North JV's net assets | (4110) |
| &nbsp;&nbsp;Net transaction costs | (2252) |
| &nbsp;&nbsp;Foreign currency translation adjustments of the Far North JV | (86) |
| Gain on sale of Far North JV, net of transaction costs | $**33601** |

---

<sup>(1)</sup> The finance lease buyout comprised $3.2 million in indirect taxes and $24.7 million for the lease buyout, which exceeded the associated lease liability's carrying amount immediately prior to the sale of $20.8 million by $3.9 million.

The results of operations of the Far North JV were part of the Power Generation business, under the Company's Power segment. The divestiture did not meet the criteria to be classified as discontinued operations as it did not represent a strategic shift that would have a major effect on the Company's operations or financial results.

#### Note 4. Segment information
**The following table presents gross revenue, gross cost of revenue and certain reconciling items for the Company's reportable segments, reconciled to the Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss. Certain reconciling items, including general and administrative expenses, are presented on a gross basis.**

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| **Reportable segment revenue:** |  |  |
| &nbsp;&nbsp;&nbsp;Power | $8146 | $4380 |
| &nbsp;&nbsp;&nbsp;Digital Infrastructure | 28565 | 1317 |
| &nbsp;&nbsp;&nbsp;Compute | 65974 | 16118 |
| &nbsp;&nbsp;&nbsp;Eliminations | (31668) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total segment and consolidated revenue | $71017 | $21815 |
| **Reportable segment cost of revenue (exclusive of depreciation and amortization shown below):** |  |  |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Power | 3392 | 3628 |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Digital Infrastructure | 19112 | 1559 |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Compute | 32634 | 13472 |
| &nbsp;&nbsp;&nbsp;Eliminations | (29590) |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total segment and consolidated cost of revenue | $25548 | $18659 |
| **Reconciling items:** |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | (38442) | (14899) |
| &nbsp;&nbsp;&nbsp;General and administrative expenses | (83818) | (21059) |
| &nbsp;&nbsp;&nbsp;Losses on digital assets | (295657) | (112394) |
| &nbsp;&nbsp;&nbsp;Loss on sale of property and equipment |  | (2454) |
| &nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain | (2720) | 9 |
| &nbsp;&nbsp;&nbsp;Interest expense | (9243) | (7469) |
| &nbsp;&nbsp;&nbsp;Asset contribution costs |  | (22780) |
| &nbsp;&nbsp;&nbsp;Gain on derivatives | 40817 | 20862 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Loss) gain on other financial liability | (661) | 1139 |
| &nbsp;&nbsp;&nbsp;Gain on warrant liability | 69 |  |
| &nbsp;&nbsp;&nbsp;Gain on sale of Far North JV, net of transaction costs | 33601 |  |
| &nbsp;&nbsp;&nbsp;Equity in earnings of unconsolidated joint venture | 6430 | 1365 |
| &nbsp;&nbsp;&nbsp;Income tax benefit | 48942 | 20205 |
| &nbsp;&nbsp;&nbsp;General and administrative expenses eliminations | 2078 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net loss | $(253135) | $(134319) |
| &nbsp;&nbsp;&nbsp;Less: Net loss attributable to non-controlling interests | 33286 | 430 |
| &nbsp;&nbsp;&nbsp;Net loss attributable to Hut 8 Corp. | $(219849) | $(133889) |

---

[**Table of Contents**](#TOC)

The following table presents summarized information for revenue by geographic area:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| **Revenue** |  |  |
| &nbsp;&nbsp;&nbsp;United States | $65568 | $13535 |
| &nbsp;&nbsp;&nbsp;Canada | 5449 | 8280 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $71017 | $21815 |

---

The following table presents summarized information for long-lived assets by geographic area:

---

| | | |
|:---|:---|:---|
|  | **March 31,** | **December 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| &nbsp;&nbsp;&nbsp;United States | $794778 | $588592 |
| &nbsp;&nbsp;&nbsp;Canada | 17595 | 54652 |
| &nbsp;&nbsp;&nbsp;Total Long-Lived Assets | $812373 | $643244 |

---

#### Note 5. Digital assets
Digital assets on the Company's Unaudited Condensed Consolidated Balance Sheets consist of Bitcoin and Investment Tokens (as defined below) as of March 31, 2026.

*Bitcoin*

The following table presents the changes in the carrying amount of Bitcoin as of March 31, 2025 and March 31, 2026:

---

| | |
|:---|:---|
| *(in USD thousands)* | **Amount** |
| **Balance as of December 31, 2024** | $949500 |
| &nbsp;&nbsp;&nbsp;Revenue recognized from Bitcoin mined | 12341 |
| &nbsp;&nbsp;&nbsp;Carrying value of Bitcoin sold | (3433) |
| &nbsp;&nbsp;&nbsp;Change in fair value of Bitcoin | (112392) |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments | 1228 |
| **Balance as of March 31, 2025** | $**847244** |
| Number of Bitcoin held as of March 31, 2025 | 10264 |
| Number of Bitcoin pledged to Bitmain as of March 31, 2025 | 968 |
| Cost basis of Bitcoin held as of March 31, 2025 | $453413 |
| Realized gains on the sale of Bitcoin for the three months ended March 31, 2025 | $828 |
| **Balance as of December 31, 2025** | $1371903 |
| &nbsp;&nbsp;&nbsp;Revenue recognized from Bitcoin mined | 62117 |
| &nbsp;&nbsp;&nbsp;Bitcoin mining revenue earned in prior period received in current period | 812 |
| &nbsp;&nbsp;&nbsp;Bitcoin purchased | 61317 |
| &nbsp;&nbsp;&nbsp;Bitcoin mining revenue not received | (646) |
| &nbsp;&nbsp;&nbsp;Carrying value of Bitcoin disposed to settle miner purchase liability | (81163) |
| &nbsp;&nbsp;&nbsp;Change in fair value of Bitcoin | (291238) |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments | (8945) |
| **Balance as of March 31, 2026** | $**1114157** |
| Number of Bitcoin held as of March 31, 2026 | 16331 |
| Number of Bitcoin pledged to Bitmain as of March 31, 2026 | 3090 |
| Cost basis of Bitcoin held as of March 31, 2026 | $1077334 |
| Realized gains on the sale or disposition of Bitcoin for the three months ended March 31, 2026 | $2532 |

---

[**Table of Contents**](#TOC)

As of March 31, 2026, the Company's Bitcoin was either held in segregated custody accounts for the benefit of the Company, held in segregated custody accounts under the Company's ownership and pledged as collateral under a borrowing arrangement, or held by Bitmain Technologies Delaware Limited (together with its affiliates, "Bitmain") for the Bitcoin pledged in connection with the 2025 ABTC Bitmain Purchase Agreement (as defined below) and 2026 ABTC Bitmain Purchase Agreement (as defined below) for miner purchases from them. The details of the Bitcoin are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Amount** | **Amount** | **Number of digital assets** | **Number of digital assets** |
| *(in USD thousands)* | **March 31, 2026** | **December 31, 2025** | **March 31, 2026** | **December 31, 2025** |
| **Current** |  |  |  |  |
| Bitcoin pledged for miner purchase | $— | $84688 |  | 968 |
| Total current Bitcoin – pledged for miner purchase |  | 84688 |  | 968 |
| **Non-current** |  |  |  |  |
| Bitcoin held in custody | 425814 | 647654 | 6241 | 7402 |
| Total non-current Bitcoin – held in custody | 425814 | 647654 | 6241 | 7402 |
| **Non-current** |  |  |  |  |
| Bitcoin pledged for miner purchase | 210823 | 242937 | 3090 | 2776 |
| Total non-current Bitcoin – pledged for miner purchase | 210823 | 242937 | 3090 | 2776 |
| **Non-current** |  |  |  |  |
| Bitcoin pledged as collateral | 477520 | 396624 | 7000 | 4533 |
| Total non-current Bitcoin – pledged as collateral | 477520 | 396624 | 7000 | 4533 |
| **Total Bitcoin** | $1114157 | $1371903 | 16331 | 15679 |

---

In November 2024, the Company entered into a Purchase Agreement with Bitmain to purchase approximately 30,000 Bitmain Antminer S21+ ASIC miners (as amended, the "Bitmain Purchase Agreement"). In December 2024, in connection with the Bitmain Purchase Agreement, the Company completed its Bitcoin pledge by depositing 968 Bitcoin into a segregated wallet with Bitmain, which was originally subject to a three-month redemption right from the shipment date of the purchased ASIC miners, whereby the Company had the option to repurchase, with cash, the pledged Bitcoin at a mutually agreed upon fixed price. If the Company did not exercise this right within the redemption period, Bitmain would retain full ownership of the pledged Bitcoin as consideration for the purchased ASIC miners. During 2025, the Company amended the redemption period's end date multiple times: first, the redemption period was amended to end during the quarter ended September 30, 2025, second, the redemption period was further amended to end during the quarter ended December 31, 2025, and third, the redemption period was further amended to end in January 2026. In January 2026, the Company elected not to exercise the option to redeem the pledged Bitcoin, and accordingly, the right to redeem expired.

During 2024, the Company entered into an ASIC colocation contract with Bitmain to host miners at the Company's Vega site. The agreement featured a fixed hosting fee with a partial or full option to purchase the hosted machines in up to three tranches at a fixed price within six months of energization of the relevant tranche. The Company completed energization of the miners during June and July 2025. On March 31, 2025, the Company entered into a Put Option Agreement (the "Put Option Agreement"), with American Bitcoin (as defined below), pursuant to which the Company had the right to put to American Bitcoin any ASIC miners purchased by the Company under this purchase option.

On August 5, 2025, pursuant to a put option agreement with American Bitcoin, the Company assigned its option to purchase up to approximately 17,280 Bitmain Antminer U3S21EXPH ASIC miners (collectively, the "Bitmain Miners"), representing a total of approximately 14.86 exahash per second ("EH/s"), to American Bitcoin. American Bitcoin exercised the option on August 5, 2025 and entered into an On-Rack Sales and Purchase Agreement (the "2025 ABTC Bitmain Purchase Agreement") with Bitmain to purchase the Bitmain Miners in one or more tranches for a total purchase price of up to approximately $320.0 million, not including any applicable tariffs, duties or similar charges.

[**Table of Contents**](#TOC)

Concurrently with the execution of the 2025 ABTC Bitmain Purchase Agreement, American Bitcoin purchased 16,299 of the Bitmain Miners, representing a total of approximately 14.02 EH/s, for a total purchase price of approximately $314.0 million, paid through the pledge of 2,234 Bitcoin at a mutually agreed upon fixed price. Such purchase price was reduced by the application of a deposit and certain expenses of approximately $46.0 million previously paid to Bitmain. In September 2025, American Bitcoin purchased the remaining 981 Bitmain Miners for a total purchase price of $18.9 million, paid through the pledge of 151 Bitcoin at a mutually agreed upon fixed price, net of certain hosting credits. In October 2025, American Bitcoin pledged an additional 391 Bitcoin at a mutually agreed upon fixed price, and Bitmain refunded the Company's $46.0 million comprising of the deposit and certain expenses. The Bitcoin pledged under the 2025 ABTC Bitmain Purchase Agreement has a redemption period of approximately twenty-four months from the applicable pledge date.

In February 2026, American Bitcoin entered into a Future Sales and Purchase Agreement (the "2026 ABTC Bitmain Purchase Agreement") with Bitmain to purchase approximately 11,298 S21 XP ASIC miners for a total purchase price of approximately $49.4 million. The agreement required an initial payment equal to 80% of the total purchase price, which was paid through the pledge of 314 Bitcoin at a mutually agreed upon fixed price, with the remaining 20% due one year following the shipment date of the S21 XP ASIC miners. The remaining 20% is to be paid through cash, Bitcoin pledged at a mutually agreed upon floor price, or a combination of both. The Bitcoin pledged under the 2026 ABTC Bitmain Purchase Agreement has a redemption period of approximately twenty-four months from the applicable pledge date. American Bitcoin may elect to extend the pledge period for an additional twelve months.

As of March 31, 2026, the Company had pledged 3,090 Bitcoin to Bitmain, with a fair value of $210.8 million, which was classified as *Digital assets – pledged for miner purchase* on the Company's Unaudited Condensed Consolidated Balance Sheets. A corresponding liability of $360.9 million was recorded as *Miner purchase liability*, reflecting the Company's obligation to either redeem the pledged Bitcoin for cash or apply the pledged Bitcoin toward the purchase of ASIC miners at the end of each respective redemption period. All of the Bitcoin pledged to Bitmain as of March 31, 2026, were pledged by American Bitcoin.

In accordance with FASB ASC Topic 610-20, *Other Income – Gains and Losses from the Derecognition of Nonfinancial Assets*, the Company assessed the transfer of nonfinancial assets, Bitcoin, under ASC 606. Specifically, the Company noted that the Bitcoin pledged to Bitmain under the 2025 ABTC Bitmain Purchase Agreement and 2026 ABTC Bitmain Purchase Agreement constitute repurchase agreements under ASC 606. As a result, the Bitcoin was not derecognized upon transfer as the Company retains repurchase options.

Due to the redemption rights and the Company's continued economic exposure to the Bitcoin, the pledged Bitcoin is separately classified as *Digital assets – pledged for miner purchase* on the Unaudited Condensed Consolidated Balance Sheets, which represents restricted Bitcoin.

The Company recorded Bitcoin redemption and put options, which are derivative assets, with an initial fair value of $23.2 million during the three months ended March 31, 2026. See Note 10. *Derivatives* for further information on these derivative assets.

*Investment Tokens*

During 2025, the Company purchased 100 million World Liberty Financial, Inc. tokens ("Investment Tokens") at $0.25 per token for total cash consideration of $25.0 million pursuant to a Token Purchase Agreement ("TPA") with World Liberty Financial, Inc. ("WLFI"). The Company's Investment Tokens are subject to an indefinite lockup, with a minimum of twelve months from purchase date. Future unlocks are subject to the Investment Tokens' protocol governance procedures and may be subject to WLFI's discretion.

[**Table of Contents**](#TOC)

There were no Investment Tokens held as of March 31, 2025. The following table presents the changes in the carrying amount of the Investment Tokens as of March 31, 2026:

---

| | |
|:---|:---|
| *(in USD thousands)* | **Amount** |
| **Balance as of December 31, 2025** | $14325 |
| &nbsp;&nbsp;&nbsp;Change in fair value of Investment Tokens | (4419) |
| **Balance as of March 31, 2026** | $**9906** |
| Number of Investment Tokens held as of March 31, 2026 | 100000000 |
| Cost basis of Investment Tokens held as of March 31, 2026 | $25000 |

---

As of March 31, 2026, the Company's Investment Tokens were held in a segregated custody account for the benefit of the Company. The details of the Investment Tokens are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Amount** | **Amount** | **Number of digital assets** | **Number of digital assets** |
| *(in USD thousands)* | **March 31, 2026** | **December 31, 2025** | **March 31, 2026** | **December 31, 2025** |
| **Non-current** |  |  |  |  |
| Investment Tokens held in custody | $9906 | $14325 | 100000000 | 100000000 |
| Total non-current Investment tokens – held in custody | 9906 | 14325 | 100000000 | 100000000 |
| **Total Investment Tokens** | $9906 | $14325 | 100000000 | 100000000 |

---

#### Note 6. Property and equipment, net
The components of property and equipment were as follows:

---

| | | |
|:---|:---|:---|
| *(in USD thousands)* | **March 31, 2026** | **December 31, 2025** |
| Mining infrastructure | $149232 | $145354 |
| Miners and mining equipment | 401582 | 393467 |
| Data center infrastructure | 11726 | 16776 |
| Computer and network equipment | 9413 | 9411 |
| Leasehold improvements | 1821 | 1836 |
| Land and land improvements | 48103 | 46095 |
| AI GPUs | 42573 | 42573 |
| Construction in progress | 272726 | 77403 |
| Property and equipment, gross | 937176 | 732915 |
| Less: Accumulated depreciation | (124803) | (89671) |
| &nbsp;&nbsp;&nbsp;&nbsp;Property and equipment, net | $812373 | $643244 |

---

Depreciation and amortization expense related to property and equipment was $37.6 million and $14.0 million for the three months ended March 31, 2026 and March 31, 2025, respectively.

*Impairment of long-lived assets*

There is considerable management judgment necessary to determine the estimated future cash flows and fair values of the Company's long-lived assets, and, accordingly, actual results could vary significantly from such estimates, which fall under Level 3 within the fair value measurement hierarchy (see discussion of fair value measurements in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements).*

[**Table of Contents**](#TOC)

#### Note 7. Deposits and prepaid expenses
The components of deposits and prepaid expenses are as follows:

---

| | | |
|:---|:---|:---|
| *(in USD thousands)* | **March 31, 2026** | **December 31, 2025** |
| **Current** |  |  |
| &nbsp;&nbsp;Prepaid insurance | $5623 | $5643 |
| &nbsp;&nbsp;Prepaid electricity | 10307 | 14903 |
| &nbsp;&nbsp;Deposits for site development | 1941 | 157596 |
| &nbsp;&nbsp;Deposits for future site purchases | 23308 | 6724 |
| &nbsp;&nbsp;Other deposits | 6932 | 4466 |
| **Total current deposits and prepaid expenses** | $48111 | $189332 |
| **Non-current** |  |  |
| &nbsp;&nbsp;Deposits related to electricity supply under electricity supply agreement | $6091 | $6173 |
| &nbsp;&nbsp;Lease deposits | 2104 | 2097 |
| &nbsp;&nbsp;Other deposits | 52 | 44 |
| **Total non-current deposits and prepaid expenses** | $8247 | $8314 |
| **Total deposits and prepaid expenses** | $56358 | $197646 |

---

#### Note 8. Investment in unconsolidated joint venture
On November 25, 2022, the Company acquired a 50% membership interest in TZRC LLC ("TZRC"), an early-stage operator of vertically integrated digital asset mining and power facilities (the "Acquired Interests"). The transaction closed on December 6, 2022.

The consideration paid by the Company for the acquisition of the Acquired Interests consisted of $10.0 million of cash and the assumption of a senior secured promissory note (the "TZRC Secured Promissory Note") with a fair value estimate as of the transaction date of approximately $95.1 million. See Note 9. *Loans, notes payable, and other financial liabilities* for a discussion of the TZRC Secured Promissory Note.

TZRC is a two-member operating joint venture where both members jointly control the essential areas of the entity's business. The purpose of TZRC is to develop, construct, install, own, finance, rent, and operate one or more modular data centers located on or near renewable power sources for purposes of digital asset mining. The entity self-mines and provides hosting services. The Company assumed the role of property manager under a property management agreement ("PMA") to provide day-to-day management and oversight services of TZRC's data center facilities. The service contract has a term of 10 years and is automatically renewed for successive one-year terms unless either party provides written notice of non-renewal. As property manager, the Company is entitled to approximately $1.5 million per year, subject to downward adjustment based on capacity utilization of TZRC's data centers. In addition, the PMA allows pass through costs on behalf of the Company, such as payroll and other incidental costs. Pass through costs for the three months ended March 31, 2026 and 2025 were approximately $0.8 million and $0.6 million, respectively.

The Company accounts for its indirect 50% interest in TZRC using the equity method of accounting. For the three months ended March 31, 2026 and 2025, the Company recorded its ownership percentage of income of TZRC within *Equity in earnings of unconsolidated joint venture* in the Company's Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss for $4.7 million and nil of net income, respectively. The carrying value of the Company's investment in TZRC was $43.6 million and $45.2 million as of March 31, 2026 and December 31, 2025, respectively, and is included in the Company's Unaudited Condensed Consolidated Balance Sheets.

[**Table of Contents**](#TOC)

#### Note 9. Loans, notes payable, and other financial liabilities
Details of the Company's loans, notes payable, and other financial liabilities are as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
| *(in USD thousands)* |  |  | **March 31,** | **December 31,**  |
| **Issuance Date** | **Maturity Date** | **Interest Rate** | **2026** | **2025** |
| ***TZRC Secured Promissory Note*** |  |  |  |  |
| December 6, 2022 | April 8, 2027 | 15.25% | $43348 | $49589 |
| ***Coinbase Credit Facility*** |  |  |  |  |
| June 26, 2023 | June 16, 2026 | 9.00% | 200000 | 200000 |
| ***Coatue Note (convertible note)*** |  |  |  |  |
| June 28, 2024 | June 28, 2029 | 8.00% | 159285 | 159285 |
| ***Two Prime Credit Facility*** |  |  |  |  |
| August 25, 2025 | <sup>(1)</sup> | 7.99% |  |  |
| ***Other financial liability*** | <sup>(2)</sup> | <sup>(2)</sup> | 3205 | 2544 |
| Total principal balance |  |  | 405838 | 411418 |
| Less: unamortized discount and deferred financing costs |  |  | (1088) | (1257) |
| **Total carrying amount** |  |  | $**404750** | $**410161** |
| Less: current portion |  |  | 199966 | 199926 |
| **Long-term portion** |  |  | $**204784** | $**210235** |

---

<sup>(1)</sup> See *Two Prime Credit Facility* below for additional information

<sup>(2)</sup> See *Other financial liability* below for additional information

The following table outlines maturities of our long-term debt, including the current portion, as of March 31, 2026:

---

| | |
|:---|:---|
| *(in USD thousands)* |  |
| **Year ending December 31,** |  |
| 2026 (excluding the three months ended March 31, 2026) | $200000 |
| 2027 | 43348 |
| 2028 |  |
| 2029 | 159285 |
| 2030 |  |
| Thereafter |  |
| &nbsp;&nbsp;Total | $402633 |

---

During the three months ended March 31, 2026 and 2025, total principal payments of the Company's debt were $8.0 million and nil, respectively.

During the three months ended March 31, 2026 and 2025, the Company recorded amortization of debt issuance costs, included in interest expense, of $0.2 million and $0.1 million, respectively.

During the three months ended March 31, 2026 and 2025, interest expense related to the Company's debt was $9.6 million and $6.8 million, respectively.

The Company accounts for all of its loans and notes payable in accordance with FASB ASC Topic 470-20, *Debt with Conversion and Other Options* ("ASC 470"), ASC 815, and ASC 480. The Company evaluated all of its loans and notes payable to determine if there were any embedded components that qualified as derivatives to be separately accounted for.

[**Table of Contents**](#TOC)

*TZRC Secured Promissory Note*

The Company assumed the TZRC Secured Promissory Note with an estimated fair value amount as of the date of investment of approximately $95.1 million as part of the consideration paid to acquire an equity membership interest in TZRC. The estimated fair value represents a discount of approximately $1.7 million from the carryover basis of the TZRC Secured Promissory Note. The discount is being amortized over the term of the TZRC Secured Promissory Note into interest expense.

The stated interest on the TZRC Secured Promissory Note accrues at a rate per annum equal to the lesser of (a) a varying rate per annum equal to the sum of (i) the prime rate as published in The Wall Street Journal, plus (ii) 12.0% per annum, (b) 15.25% per annum and (c) the maximum rate of non-usurious interest permitted by law. The Company has the option to defer the interest until maturity of the note under a paid-in-kind ("PIK") payment option. The Company elected to apply the PIK payment option. Accordingly, interest increases the principal amount of the TZRC Secured Promissory Note. PIK interest is payable upon maturity of the note in April 2027, unless or until any portion or all of the TZRC Secured Promissory Note is prepaid under the prepayment option discussed below. The Company is also subject to post-default interest of an additional 2% upon occurrence of an event of default. The higher interest rate applies from the date of non-payment until such amount is paid in full. As of March 31, 2026 and December 31, 2025, the interest rate on the TZRC Secured Promissory Note was 15.25%.

The TZRC Secured Promissory Note is secured by a first priority security interest in the Company's membership interest in TZRC. The Company is not a guarantor of the TZRC Secured Promissory Note, and there is no recourse to the Company.

The PIK interest for the three months ended March 31, 2026 was $1.8 million. During the three months ended March 31, 2026, the Company made principal payments of $8.0 million on the TZRC Secured Promissory Note. As of March 31, 2026, approximately $43.3 million principal and PIK interest, exclusive of a $0.4 million discount, was outstanding under the TZRC Secured Promissory Note, with payment of principal and PIK interest due upon the first to occur of (a) the date that is five years from origination on April 8, 2022, (b) the date of any event of dissolution of TZRC, and (c) the date of the closing of certain events specified in TZRC's governing documents.

*Coinbase credit facility*

The Company is party to a credit facility with Coinbase Credit, Inc. ("Coinbase"). The original credit facility was established on June 26, 2023 (the "Original Credit Facility") and was amended and restated on each of January 12, 2024, June 17, 2024, June 16, 2025, and December 22, 2025. The Original Credit Facility provided for an interest rate of 5.0% plus the greater of (i) the US Federal Funds Target Rate – Upper Bound and (ii) 3.25%. On or prior to a drawdown, the Company was required to pledge, as collateral, Bitcoin with a custodian, Coinbase Custody Trust Company, LLC, to be held in a segregated custody account under the Company's ownership, such that the loan-to-value ("LTV") ratio of principal outstanding amount of the loan and the fair value of collateral is equal to or less than 60%. If the value of the collateral under the credit facility decreased past a specified margin, the Company may have been required to post additional Bitcoin as collateral.

The credit facility has subsequently been amended and restated, most recently on December 22, 2025 pursuant to the fourth amended and restated credit agreement (the "Fourth Amended and Restated Credit Agreement") with Coinbase. Under the Fourth Amended and Restated Credit Agreement, the total principal amount available under the facility increased by $70.0 million to up to $200.0 million. Borrowed amounts bear interest at 9.0% per annum and mature on June 16, 2026. The Company drew the additional funds made available under the Fourth Amended and Restated Credit Agreement in full on December 22, 2025.

The Company's obligations under the Fourth Amended and Restated Credit Agreement are secured by the Borrower's interest in certain Bitcoin held in the custody of Coinbase Custody Trust Company, LLC ("Coinbase Custody") and Coinbase's recourse is limited to such Bitcoin held in the custody of Coinbase Custody.

[**Table of Contents**](#TOC)

As of March 31, 2026, the Company has $200.0 million outstanding with Coinbase under the Fourth Amended and Restated Credit Agreement, exclusive of deferred financing costs of $0.1 million. In May 2026, the Company paid off the outstanding balance of the Coinbase credit facility with proceeds from a term loan with FalconX Charlie, Inc. ("FalconX"). See Note 19. *Subsequent events* for further details.

*Coatue Note (convertible note)*

On June 21, 2024, the Company entered into a Convertible Note Purchase Agreement (the "Purchase Agreement") with Coatue Tactical Solutions Lending Holdings AIV 3 LP (the "Coatue Fund"), and a subsidiary of the Company (the "Guarantor") providing for the purchase and sale of a convertible note (the "convertible note") in the principal amount of $150.0 million (such amount, together with any PIK interest accrued from time to time, the "Accreted Principal Amount"). The convertible note is a senior unsecured obligation of the Company and guaranteed by the Guarantor pursuant to a Guaranty Agreement. On June 28, 2024, the Company issued the convertible note to the Coatue Fund (the "Coatue Note").

The convertible note bears interest at a rate of 8.00% per year, payable quarterly in arrears on each March 31, June 30, September 30, and December 31, commencing September 30, 2024. Interest may be PIK or paid in cash, at the Company's option. The convertible note has an initial term of five years and may be extended, at the Company's option, for up to three additional one-year terms. At maturity (unless earlier converted, redeemed, or repurchased), the Company will pay the Coatue Fund the Accreted Principal Amount, together with any accrued and unpaid interest thereon.

During the term of the convertible note, the convertible note is convertible from time to time, in whole or in part, into shares of the Company's common stock at the option of the Coatue Fund. The initial conversion price of the convertible note is $16.395 per share of common stock, subject to certain anti-dilution adjustments.

The Coatue Fund will have the right to require the Company to repurchase all, but not less than all, of the convertible note upon a change of control or a delisting on a U.S. stock exchange. If the implied valuation of such event is at least $11.50 per share of the Company's common stock, the mandatory redemption price will be 150% of the original principal amount of the convertible note ("Contingent Repurchase Right"), and if the implied valuation of such event is less than $11.50 per share of the Company's common stock, the redemption price will be equal to the Accreted Principal Amount, together with any accrued and unpaid interest as of the redemption date.

Beginning on the two-year anniversary of the convertible note's issuance and continuing until its maturity, the Company has the right, from time to time, to redeem all or any portion of the convertible note for a redemption price equal to 100% of the Accreted Principal Amount, together with any accrued and unpaid interest as of the redemption date if (i) the closing price of the Company's common stock equals or exceeds 150% of the then-applicable conversion price for a specified period of time and (ii) there is an effective registration statement covering the resale of any shares of the Company's common stock issued upon conversion of the convertible note or, in the alternative, the shares of the Company's common stock issuable pursuant to the convertible note to the extent the Coatue Fund converts at the time would be freely tradable by the Coatue Fund pursuant to Rule 144 under the U.S. Securities Act of 1933, as amended (including without any restriction on volume), subject to a daily redemption limitation such that the number of shares of the Company's common stock into which the Accreted Principal Amount to be redeemed would be converted does not exceed, after giving effect to such conversion, 100% of the average daily trading volume of the Company's common stock calculated over a specified period of time.

The Purchase Agreement includes certain representations, warranties, and covenants, including limitations on the ability of the Company and the Guarantor to incur indebtedness, make certain restricted payments and investments, and enter into affiliate transactions, subject to certain exceptions enumerated in the Purchase Agreement. The Company may consummate a transaction restricted by the foregoing covenants without the Coatue Fund's consent, so long as it substantially concurrently and as a condition thereto repurchases the convertible note in full from the Coatue Fund for an amount in cash equal to the greater of (i) 120% of the original principal amount of the convertible note and (ii) the Accreted Principal Amount, plus accrued and unpaid interest to the date of such repurchase. The Purchase Agreement also sets forth certain standard events of default upon which the convertible note may be declared immediately due and payable.

[**Table of Contents**](#TOC)

As mentioned in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Convertible instruments and Derivatives*, the Company has identified and separated an embedded derivative, the Contingent Repurchase Right, from the convertible note. The remaining debt host contract is discounted by the initial fair value of the separated embedded derivative from the convertible note of nil and is offset by issuance costs. The debt host contract of the convertible note is subsequently measured at amortized cost, and the debt discount and issuance costs are amortized to interest expense over the expected term of the host contract using the effective interest method. The convertible note has an effective interest rate of 8.24% and its contractual interest expense was $3.2 million for the three months ended March 31, 2026. The amortization of debt discount and issuance costs for the three months ended March 31, 2026 was $0.1 million. As of March 31, 2026, the convertible note had an outstanding principal amount of $159.3 million inclusive of PIK interest accrued, unamortized debt discount and issuance costs of $0.6 million, net carrying amount of $158.6 million, and fair value of $458.7 million. The fair value of the convertible note is estimated using the same method and inputs as the separated embedded derivative from the convertible note as disclosed in Note 10. *Derivatives*. The Company determined that the convertible note is a Level 3 liability given an unobservable input is included in its valuation. The separated embedded derivative from the convertible note was initially recorded at nil. See Note 10. *Derivatives* for a discussion of the separated embedded derivative from the convertible note.

*Two Prime Credit Facility*

On August 25, 2025, the Company entered into a credit agreement (the "Two Prime Credit Agreement") with Two Prime Lending Limited ("Two Prime").

The Two Prime Credit Agreement provides for a revolving credit facility of up to $200.0 million. Amounts borrowed under the Two Prime Credit Agreement will bear interest at a rate equal to 7.99% per annum. The facility will mature 364 days after the date of the first borrowing. The Company may prepay any outstanding amounts borrowed, in whole or in part, without premium or penalty, at any time prior to the maturity date. Amounts prepaid may be reborrowed, in whole or in part, at any time prior to the maturity date.

As of March 31, 2026, the Company had no amounts outstanding under the Two Prime Credit Agreement.

*Other financial liability*

In February 2025, a consolidated subsidiary of the Company entered into a simple agreement for future equity ("SAFE agreement") for a purchase amount of $3.5 million with a related party entity controlled by a person related to a member of the issuing subsidiary's management. Pursuant to the terms of the SAFE agreement, on the closing of equity financing while the SAFE agreement is outstanding, the SAFE agreement will automatically convert into the number of shares of preferred stock of the subsidiary equal to the purchase amount divided by the lowest price per share of the Standard Preferred Stock (as defined in the SAFE agreement). The SAFE agreement was classified as a liability pursuant to ASC 480. The SAFE agreement is subject to revaluation at the end of each reporting period, with changes in its fair value recognized in the Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss.

As of March 31, 2026, solely for the purposes of estimating the fair value of the SAFE agreement, the Company estimated an equity conversion probability of 85% within 12 months and a SAFE agreement liquidity event probability of 15% within 27 months. The Company also included the following inputs in estimating the fair value of the SAFE agreement using the PWERM:

---

| | |
|:---|:---|
|  | **March 31, 2026** |
| Risk-free interest rate | 3.70% – 3.80 |
| Credit spread | 19.10% |

---

[**Table of Contents**](#TOC)

The following table provides a summary of activity and change in fair value of the SAFE agreement (Level 3 liability):

---

| | | |
|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** |
| | **March 31,** | **March 31,** |
| <br>*(in USD thousands)* | **2026** | **2025** |
| Balance, beginning of period | $2544 | $— |
| &nbsp;&nbsp;Additions |  | 3500 |
| &nbsp;&nbsp;Change in fair value | 661 | (1139) |
| **Balance, end of period** | $3205 | $2361 |

---

**Note 10. Derivatives**

The following table presents the Company's Unaudited Condensed Consolidated Balance Sheets classification of derivatives carried at fair value:

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| *(in USD thousands)* |  | **March 31, 2026** | **March 31, 2026** | **December 31, 2025** | **December 31, 2025** |
| **Derivative** | **Balance Sheet Line** | **Asset** | **Liability** | **Asset** | **Liability** |
| Derivatives not designated as hedging instruments: |  |  |  |  |  |
| &nbsp;&nbsp;Bitcoin redemption and put options | Derivative assets | $161699 | $— | $117402 | $— |
| &nbsp;&nbsp;Warrant liability | Warrant liability |  | 77 |  | 146 |
| **Total derivatives** |  | $161699 | $77 | $117402 | $146 |

---

The following table presents the effect of derivatives on the Company's Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Three Months Ended** | **Three Months Ended** |
| *(in USD thousands)* |  | **March 31,** | **March 31,** |
| **Derivative** | **Statement of Operations Line** | **2026** | **2025** |
| Derivatives not designated as hedging instruments: |  |  |  |
| &nbsp;&nbsp;Bitcoin redemption and put options | Gain on derivatives | $40817 | $3321 |
| &nbsp;&nbsp;Covered call options | Gain on derivatives |  | 17541 |
| &nbsp;&nbsp;Warrant liability | Gain on warrant liability | 69 |  |
| **Total derivatives** |  | $40886 | $20862 |

---

*Bitcoin redemption and put options*

During December 2024, the Company pledged approximately 968 Bitcoin with Bitmain in connection with its purchase of approximately 30,000 Bitmain Antminer S21+ ASIC miners under the Bitmain Purchase Agreement. Under the arrangement, the Company had the option to redeem the pledged Bitcoin at a mutually agreed upon fixed price, which started from the shipment date of the purchased ASIC miners and originally ended three months thereafter. The amount of Bitcoin that could be redeemed was pro-rata of the percentage of miners shipped on a compute power (hashrate) basis. During 2025 and January 2026, the Company amended the redemption period multiple times, extending the date by which the pledged Bitcoin could be redeemed. As noted in Note 5. *Digital assets*, during January 2026, the Bitcoin redemption option's redemption period lapsed and went unredeemed. The Company accounted for this Bitcoin redemption option as a Level 2 derivative asset as noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Derivatives*. The Company previously accounted for this Bitcoin redemption option as a Level 3 derivative asset as of December 31, 2024 due to a significant unobservable input included in the fair value estimate of the Bitcoin redemption option, which was the estimated shipment date of the purchased ASIC miners. During the fiscal year ended 2025, the shipment date was finalized and therefore was no longer an unobservable input.

[**Table of Contents**](#TOC)

As part of the 2025 ABTC Bitmain Purchase Agreement, in August, September, and October 2025, American Bitcoin pledged Bitcoin with Bitmain in connection with a purchase of approximately 17,280 U3S21EXPH ASIC miners. The total amount of Bitcoin pledged was approximately 2,776 Bitcoin. American Bitcoin pledged the Bitcoin in four tranches, two tranches in August 2025, one tranche in September 2025, and one tranche in October 2025. American Bitcoin has the option to redeem the pledged Bitcoin at a mutually agreed upon price starting from and for up to twenty-four months after the day immediately following each pledge date and loses the right to redeem the pledged Bitcoin should it not redeem them by the end of the redemption period. The Company accounted for this Bitcoin redemption option as a Level 2 derivative asset as noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Derivatives*. As part of the purchase of the U3S21EXPH ASIC miners, the Company paid cash of approximately $46.0 million as a deposit and for certain expenses. American Bitcoin had an option to replace the $46.0 million cash paid with a Bitcoin pledge on or before November 5, 2025. In October 2025, American Bitcoin exercised its option to replace the $46.0 million cash paid with a Bitcoin pledge by pledging an additional 391 Bitcoin at a mutually agreed upon fixed price, and Bitmain refunded the Company's $46.0 million comprising of the deposit and certain expenses.

In February 2026, in connection with the 2026 ABTC Bitmain Purchase Agreement, American Bitcoin pledged approximately 314 Bitcoin with Bitmain representing 80% of the purchase price of approximately 11,298 S21 XP ASIC miners. American Bitcoin has the option to redeem the pledged Bitcoin at a mutually agreed upon price starting from and for up to twenty-four months after the day immediately following the pledge date and loses the right to redeem the pledged Bitcoin should it not redeem them by the end of the redemption period. As part of the agreement, American Bitcoin has an option to extend the pledge period for an additional twelve months. American Bitcoin also has the option to pay the remaining 20% of the purchase price under the 2026 ABTC Bitmain Purchase Agreement by pledging Bitcoin at a mutually agreed upon floor price, which is due one year after the shipment date of the S21 XP ASIC miners. The Company accounted for this Bitcoin redemption and put option as a Level 2 derivative asset as noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Derivatives.*

The following table provides a summary of activity and change in fair value of the Company's Bitcoin redemption and put options (previously a Level 3 derivative asset):

---

| | | |
|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** |
| | **March 31,** | **March 31,** |
| <br>*(in USD thousands)* | **2026** | **2025** |
| Balance, beginning of period | $— | $18076 |
| &nbsp;&nbsp;Additions |  |  |
| &nbsp;&nbsp;Transfer out of Level 3 <sup>(1)</sup> |  | (18076) |
| **Balance, end of period** | $— | $— |

---

<sup>(1)</sup> The Bitcoin redemption and put options were transferred out of Level 3 due to changes in the observability of inputs used in the valuation.

*Covered call options*

As noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Derivatives*, from time to time, the Company has sold covered call options on Bitcoin to generate cash flow on a portion of its digital assets. In connection with these covered call options, the Company has pledged Bitcoin as collateral with one of its digital asset custodians, in a quantity equal to the notional amount, for these covered call options sold. The collateral is returned to the Company should the covered call options expire with the underlying reference price below their strike price. The covered call options are only exercisable upon the date of expiry, are automatically exercised if the underlying reference price is greater than the strike price of the call option, and are settled with delivery of the underlying Bitcoin. The reference price is the Coinbase exchange Bitcoin price quoted in U.S. dollars. Covered call options were carried at fair value and were Level 2 liabilities as noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Fair value measurement*. During the three months ended March 31, 2025, covered call options on 1,500 Bitcoin notional expired with the underlying reference price below their strike price, and the Company recorded a realized gain of $12.1 million and an unrealized gain of $5.4 million related to changes in the fair value of outstanding covered call options. As of March 31, 2026, the Company had no covered call options outstanding.

[**Table of Contents**](#TOC)

*Separated embedded derivative from the convertible note*

In June 2024, as noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Convertible instruments* and Note 9. *Loans, notes payable, and other financial liabilities* the Company issued a convertible note, the Coatue Note, with embedded derivatives and separated the Contingent Repurchase Right embedded derivative. The separated embedded derivative from the convertible note was separated from its debt host contract and was accounted for as a derivative liability carried at fair value in accordance with ASC 815. As noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Fair value measurement*, the separated embedded derivative from the convertible note is a Level 3 liability. A significant unobservable input included in the fair value estimate of the separated embedded derivative from the convertible note is management's estimate of the Contingent Repurchase Right's probability of occurrence, which was remote as at inception and March 31, 2026. As such, the initial fair value of the separated embedded derivative from the convertible note was nil and the fair value as of March 31, 2026 was nil.

As of March 31, 2026, the Company estimated the fair value of the separated embedded derivative from the convertible note using the PDE Model with the following inputs and inputs noted in the paragraph above:

---

| | |
|:---|:---|
|  | **March 31, 2026** |
| Dividend yield | —% |
| Implied volatility | 89.80% |
| Risk-free interest rate | 4.00% |
| Credit spread | 14.00% |

---

*Warrant liability*

On March 31, 2025, a wholly owned subsidiary of the Company contributed substantially all of the Company's ASIC miners to American Data Centers Inc. in exchange for an 80% interest in American Data Centers Inc. In connection with the transaction, American Data Centers Inc. was subsequently renamed as American Bitcoin Corp. ("Historical ABTC").

On May 9, 2025, Gryphon Digital Mining, Inc., a Delaware corporation ("Gryphon"), GDM Merger Sub I Inc., a Delaware corporation and wholly owned direct subsidiary of Gryphon ("Merger Sub Inc."), GDM Merger Sub II LLC, a Delaware limited liability company and wholly owned direct subsidiary of Gryphon ("Merger Sub LLC"), and Historical ABTC, a majority owned subsidiary of the Company, entered into an Agreement and Plan of Merger (the "ABTC Merger Agreement").

On September 3, 2025, in accordance with the terms of the ABTC Merger Agreement, among other things, (i) Merger Sub Inc. merged with and into Historical ABTC, with Historical ABTC surviving the merger (the "First Merger") as a wholly owned direct subsidiary of Gryphon (the corporation surviving the First Merger, the "First Merger Surviving Corporation") and (ii) immediately after the First Merger, the First Merger Surviving Corporation merged with and into Merger Sub LLC, with Merger Sub LLC surviving the merger (the "Second Merger" and, taken together with the First Merger, the "ABTC Merger") as a wholly owned direct subsidiary of Gryphon. Gryphon was renamed American Bitcoin Corp. after the completion of the ABTC Merger (the "Closing").

In connection with the ABTC Merger, warrants to purchase Gryphon common stock (the "ABTC-Gryphon Warrants") outstanding immediately before the ABTC Merger were assumed by American Bitcoin. Post-ABTC Merger, the warrant holders are entitled to receive, upon exercise, in lieu of Gryphon common stock, shares of Class A common stock of American Bitcoin. The ABTC-Gryphon Warrants have an exercise price of $1.50 per share after giving effect of the ABTC Merger. These warrants expire in January 2035.

In connection with the ABTC Merger, American Bitcoin assumed 1,373,374 ABTC-Gryphon Warrants. As of March 31, 2026, there were 89,222 ABTC-Gryphon Warrants outstanding.

[**Table of Contents**](#TOC)

The ABTC-Gryphon Warrants meet the definition of a derivative under ASC 815, and due to the terms of the warrants, are required to be liability classified. The ABTC-Gryphon Warrant liabilities are carried at fair value, and are Level 3 liabilities as noted in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements*.

As of March 31, 2026, the Company estimated the fair value of the ABTC-Gryphon Warrant liability using the Black-Scholes pricing model with the following inputs:

---

| | |
|:---|:---|
|  | **March 31, 2026** |
| Exercise price | $1.50 |
| Expected price volatility | 125.00% |
| Risk-free interest rate | 4.18% |
| Expected term (in years) | 8.80 |
| Dividend yield | —% |

---

The following table provides a summary of activity and change in fair value of the Company's warrant liability (Level 3 derivative liability), and there was no activity during the three months ended March 31, 2025:

---

| | |
|:---|:---|
| | **Three Months Ended** |
| <br>*(in USD thousands)* | **March 31, 2026** |
| Balance, beginning of period | $146 |
| &nbsp;&nbsp;Change in fair value | (69) |
| **Balance, end of period** | $77 |

---

#### Note 11. Leases
The Company's operating leases are for its offices and certain of its mining facilities and data centers. The Company's subsidiaries previously had finance leases, which were primarily related to equipment used at its data centers and the power plant located in Iroquois Falls, Ontario under the Far North JV. As of December 31, 2025, the Company classified the right-of-use asset and lease liability related to the finance lease as assets and liabilities held for sale due to the Far North JV sale described in Note 3. *Far North JV sale*. The Company does not have any finance leases as of March 31, 2026.

The following table shows the right-of-use assets and lease liabilities as of March 31, 2026 and December 31, 2025:

---

| | | |
|:---|:---|:---|
|  | **March 31,** | **December 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| Right-of-use assets: |  |  |
| &nbsp;&nbsp;Operating leases | $17499 | $18496 |
| Total right-of-use assets | $17499 | $18496 |
| Lease liabilities: |  |  |
| &nbsp;&nbsp;Operating leases | $18161 | $19170 |
| Total lease liabilities | $18161 | $19170 |

---

The Company no longer has a finance lease as of March 31, 2026 due to the sale of the Far North JV as noted in Note 3. *Far North JV sale*.

[**Table of Contents**](#TOC)

The Company's lease costs are comprised of the following:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| Operating leases |  |  |
| &nbsp;&nbsp;Operating lease cost | $1194 | $1203 |
| &nbsp;&nbsp;Variable lease cost | 240 | 237 |
| &nbsp;&nbsp;Operating lease expense | 1434 | 1440 |
| &nbsp;&nbsp;Short-term lease expense | 165 | 83 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating lease expense | 1599 | 1523 |
| Finance leases |  |  |
| &nbsp;&nbsp;Amortization of financed assets |  | 1426 |
| &nbsp;&nbsp;Interest on lease obligations | 181 | 651 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total finance lease expense | 181 | 2077 |
| **Total lease expense** | $1780 | $3600 |

---

The following table presents supplemental lease information:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| Operating cash outflows – operating leases | $1289 | $1234 |
| Operating cash outflows – finance leases | $183 | $580 |
| Financing cash outflows – finance leases | $957 | $119 |
| Right-of-use assets obtained in exchange for operating lease liabilities | $— | $212 |
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
|  | **2026** | **2025** |
| Weighted-average remaining lease term – operating leases (in years) | 8.0 | 8.3 |
| Weighted-average remaining lease term – finance leases (in years) |  | 3.8 |
| Weighted-average discount rate<sup>(1)</sup> – operating leases | 11.8% | 11.6% |
| Weighted average discount rate – finance leases | —% | 10.0% |

---

<sup>(1)</sup> The Company's operating leases do not provide an implicit rate, therefore the Company uses the incremental borrowing rate at the lease commencement date in determining the present value of lease payments. The incremental borrowing rate represents an estimate of the interest rate the Company would incur at lease commencement to borrow an amount equal to the lease payments on a collateralized basis for similar assets over the term of the lease.

The following table presents the Company's future minimum operating lease payments as of March 31, 2026:

---

| | |
|:---|:---|
|  | **Operating** |
| *(in USD thousands)* | **Leases** |
| Remainder of 2026 | $3663 |
| 2027 | 4673 |
| 2028 | 4331 |
| 2029 | 3334 |
| 2030 | 1620 |
| Thereafter | 11324 |
| Total undiscounted lease payments | 28945 |
| &nbsp;&nbsp;Less present value discount | (10784) |
| Present value of operating lease liabilities | $18161 |

---

As of March 31, 2026, there were no future finance lease payments.

[**Table of Contents**](#TOC)

#### Note 12. Equity

#### Authorized shares
The Company's certificate of incorporation, as amended, authorized 1,000,000,000 shares of common stock, par value of $0.01 per share, and 25,000,000 shares of preferred stock, par value of $0.01 per share.

***Common stock***

*At-the-Market Offering and Stock Repurchase Programs*

On December 4, 2024, the Company entered into a Controlled Equity Offering Sales Agreement to establish an at-the-market equity program (the "2024 ATM"), allowing the Company to offer and sell up to $500.0 million of its common stock from time to time. Concurrently, the Company launched a $250.0 million stock repurchase program enabling the Company to repurchase up to 4,683,936 shares of its common stock (representing 5.0% of the Company's issued and outstanding common stock as of December 4, 2024) within twelve months of launch. During the three months ended March 31, 2025, the Company issued and sold 4,205,019 shares of its common stock under the 2024 ATM for gross proceeds of $113.1 million, incurred issuance costs of $1.1 million, and repurchased nil shares of its common stock under the stock repurchase program.

On August 22, 2025, the Company established a $1.0 billion at-the-market equity program (the "2025 ATM"), which replaced the 2024 ATM. During the three months ended March 31, 2026, the Company issued and sold 2,101,363 shares of its common stock under the 2025 ATM for gross proceeds of $120.9 million and incurred issuance costs of $0.8 million.

***Common stock warrants***

In connection with the business combination of Hut 8 Mining Corp. ("Legacy Hut") and U.S. Data Mining Group, Inc. ("USBTC") on November 30, 2023 (the "Business Combination"), warrants to purchase Legacy Hut common shares outstanding immediately before the Business Combination were assumed by the Company. Post-Business Combination, the warrant holders are entitled to receive, upon exercise, in lieu of Legacy Hut common shares, shares of common stock of the Company at an exchange ratio of 0.2000, rounded down to the nearest whole share at a warrant agreement level if applicable, and at an exercise price of the original exercise price divided by the exchange ratio of 0.2000, rounded up to the nearest whole cent if applicable. The warrants include a net share settlement clause at the discretion of the warrant holder, which may result in a variable number of shares being issued for a fixed price due to the use of a certain volume-weighted average price of shares. The Company accounts for its warrants as equity instruments based on the specific terms of the relevant warrant agreements and has recorded them in additional paid-in capital in equity based on their fair value on the date of assumption. The classification of the warrants, including whether such instruments should be recorded as liabilities, is reassessed at the end of each reporting period. The fair value of each warrant was estimated on the date of assumption using the Black-Scholes pricing model.

The warrants assumed in the Business Combination expire on September 17, 2026.

Transactions involving the Company's equity-classified warrants are summarized as follows:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** | **Weighted average** |
|  | **Number of** | **exercise price** | **remaining contractual** |
| *(in thousands, except share and per share amounts)* | **shares** | **(per share)** | **life (in years)** |
| Outstanding as of December 31, 2025 | 1895 | $53.45 | 0.7 |
| Outstanding as of March 31, 2026 | 1895 | $53.45 | 0.5 |

---

[**Table of Contents**](#TOC)

***American Bitcoin non-controlling interest***

On September 3, 2025, American Bitcoin entered into a Controlled Equity Offering Sales Agreement to establish an at-the-market equity program (the "American Bitcoin 2025 ATM"), allowing American Bitcoin to offer and sell up to $2.1 billion of its shares of Class A common stock from time to time. During the three months ended March 31, 2026, American Bitcoin issued and sold 84,068,493 shares of its Class A common stock under the American Bitcoin 2025 ATM for gross proceeds of $111.0 million and incurred issuance costs of $0.5 million. As a result, the Company recorded $32.5 million to additional paid-in capital, representing the portion of the shares of American Bitcoin Class A common stock sold under the American Bitcoin 2025 ATM attributable to the Company, and $78.0 million to non-controlling interest, representing the portion attributable to the non-controlling interest.

During the three months ended March 31, 2026, American Bitcoin issued shares of its Class A common stock to third parties, as disclosed above in this note, thereby reducing the Company's ownership percentage in American Bitcoin. The Company continues to maintain control of American Bitcoin after these share issuances, and the issuances were accounted for as equity transactions under FASB ASC Topic 810, *Consolidation* ("ASC 810"). These share issuances by American Bitcoin are also accounted for under FASB ASC Topic 740, *Income Taxes* ("ASC 740") by assessing the deferred tax consequences of the outside basis difference. The tax impact of the difference between the fair value of the consideration received and the amount by which the non-controlling interest is adjusted is recognized in equity. Accordingly, the Company recorded $8.5 million as a deferred tax liability, with the offset recognized in additional paid-in capital. No gain or loss was recognized.

***Far North JV non-controlling interest***

As described in Note 3. *Far North JV sale*, the Company sold its ownership in the Far North JV on February 2, 2026. Immediately prior to the sale, (1) the non-controlling interest exercised 2,000,000 Penny Warrants of the Far North JV and (2) the non-controlling interest sold its entire ownership in the Far North JV to the Company for $10.0 million (C$13.9 million) that was paid by TransAlta to the non-controlling interest directly as partial satisfaction of the purchase price of the Far North JV sale. Given the Company maintained control of the Far North JV after both the exercise of the Penny Warrants and acquiring the non-controlling interest, these transactions were accounted for as equity transactions under ASC 810.

The following table summarizes the effect of changes in ownership of American Bitcoin and the Far North JV on equity attributable to Hut 8 Corp. for the periods presented:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| Net loss attributable to Hut 8 Corp. | $(219849) | $(133889) |
| Additional paid-in capital: |  |  |
| &nbsp;&nbsp;Increase in additional paid-in capital from the issuance of Class A common stock by American Bitcoin, net of issuance costs | 32500 |  |
| &nbsp;&nbsp;Decrease in additional paid-in capital from deferred income tax on American Bitcoin Corp. – equity transactions | (8539) |  |
| &nbsp;&nbsp;Decrease in additional paid-in capital from the exercise of Penny Warrants issued by the Far North JV | (283) |  |
| &nbsp;&nbsp;Decrease in additional paid-in capital from the non-controlling interest acquisition prior to the sale of the Far North JV | (7815) |  |
| Changes from net loss attributable to Hut 8 Corp. and total effect of changes in ownership of American Bitcoin and the Far North JV on equity attributable to Hut 8 Corp. | $(203986) | $(133889) |

---

[**Table of Contents**](#TOC)

***ABTC-Akerna Warrants***

In connection with the ABTC Merger on September 3, 2025, warrants to purchase shares of Gryphon common stock originally issued by and assumed from Akerna Corp. (the "ABTC-Akerna Common Warrants") and warrants issued to underwriters to purchase shares of Gryphon common stock originally issued by and assumed from Akerna Corp. (the "ABTC-Akerna Underwriter Warrants" and, collectively with the ABTC-Akerna Common Warrants, the "ABTC-Akerna Warrants") outstanding immediately before the ABTC Merger were assumed by American Bitcoin. Post-ABTC Merger, the warrant holders are entitled to receive, upon exercise, in lieu of Gryphon common stock, American Bitcoin Class A common stock, at an exchange ratio of 0.2000 and at an exercise price of the exercise price immediately preceding the ABTC Merger divided by the exchange ratio of 0.2000. The ABTC-Akerna Warrants include a net share settlement clause at the discretion of the warrant holder, which may result in a variable number of shares being issued for a fixed price. The Company accounts for its ABTC-Akerna Warrants as equity instruments based on the specific terms of the relevant warrant agreements and has recorded them in additional paid-in capital in equity based on their fair value on the date of assumption. The classification of the ABTC-Akerna Warrants, including whether such instruments should be recorded as liabilities, is reassessed at the end of each reporting period. The fair value of each ABTC-Akerna Warrant was estimated on the date of assumption using the Black-Scholes pricing model.

The ABTC-Akerna Common Warrants and ABTC-Akerna Underwriter Warrants assumed in the ABTC Merger expire on July 5, 2027 and June 29, 2027, respectively.

Transactions involving the Company's equity-classified ABTC-Akerna Warrants are summarized as follows:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** | **Weighted average** |
|  | **Number of** | **exercise price** | **remaining contractual** |
| *(in thousands, except share and per share amounts)* | **shares** | **(per share)** | **life (in years)** |
| Outstanding as of December 31, 2025 | 22826 | $37.00 | 1.5 |
| Outstanding as of March 31, 2026 | 22826 | $37.00 | 1.3 |

---

***Subsidiary Penny Warrants***

In 2025, the Far North JV, a consolidated subsidiary of the Company, issued 2,000,000 Penny Warrants with an exercise price of less than one penny per share. These subsidiary Penny Warrants represented approximately 10% of Far North JV's common stock outstanding on a non-diluted basis prior to their exercise, expired three years from issuance date, and entitled the holder to receive shares of a class of common stock of Far North JV upon exercise. All classes of common stock of the Far North JV had equal rights to earnings on a per share basis. The Company accounted for its subsidiary's Penny Warrants as equity instruments based on the specific terms of the subsidiary Penny Warrant agreements, and recorded them in additional paid-in capital in equity based on their fair value on issuance. The classification of the subsidiary Penny Warrants, including whether such instruments should have been recorded as liabilities, was re-assessed at the end of each reporting period while they were outstanding. The fair values of the subsidiary Penny Warrants were estimated on their dates of issuance and were approximately equal to the fair value of the shares of a class of common stock underlying the subsidiary Penny Warrants given their exercise price represented little cash consideration.

The subsidiary Penny Warrants were issued in connection with finance lease payment deferral elections by a subsidiary of the Far North JV, and accordingly, the corresponding cost was capitalized to the associated right-of-use asset in connection with lease remeasurements. The weighted average issuance-date fair value of the subsidiary Penny Warrants was $0.90 per share.

The subsidiary Penny Warrants were exercised in February 2026 in connection with the sale of the Far North JV; refer to Note 3. *Far North JV sale* for further information on the Far North JV sale.

[**Table of Contents**](#TOC)

Transactions involving the Company's equity-classified subsidiary Penny Warrants are summarized as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  | **Number of** | **Weighted average** | **Aggregate** | **Weighted average** |
|  | **shares of** | **exercise price** | **intrinsic** | **remaining contractual** |
| *(in USD thousands, except share and per share amounts)* | **Far North JV** | **(per share)** | **value** | **life (in years)** |
| Outstanding as of December 31, 2025 | 2000000 | $<sup>(1)</sup> | $1823 | 2.1 |
| Exercised | (2000000) | <sup>(1)</sup> | 3421 |  |
| Outstanding as of March 31, 2026 |  | $— | $— |  |

---

<sup>(1)</sup> Represents little cash consideration of less than a penny per share.

***Accumulated other comprehensive loss***

The changes in accumulated other comprehensive loss, net of tax, is as follows:

---

| | | | |
|:---|:---|:---|:---|
|  | **December 31,**  | **Net** | **March 31,** |
| *(in USD thousands)* | **2025** | **Change** | **2026** |
| Foreign currency translation adjustment loss | $(10432) | $(9248) | $(19680) |
| **Total** | $(10432) | $(9248) | $(19680) |

---

#### Note 13. Stock-based compensation
In connection with the Business Combination, the Company adopted the 2023 Plan, the Hut 8 Corp. Rollover Option Plan (the "2021 Plan"), and the Hut 8 Mining Corp. Omnibus Long-Term Incentive Plan (the "2018 Plan"). Under the 2023 Plan, stock options, stock appreciation rights, restricted stock, restricted stock units, performance stock units, deferred stock units, other stock-based awards, and stock bonuses of the Company can be granted to employees, consultants, and directors of the Company and its affiliates. Cancelled and forfeited awards are returned to the 2023 Plan for future awards. 17,644,625 shares of the Company's common stock have been authorized and registered to be issued under the 2023 Plan.

On March 16, 2021, USBTC established the USBTC 2021 Equity Incentive Plan. This plan allowed USBTC to award stock options, stock appreciation rights, restricted awards, and performance awards to employees, consultants, and directors of USBTC and its affiliates and cancelled and forfeited awards were returned to the plan for future awards. The 2021 Plan is identical to the USBTC 2021 Equity Incentive Plan except for conforming changes to account for the Business Combination. 4,490,400 shares of the Company's common stock have been authorized and registered to be issued under the 2021 Plan, and no further awards are available for grant under the 2021 Plan.

The 2018 Plan was originally established by Legacy Hut on February 15, 2018 to allow Legacy Hut to award stock options and restricted share units to employees, consultants, service providers, and directors of Legacy Hut and its affiliates, as well as deferred share units to employees and directors of Legacy Hut. 1,553,254 shares of common stock have been authorized and registered to be issued under the 2018 Plan.

In connection with the Business Combination, USBTC stock options outstanding immediately before the Business Combination were exchanged for 0.6716 stock options of the Company under the 2021 Plan (the "USBTC Replacement Options"). Upon the Business Combination, fractional stock options, if any, were rounded down to the nearest whole stock option at an award level. The exercise price of any USBTC Replacement Option was equal to the exercise price of the replaced USBTC stock option immediately before the Business Combination divided by 0.6716, rounded up to the nearest whole cent, if applicable.

In connection with the Business Combination, equity awards outstanding under the 2018 Plan were amended such that (1) restricted share units and deferred share units were amended to settle in shares of the Company's common stock under the 2018 Plan and (2) stock options were cancelled and reissued under the 2023 Plan, all at an exchange ratio of 0.2000 effective November 30, 2023. The exercise price of stock options immediately before the Business Combination was divided by the exchange ratio of 0.2000, rounded up to the nearest whole cent, if applicable, to obtain the exercise price of the reissued stock options. Fractional awards, if any, were rounded down to the nearest whole award unit at a holder level.

[**Table of Contents**](#TOC)

As of March 31, 2026, restricted stock units, deferred stock units, performance stock units, and stock options have been granted under the 2023 Plan.

The Company's stock-based compensation expense recognized during the three months ended March 31, 2026 and March 31, 2025 in the Consolidated Statements of Operations and Comprehensive Loss is as follows:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands)* | **2026** | **2025** |
| Stock options | $1137 | $180 |
| Restricted stock units | 12359 | 1293 |
| Performance stock units | 37378 | 2320 |
| **Total stock-based compensation expense recognized in the Consolidated Statements of Operations and Comprehensive Loss** | $50874 | $3793 |
| Stock-based compensation capitalized in property and equipment, net | $106 | $— |

---

*Stock options*

The fair value of each stock option grant is estimated on the date of grant using the Black-Scholes option pricing model for stock option grants without any market-based vest conditions, and using a Monte Carlo simulation model for stock option grants with any market-based vest condition.

In March 2025, the Company granted 1,000,000 stock options with an exercise price of $15.00 per share under the 2023 Plan with service-based and market-based vest conditions. These stock options vest upon the later of the end of each tranche's service period and the satisfaction of the market-based vest condition per tranche, which is if the Company's stock price, on a 20-consecutive-day volume-weighted average price basis, reaches a certain price during the period from grant date to approximately three years after grant date. The Company recognizes stock-based compensation expense associated with these stock options on a graded basis over the later of the stock options' time-based service condition and market-based derived service period per tranche. Stock-based compensation expense associated with stock options with market-based vest conditions is not adjusted in future periods for the success or failure to achieve the specified market conditions. These stock options were modified shortly after their grant date to amend a termination vest clause, and the Company determined that there was no incremental fair value to recognize as additional compensation expense as of the modification date given only a termination vest clause was modified and accordingly no incremental compensation expense was required to be recognized.

The market-based vest conditions of the stock options granted during March 2025 are considered "market conditions" under FASB ASC Topic 718, *Compensation—Stock Compensation* ("ASC 718"), and as such, the Company used a Monte Carlo simulation model to determine the grant-date fair value of stock options with a market condition. The Monte Carlo simulation takes into account the probability that the market condition will be achieved based on predicted stock price paths of the Company in addition to the assumptions in the table below. No stock options were granted by the Company during the three months ended March 31, 2026.

---

| | |
|:---|:---|
|  | **Three Months Ended** |
|  | **March 31,**<br>**2025** |
| Dividend yield | —% |
| Expected price volatility | 120.00% |
| Risk-free interest rate | 4.05% |
| Expected term (in years) | 6.0 |

---

As of March 31, 2026, there were 261,314 unvested service-based options and 333,334 unvested service and market-based options.

[**Table of Contents**](#TOC)

A summary of stock options for the three months ended March 31, 2026 and March 31, 2025 is as follows:

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  |  | **Weighted** |
|  |  | **Weighted average** |  | **average remaining** |
|  | **Number of** | **exercise price** | **Aggregate** | **contractual life** |
| *(in USD thousands, except share and per share amounts)* | **shares** | **(per share)** | **intrinsic value** | **(in years)** |
| Outstanding as of December 31, 2025 | 2866678 | $5.63 | $115553 | 6.2 |
| &nbsp;&nbsp;Exercised | (124619) | 0.39 | 6171 |  |
| &nbsp;&nbsp;Forfeited, canceled, or expired | (19308) | 0.39 |  |  |
| Outstanding as of March 31, 2026 | 2722751 | $5.91 | $111638 | 5.9 |
| Vested and exercisable as of March 31, 2026 | 2128103 | $5.16 | $88845 | 6.0 |

---

---

| | | | | |
|:---|:---|:---|:---|:---|
|  |  |  |  | **Weighted** |
|  |  | **Weighted average** |  | **average remaining** |
|  | **Number of** | **exercise price** | **Aggregate** | **contractual life** |
| *(in USD thousands, except share and per share amounts)* | **shares** | **(per share)** | **intrinsic value** | **(in years)** |
| Outstanding as of December 31, 2024 | 2961929 | $0.53 | $59120 | 7.7 |
| &nbsp;&nbsp;Granted | 1000000 | 15.00 |  |  |
| &nbsp;&nbsp;Exercised | (327204) | 0.39 | 4182 |  |
| &nbsp;&nbsp;Forfeited, canceled, or expired | (17786) | 0.39 |  |  |
| Outstanding as of March 31, 2025 | 3616939 | $4.54 | $29130 | 7.0 |
| Vested and exercisable as of March 31, 2025 | 1818295 | $0.62 | $8931 | 7.4 |

---

The Company had approximately $0.1 million and $1.5 million of total unrecognized compensation expense expected to be recognized over a weighted-average remaining vesting period of approximately 0.8 years and 1.0 years related to stock options under the Hut 8 Corp. Rollover Option Plan and stock options under the 2023 Plan, respectively, as of March 31, 2026. The Company had approximately $0.5 million and $9.4 million of total unrecognized compensation expense expected to be recognized over a weighted-average remaining vesting period of approximately 1.1 years and 1.1 years related to stock options under the Hut 8 Corp. Rollover Option Plan and stock options under the 2023 Plan, respectively, as of March 31, 2025.

No stock options were granted during the three months ended March 31, 2026. The weighted average grant-date fair value of stock options granted during the three months ended March 31, 2025 was $9.44 per share.

*Restricted stock units*

Restricted stock units granted under the 2023 Plan, and those governed under the 2018 Plan that may settle in shares of common stock of the Company, entitle recipients to receive a number of shares of the Company's common stock over a vesting period, according to each respective restricted stock unit agreement. At the Company's discretion, restricted stock units may be settled in shares of common stock or cash in lieu of settling in shares or a combination of shares of common stock and cash. The Company currently does not intend to settle any restricted stock units in cash or in a combination of shares of common stock and cash.

For restricted stock units under the 2023 Plan, stock-based compensation expense related to share-settled restricted stock units is based on the fair value of the Company's common stock on the date of grant. For restricted stock units under the 2018 Plan, the stock-based compensation expense is based on the fair value of the Company's common stock on the date of the consummation of the Business Combination. The Company recognizes stock-based compensation expense associated with such share-settled restricted stock unit awards on a graded basis over the awards' service-based vesting tranches. Share-settled restricted stock unit awards generally vest in equal annual installments over a three-year period or fully vest by certain dates for non-employee directors and certain employees (unless accelerated in connection with a change in control event under specified conditions as set forth in the applicable restricted stock unit agreement or otherwise in accordance with provisions of the award's governing plan or applicable agreement).

[**Table of Contents**](#TOC)

The following table presents a summary of the activity of the service-based restricted stock units:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Unvested as of December 31, 2025 | 3385210 | $39.22 | $155517 |
| &nbsp;&nbsp;Granted | 225099 | 54.03 |  |
| &nbsp;&nbsp;Vested | (228910) | 10.45 | 11873 |
| &nbsp;&nbsp;Forfeited | (33570) | 27.04 |  |
| Unvested as of March 31, 2026 | 3347829 | $42.31 | $157047 |

---

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Unvested as of December 31, 2024 | 1141453 | $10.62 | $23388 |
| &nbsp;&nbsp;Granted | 101717 | 14.12 |  |
| &nbsp;&nbsp;Vested | (140275) | 8.72 | 2235 |
| &nbsp;&nbsp;Forfeited | (87183) | 11.94 |  |
| Unvested as of March 31, 2025 | 1015712 | $11.12 | $11803 |

---

The Company had approximately $118.7 million of total unrecognized compensation expense related to restricted stock units granted under the 2023 Plan that are settleable in shares of common stock of the Company as of March 31, 2026, which is expected to be recognized over a weighted-average remaining vesting period of approximately 2.3 years. The Company had approximately $5.4 million of total unrecognized compensation expense related to restricted stock units granted under the 2023 Plan and 2018 Plan that are settleable in shares of common stock of the Company as of March 31, 2025, which is expected to be recognized over a weighted-average remaining vesting period of approximately 1.1 years.

*Deferred stock units*

Deferred stock units granted under the 2023 Plan, and those governed under the 2018 Plan that are settleable in shares of common stock of the Company, entitled recipients to receive a number of shares of the Company's common stock over a vesting period if applicable, as per each respective deferred stock unit agreement. At the Company's discretion, deferred stock units may be settled in shares of common stock or cash in lieu of settling in shares or a combination of shares of common stock and cash. The Company currently does not intend to settle any deferred stock units in cash or in a combination of shares of common stock and cash.

For deferred stock units under the 2023 Plan, the stock-based compensation expense related to share-settled deferred stock units is based on the fair value of the Company's common stock on the date of grant. For deferred stock units under the 2018 Plan, the stock-based compensation expense is based on the fair value of the Company's common stock on the date of the consummation of the Business Combination. The Company recognizes stock-based compensation expense associated with such share-settled deferred stock unit awards on a graded basis over the awards' vesting tranches. Share-settled deferred stock unit awards granted to date were granted in vested state and can only be settled for shares of common stock of the Company upon the participant's departure from the Company.

The following table presents a summary of the activity of the deferred stock units:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Vested and outstanding as of December 31, 2025 | 73954 | $9.72 | $3397 |
| Vested and outstanding as of March 31, 2026 | 73954 | $9.72 | $3469 |

---

[**Table of Contents**](#TOC)

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Vested and outstanding as of December 31, 2024 | 73954 | $9.72 | $1515 |
| Vested and outstanding as of March 31, 2025 | 73954 | $9.72 | $859 |

---

There was no remaining unrecognized compensation expense related to deferred stock units as of March 31, 2026 and March 31, 2025.

*Performance stock units*

Performance stock units granted under the 2023 Plan entitle recipients to receive a number of shares of the Company's common stock based on market, performance, and/or service conditions as per each respective performance stock unit agreement. At the Company's discretion, performance stock units may be settled in shares of common stock or cash in lieu of settling in shares or a combination of shares of common stock and cash. The Company currently does not intend to settle any performance stock units in cash or in a combination of shares of common stock and cash.

In February 2026, the Company granted 8,168 performance stock units to an employee with an approximately three-year service period and performance-based vest conditions as follows: one third of units are eligible to vest for each of the three performance conditions and the three payout tiers for each performance condition are 80%, 100%, or 300% of the units eligible to vest, with linear interpolation between 100% and 300% on the first and second of the three performance conditions noted below. The three performance conditions are as follows: (1) the Company enters into agreements to commercialize new facilities based on the achievement of certain target levels for the energy capacity of such commercialized sites, (2) the Company achieves certain earnings targets, and (3) a Company site achieves certain operational milestones.

The Company recognizes stock-based compensation expense associated with performance stock unit awards on a graded basis over the later of the awards' time-based service condition and, if applicable, market-based derived service period per tranche. Stock-based compensation expense associated with performance stock units with market-based vest conditions is not adjusted in future periods for the success or failure to achieve the specified market conditions, and for awards with performance-based vest conditions, it is only recognized if the performance-based vest conditions are considered probable of being satisfied.

The following table presents a summary of the activity of the performance stock units:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Unvested as of December 31, 2025 | 4556934 | $53.16 | $317062 |
| &nbsp;&nbsp;Granted | 8168 | 54.03 |  |
| &nbsp;&nbsp;Forfeited | (19611) | 13.74 |  |
| Unvested as of March 31, 2026 | 4545491 | $53.33 | $322713 |

---

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Unvested as of December 31, 2024 | 1602609 | $17.56 | $65675 |
| Unvested as of March 31, 2025 | 1602609 | $17.56 | $37245 |

---

As of March 31, 2026 and March 31, 2025, unrecognized stock-based compensation expense related to the Company's performance stock units with market-based vest conditions and performance-based vest conditions considered probable of vesting was $144.4 million and $18.9 million, respectively, which is expected to be recognized over a weighted-average remaining vesting period of approximately 1.3 years and 2.0 years, respectively.

[**Table of Contents**](#TOC)

*American Bitcoin stock-based compensation*

In connection with the ABTC Merger on September 3, 2025, American Bitcoin adopted the Amended and Restated American Bitcoin Corp. 2025 Omnibus Incentive Plan (the "ABTC 2025 Plan"), which amended and restated the predecessor Gryphon Digital Mining, Inc. 2024 Omnibus Incentive Plan. The ABTC 2025 Plan provides for the grant of stock options, stock appreciation rights, restricted stock, restricted stock units, performance grants, and other stock-based awards to employees, consultants, and directors of American Bitcoin, and its affiliates. As of the ABTC 2025 Plan's effective date, 181,964,231 shares of the American Bitcoin common stock were reserved for issuance under the ABTC 2025 Plan, subject to an annual automatic increase on each January 1 from 2026 through 2035, equal to the lesser of (a) the excess of 20% of American Bitcoin's fully diluted shares outstanding as of the preceding December 31 over the shares then reserved under the ABTC 2025 Plan, and (b) such number as determined by American Bitcoin's board of directors. Shares subject to awards that are cancelled and forfeited, and shares returned through certain other mechanisms, are returned to the share reserve and become available for future grants.

The following table presents a summary of the activity of the American Bitcoin restricted stock units:

---

| | | | |
|:---|:---|:---|:---|
|  |  | **Weighted average** |  |
|  | **Number of** | **grant-date** | **Aggregate** |
| *(in USD thousands, except share and per share amounts)* | **units** | **fair value** | **intrinsic value** |
| Unvested as of December 31, 2025 |  | $— | $— |
| &nbsp;&nbsp;Granted | 1875007 | 1.02 |  |
| Unvested as of March 31, 2026 | 1875007 | $1.02 | $1733 |

---

As of March 31, 2026, unrecognized stock-based compensation expense related to the American Bitcoin restricted stock units was $1.6 million, which is expected to be recognized over a weighted-average remaining vesting period of approximately 1.2 years.

**Note 14. Net loss per share of common stock**

Basic and diluted net loss per share attributable to common stockholders is computed in accordance to Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements – Net loss per share attributable to common stockholders*.

The following table presents potentially dilutive securities that were not included in the computation of diluted net loss per share of common stock as their inclusion would have been anti-dilutive:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
|  | **2026** | **2025** |
| Stock options | 2722751 | 3616939 |
| Restricted stock units | 3347829 | 1015712 |
| Deferred stock units | 73954 | 73954 |
| Performance stock units | 4545491 | 1602609 |
| Warrants | 1895 | 1895 |
| Convertible note and separated embedded derivative from the convertible note | 9715476 | 9524977 |
| &nbsp;&nbsp;**Total** | 20407396 | 15836086 |

---

[**Table of Contents**](#TOC)

The following is a reconciliation of the denominator of the basic and diluted net loss per share of common stock computations for the periods presented:

---

| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,** | **March 31,** |
| *(in USD thousands, except share and per share amounts)* | **2026** | **2025** |
| **Numerator:** |  |  |
| Net loss attributable to Hut 8 Corp. | $(219849) | $(133889) |
| Subsidiary Penny Warrant adjustment to net loss attributable to Hut 8 Corp.<sup>(1)</sup> | (51) | 90 |
| Net loss attributable to Hut 8 Corp. – basic and diluted | $(219900) | $(133799) |
| **Denominator:** |  |  |
| Weighted average shares of common stock outstanding – basic | 111064728 | 102854747 |
| Dilutive impact of outstanding equity awards |  |  |
| Dilutive impact of convertible note |  |  |
| Weighted average shares of common stock outstanding – diluted | 111064728 | 102854747 |
| **Net loss per share of common stock:** |  |  |
| Basic attributable to Hut 8 Corp. <sup>(2)</sup> | $(1.98) | $(1.30) |
| Diluted attributable to Hut 8 Corp.<sup>(3)</sup> | $(1.98) | $(1.30) |

---

<sup>(1)</sup> Calculated as the difference between Far North JV's, a consolidated subsidiary that issued Penny Warrants, net income (loss) attributable to Hut 8 Corp. under ASC 260 inclusive of the impact of the Penny Warrants less Far North JV's net income (loss) attributable to Hut 8 Corp.

<sup>(2)</sup> Calculated as net loss attributable to Hut 8 Corp. – basic, divided by weighted average shares of common stock outstanding – basic

<sup>(3)</sup> Calculated as net loss attributable to Hut 8 Corp. – diluted, divided by weighted average shares of common stock outstanding – diluted

#### Note 15. Income taxes
For the three months ended March 31, 2026, the Company determined that the estimated annual effective tax rate could not be reliably estimated and, accordingly, computed its tax provision using the discrete method, treating the year-to-date period as if it were an annual period. For the three months ended March 31, 2025, the Company computed its tax provision using the estimated annual effective tax rate method.

For the three months ended March 31, 2026, the Company's income tax benefit and effective tax rate were $48.9 million and 16.2%, respectively. This rate differed from the statutory federal income tax rate of 21.0% primarily due to the tax on the gain on the sale of the Far North JV and the impact of the IRC Section 162(m) limitation on the deductibility of certain employee compensation.

For the three months ended March 31, 2025, the Company's income tax benefit and effective tax rate were $20.2 million and 13.0%, respectively. This rate differed from the statutory federal income tax rate of 21.0% primarily due to the Company's non-taxable portion of gains on digital assets, subpart F income, and a change in valuation allowance.

The Company is subject to U.S. federal income taxes as well as income taxes in various state jurisdictions and in Canada. The Company's tax returns for tax years beginning 2021 remain subject to potential examination by the taxing authorities.

#### Note 16. Concentrations
The Company has only mined Bitcoin during the three months ended March 31, 2026 and March 31, 2025. Therefore, 100% of the Company's ASIC compute revenue within its Compute segment is related to one digital asset. The Company used two mining pool operators during the three months ended March 31, 2026 and March 31, 2025.

[**Table of Contents**](#TOC)

#### Note 17. Related party transactions
Parties are considered related to the Company if the parties, directly or indirectly, through one or more intermediaries, control, are controlled by, or are under common control with the Company. This includes equity method investment entities. Related parties also include principal owners of the Company, its management, members of the immediate families of principal owners of the Company and its management and other parties with which the Company may deal if one party controls or can significantly influence the management or operating policies of the other to an extent that one of the transacting parties might be prevented from fully pursuing its own separate interests. The Company discloses all known related party transactions.

The Company provides services to TZRC, an equity method investment entity (refer to Note 8. *Investment in unconsolidated joint venture* for additional information on the equity method investment entity), in exchange for fees under a PMA. The Company also has a SAFE agreement with a related party as described in Note 9. *Loans, notes payable, and other financial liabilities.*

**Note 18. Commitments and contingencies**

***Bitmain Purchase Agreement, 2025 ABTC Bitmain Purchase Agreement and 2026 ABTC Bitmain Purchase Agreement***

The Bitmain Purchase Agreement prior to the expiry of its Bitcoin redemption option, 2025 ABTC Bitmain Purchase Agreement, and 2026 ABTC Bitmain Purchase Agreement include the following financial commitments: *Bitcoin redemption and put options*, recognized as derivative assets under ASC 815, measured at fair value at each reporting period, *Miner purchase liability* representing a commitment to settle the obligation in cash if the redemption right is exercised before expiration, and a derecognition of *Digital assets – pledged for miner purchase* if the redemption right is not exercised. See Note 5. *Digital assets* for further information on the purchase agreements with Bitmain.

***Legal and regulatory matters***

The Company and its subsidiaries are subject at times to various claims, lawsuits, and governmental proceedings relating to the Company's business and transactions arising in the ordinary course of business. The Company cannot predict the final outcome of such proceedings. Where appropriate, the Company vigorously defends such claims, lawsuits, and proceedings. Some of these claims, lawsuits, and proceedings seek damages, including consequential, exemplary, or punitive damages, in amounts that could, if awarded, be significant. Certain of the claims, lawsuits, and proceedings arising in ordinary course of business are covered by the Company's insurance program. The Company maintains property and various types of liability insurance in an effort to protect the Company from such claims. In terms of any matters where there is no insurance coverage available to the Company, or where coverage is available and the Company maintains a retention or deductible associated with such insurance or elects not to purchase such insurance, the Company may establish an accrual for such loss, retention, or deductible based on current available information. In accordance with accounting guidance, if it is probable that an asset has been impaired or a liability has been incurred as of the date of the financial statements and the amount of loss is reasonably estimable, then an accrual for the cost to resolve or settle these claims is recorded by the Company in the accompanying Unaudited Condensed Consolidated Balance Sheets. If it is reasonably possible that an asset may be impaired as of the date of the financial statement, then the Company discloses the range of possible loss. Expenses related to the defense of such claims are recorded by the Company as incurred and included in the accompanying Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss. Management, with the assistance of outside counsel, may from time to time adjust such accruals according to new developments in the matter, court rulings, or changes in the strategy affecting the Company's defense of such matters. On the basis of current information, the Company does not believe there is a reasonable possibility that any material loss will result from any claims, lawsuits, and proceedings to which the Company is subject to either individually or in the aggregate.

[**Table of Contents**](#TOC)

*Securities Litigation*

In February and March 2024, two purported securities class actions were filed in the U.S. District Court for the Southern District of New York against the Company and certain of its current and former officers. The two class actions were consolidated into *In re Hut 8 Corp. Securities Litigation*, Case No. 24-cv-00904 (VM), and a lead plaintiff was appointed on April 19, 2024. The lead plaintiff filed a consolidated amended complaint on June 14, 2024. The consolidated amended complaint alleges violations of Sections 11 and 15 of the Securities Act of 1933 (the "Securities Act") and Section 10(b) of the Securities Exchange Act of 1934, as amended (the "Exchange Act") and Rule 10b-5 promulgated thereunder, and Section 20(a) of the Exchange Act. On December 2, 2024, the defendants filed a motion to dismiss the consolidated amended complaint. On January 16, 2025, the lead plaintiff opposed the motion. On February 18, 2025, the defendants filed a reply in further support of the motion to dismiss. On September 12, 2025, the U.S. District Court for the Southern District of New York issued a decision, dismissing all fraud-based Exchange Act claims and most Securities Act claims, leaving two Section 11 and Section 15 claims tied to King Mountain disclosures. On October 24, 2025, the defendants answered the surviving allegations in the amended complaint and amended their answer on November 14, 2025. On February 4, 2026, at the parties' request, the court stayed all proceedings through April 15, 2026. On April 15, 2026, at the parties' request, the court extended the stay of all proceedings through May 22, 2026.

Since the filing of the securities class actions, shareholder derivative suits were filed against the Company, its directors and certain of its current and former officers in the U.S. District Courts for the Southern District of New York, the District of Delaware, the Southern District of Florida, and the Delaware Court of Chancery alleging derivative claims for breach of fiduciary duties, unjust enrichment, waste of corporate assets, and violations of the Exchange Act, including Section 10(b). All derivative actions in the Southern District of New York were voluntarily dismissed or transferred to the District of Delaware. All derivative actions in the District of Delaware were voluntarily dismissed or dismissed by the court without prejudice. The Southern District of Florida consolidated and stayed three of the proceedings before it, pending the resolution of a motion for summary judgment in *In re Hut 8 Corp. Securities Litigation*. There are five other derivative actions filed in the Southern District of Florida and the Delaware Court of Chancery. One of those actions has been stayed and Defendants have not responded (or been obligated to respond) to the complaints in the remaining four cases.

On December 1, 2025, a purported former shareholder filed a putative class action against Hut 8 and certain of its current and former officers in the Ontario Superior Court of Justice in Canada. The statement of claim alleges that Hut 8 made misrepresentations in connection with the November 2023 business combination of Hut 8 Mining Corp. and USBTC and asserts causes of action under the common law and the Ontario Securities Act.

The Company disputes the claims in these cases and intends to vigorously defend against them. Based on the preliminary nature of these proceedings, the outcome of these matters remains uncertain, and the Company cannot estimate the potential impact, if any, on its business or financial statements at this time.

**Note 19. Subsequent events**

The Company has completed an evaluation of all subsequent events after the balance sheet date up to the date that the Unaudited Condensed Consolidated Financial Statements were available to be issued. Except as described above and below, the Company has concluded no other subsequent events have occurred that require disclosure.

In April 2026, the Company's wholly-owned subsidiary, Hut 8 DC LLC (the "Issuer"), closed a $3.25 billion private offering of 6.192% senior secured notes due November 15, 2042 (the "Notes"). Interest on the Notes is payable semi-annually beginning on November 15, 2026, and scheduled amortization begins on May 15, 2028. The Notes are senior secured obligations of the Issuer and are secured with first-priority liens on substantially all assets of the Issuer, other than certain excluded property, as well as a pledge of the equity interests in the Issuer held by Hut 8 DC Member LLC, the direct parent company of the Issuer. The Notes are non-recourse to Hut 8 Corp. The net proceeds from the Notes will be used to fund the development of a data center at the River Bend campus, reimburse prior equity contributions, fund debt service reserves, and transaction costs.

In May 2026, the Company entered into a $200.0 million Bitcoin-collateralized term loan with FalconX, maturing in April 2027 and bearing a fixed interest rate of 7.00%. The facility is structured with an initial collateral ratio of 143%, with margin call and liquidation thresholds at 130% and 105%, respectively. The loan includes a prepayment option after six months without penalty, while early repayment prior to that period is subject to a 0.125%–0.25% fee depending on the circumstances. The funds from the loan were used to simultaneously pay off the loan with Coinbase.

[**Table of Contents**](#TOC)

#### Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations
*The following discussion and analysis of our financial condition and results of operations should be read together with our Unaudited Condensed Consolidated Financial Statements and the related notes and the other financial information included elsewhere in this Quarterly Report and with our Audited Consolidated Financial Statements included in our Annual Report. This discussion contains forward-looking statements that involve risks and uncertainties. Our actual business, financial condition, and results of operations could differ materially from those anticipated in these forward-looking statements as a result of various factors, including those discussed below and elsewhere in this Quarterly Report and in the Annual Report, particularly under "Item 1A. Risk Factors." See also "Cautionary Statement Regarding Forward-Looking Statements." Our historical results are not necessarily indicative of the results that may be expected for any period in the future.*

**Business Overview** 

Hut 8 is an energy infrastructure platform integrating power, digital infrastructure, and compute at scale to fuel next-generation, energy-intensive technologies such as AI, high-performance computing, and ASIC compute. The Company develops, commercializes, and operates industrial-scale energy and data center infrastructure through a power-first, innovation-driven approach.

**Q1 2026 Highlights**

● *Beacon Point Lease*. We entered into a long -term triple-net lease with a multi-trillion-dollar market capitalization, high-investment-grade technology company at our Beacon Point Campus, located in Nueces County, Texas, representing a significant infrastructure partnership with a base contract value of approximately $9.8 billion over a 15-year term, inclusive of 3% annual rent escalations and expected to generate average annual net operating income ("NOI") of approximately $655.0 million. The agreement includes three 5-year renewal options, extending potential total contract value to approximately $25.1 billion. Initial delivery is expected in Q3 2027. We intend to support the development of Beacon Point with non-recourse, project-level financing with the aim of optimizing cost of capital at the asset level and maintaining disciplined long-term leverage metrics at the corporate level.

The Beacon Point campus is designed for scalability, with approvals for up to 1,000 MW of utility capacity. The initial 352 MW IT load (approximately 500 MW utility capacity) represents the first phase of commercialization and provides significant runway for potential campus expansion and revenue growth.

● *$3.25 Billion River Bend Financing.* On April 30, 2026, our wholly-owned subsidiary, Hut 8 DC LLC (the "Issuer"), closed a $3.25 billion private offering of 6.192% senior secured notes due November 15, 2042 (the "Notes"). Proceeds will be used to fund the development of a turnkey data center with 245 megawatts of critical IT capacity supported by 330 megawatts of utility capacity, and associated substation at the River Bend campus, reimburse prior equity contributions, and cover debt service reserves and transaction costs. The Notes are rated BBB- with a Positive Outlook by S&P Global Ratings and BBB- with a Stable Outlook by Fitch Ratings, and represent the first investment-grade project bond ever issued for a construction-stage data center project. The Notes carry semi-annual interest payments beginning November 15, 2026, and include scheduled amortization starting May 15, 2028. Structured as senior secured, project-level debt with first-priority liens on substantially all Issuer assets and equity pledges, the Notes are non-recourse to the parent company, reinforcing a financing approach that isolates risk while advancing large-scale digital infrastructure expansion.

● *FalconX Master Lender Agreement.* In May 2026, we entered into a $200.0 million Bitcoin-collateralized term loan with FalconX Charlie, Inc. ("FalconX"), maturing in April 2027 and bearing a fixed interest rate of 7.00%. The facility is structured with an initial collateral ratio of 143%, with margin call and liquidation thresholds at 130% and 105%, respectively. The loan includes a prepayment option after six months without penalty, while early repayment prior to that period is subject to a 0.125%–0.25% fee depending on the circumstances. The funds from this loan were used to simultaneously pay off the loan with Coinbase Credit, Inc. ("Coinbase"), which carried an interest rate of 9.00%. This resulted in a reduction in borrowing costs and the termination of the Coinbase loan.

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● *Reenergization of Drumheller Site.* In March 2026, our site in Drumheller, Alberta was reenergized in anticipation of the delivery and deployment of ~11,298 Bitcoin miners from American Bitcoin, representing ~3.05 exahash per second ("EH/s") at ~13.5 joules per terahash ("J/TH"). The site, which previously mined Bitcoin, had been non-operational since March 2024 due to elevated energy costs and underlying voltage issues impacting profitability. The delivery and deployment of the Bitcoin miners was completed in April 2026, increasing American Bitcoin's total owned fleet capacity from ~25.0 to ~28.1 EH/s while improving overall portfolio efficiency from ~16.3 to ~16.0 J/TH. The decision to reenergize was based on an improvement in power pricing in Alberta along with cost-efficient path to fix the previous voltage issues and a path to an attractive commercial agreement with American Bitcoin.

● *Far North Sale.* In February 2026, we completed the divestiture of our Far North joint venture (the "Far North JV") with Macquarie Group Limited ("Macquarie"), consisting of four power generation assets in Ontario, Canada totaling approximately 310 MW of capacity. The assets had been classified as held for sale as of December 31, 2025. Upon closing, we recognized a gain of $33.6 million, net of transaction fees. Total proceeds were $75.4 million (C$105.1 million), which were used to settle a $27.9 million (C$38.9 million) lease liability related to equipment at Iroquois Falls, inclusive of indirect taxes, and fund a $10.0 million (C$13.9 million) buyout of the non-controlling interest.

#### Key Factors Affecting Our Performance
***Power constraints***

Access to energy is a key factor affecting our ability to meet growing demand for high performance computing ("HPC"), artificial intelligence ("AI"), and application specific integrated circuit ("ASIC") compute and to scale our digital infrastructure platform. Power is the foundation of our operations. We acquire, develop, and manage critical energy assets such as interconnects, powered land, and other electrical infrastructure to address the load demands of energy-intensive applications. As competition for power intensifies, our performance depends on originating, commercializing, and optimizing energy capacity at scale. We believe our experience in power origination, infrastructure design, and load optimization positions us to manage these constraints and support continued growth. Our portfolio currently provides access to competitively priced electrical power in the regions where we operate; however, there is no guarantee that we will be able to procure additional power on similar terms, or at all. Market prices for power, capacity, and ancillary services are unpredictable and tend to fluctuate substantially. See "*Risk Factors—Risks Related to Our Business and Operations*—We are subject to risks associated with our need for significant electrical power" in the Annual Report.

***Expansion into AI infrastructure services and other energy-intensive use cases***

A key factor affecting our performance is our ability to expand into AI infrastructure services and other energy-intensive use cases. We are leveraging our existing development and operational expertise to develop data centers that support specialized workloads for enterprise and hyperscale customers and other next-generation, energy-intensive use cases. Success in this area depends on various factors, including our ability to develop future sites, secure and retain customers, manage capital efficiently, and compete effectively in emerging technology markets. While this expansion may increase operating and capital costs and expose us to execution and market risks, management believes our experience in power origination, development, and management in large-scale digital infrastructure development position us to capture long-term growth opportunities in the evolving AI sector and other next-generation, energy-intensive use cases.

***Price of Bitcoin***

While we are migrating towards less volatile, lower cost-of-capital businesses, such as data centers, our current financials remain heavily dependent on the price of Bitcoin, which has historically experienced significant volatility. Our exposure is driven primarily by the Bitcoin held on our consolidated balance sheet, including Bitcoin held directly by us and American Bitcoin in our respective strategic reserves. In addition, our consolidated results reflect American Bitcoin's activities as a Bitcoin accumulation platform and its strategy of purchasing and holding Bitcoin. Lastly, we generate revenue from Bitcoin rewards that are earned through mining operations at our facilities, the majority of which are conducted through American Bitcoin.

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Under ASU 2023-08, *Intangibles—Goodwill and Other—Crypto Assets (Subtopic 350-60): Accounting for and Disclosure of Crypto Assets* ("ASU 2023-08"), Bitcoin is revalued at fair value at the end of each reporting period, with changes in fair value recognized in net income. As a result, fluctuations in Bitcoin prices may impact our consolidated financial performance, including mark-to-market adjustments on Bitcoin, but does not reflect changes in our core operating performance.

***Bitcoin network difficulty and hashrate***

Our consolidated business is not only impacted by the volatility in Bitcoin prices, but American Bitcoin is also affected by increases in the competition for Bitcoin production, specifically for ASIC compute. This increased competition is described as the network hashrate resulting from the growth in the overall quantity and quality of miners working to solve blocks on the Bitcoin blockchain, and the difficulty index associated with the secure hashing algorithm employed in solving the blocks. Increased difficulty reduces the mining proceeds of the equipment proportionally and eventually requires Bitcoin miners like American Bitcoin, to upgrade their equipment to remain profitable and compete effectively with other miners. Conversely, a decline in network hashrate results in a decrease in difficulty, increasing mining proceeds and profitability.

***Block reward and halving***

The current Bitcoin reward for solving a block is 3.125 Bitcoin. The Bitcoin network is programmed such that the Bitcoin block reward is halved every 210,000 blocks mined, or approximately every four years. This reduction in reward spreads out the release of Bitcoin over a long period of time as fewer Bitcoin are mined with each halving event. Bitcoin halving events impact the number of Bitcoin that we mine, including through American Bitcoin which, in turn, may have a potential impact on our results of operations. The last halving event occurred in April 2024, and the next halving event is expected to occur in 2028.

#### Key Performance Indicators
In addition to our financial results and generally accepted accounting principles in the United States of America ("GAAP") financial measures, we use certain key performance indicators to evaluate our business, identify trends, and make strategic decisions. Certain Key Performance Indicators for the prior period were reclassified to align with updated definitions.

The following table presents our key performance indicators for the three months ended March 31, 2026 and 2025.

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| | | |
|:---|:---|:---|
|  | **As of** | **As of** |
|  | **March 31,** | **March 31,** |
|  | **2026** | **2025** |
| Energy Capacity Under Diligence | 4,345 MW | 7,890 MW |
| Energy Capacity Under Exclusivity | 1,500 MW | 2,613 MW |
| Energy Capacity Under Development | 1,230 MW | — MW |
| Energy Capacity Under Construction | 330 MW | 205 MW |
| Energy Capacity Under Management | 710 MW | 815 MW |

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***Energy Capacity Under Diligence***

Energy Capacity Under Diligence represents sites identified for large-load use cases such as AI, HPC, ASIC compute, industrial applications such as next generation manufacturing, and other energy-intensive technologies. At this stage, we assess site potential by engaging with utilities, landowners, power generators, local, state and regulatory bodies, and other stakeholders to evaluate critical factors, including power availability, infrastructure readiness, fiber connectivity, and overall commercial viability. This metric allows management to better understand our potential opportunities, allowing us to remain selective in our investment decisions while positioning us to respond to market demand signals and emerging opportunities. Energy Capacity Under Diligence as of March 31, 2026, was 4,345 MW compared to 7,890 MW as of March 31, 2025. The net decrease reflects both the advancement of certain sites into other development categories and the removal of sites that no longer met our strategic, commercial, infrastructure, or regulatory criteria.

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***Energy Capacity Under Exclusivity***

Energy Capacity Under Exclusivity represents sites where we have secured a clear path to ownership through either: (i) an exclusivity agreement that prevents the sale of designated land and power capacity to another party or (ii) a tendered interconnection agreement, confirming a viable path to securing power and infrastructure for deployment. Management monitors Energy Capacity Under Exclusivity to evaluate potential near-term opportunities prior to making additional investment commitments. Energy Capacity Under Exclusivity as of March 31, 2026 was 1,500 MW compared to 2,613 MW as of March 31, 2025. The net decrease reflects both the advancement of certain sites into other development categories and the removal of sites that no longer met our strategic, commercial, infrastructure, or regulatory criteria.

***Energy Capacity Under Development***

Energy Capacity Under Development represents sites where we are actively investing in development and commercialization by executing definitive land and/or power agreements, advancing site design and infrastructure buildout, and engaging with prospective customers. This phase is monitored by management as it represents the projects that are closest to commencing construction. Energy Capacity Under Development as of March 31, 2026 was 1,230 MW compared to 0 MW as of March 31, 2025. The growth was driven by an increase of 1,230 MW in capacity advancing from exclusivity to development, including two sites in Texas totaling 1,180 MW, and one 50 MW site in Illinois.

***Energy Capacity Under Construction***

Energy Capacity Under Construction represents sites where we have executed a definitive offtake or other commercial agreements and commenced construction activities. This stage includes oversight of contractors, equipment delivery, and commissioning schedules to ensure projects are completed safely, on time, and within budget. Progress at this stage is closely monitored to manage capital deployment and align project delivery with customer timelines and market demand. Energy capacity under construction as of March 31, 2026 was 330 MW related to the River Bend site compared to 205 MW as of March 31, 2025, related to the Vega site which was energized and moved to Energy Capacity Under Management in June 2025.

***Energy Capacity Under Management***

Energy Capacity Under Management comprises all power-related assets, including power generation, managed services, ASIC and Central Processing Unit ("CPU") infrastructure, ASIC compute, traditional cloud, and non-operational sites. Management uses this metric to assess total energy capacity utilization across our operations and to support efficient resource allocation. Energy Capacity Under Management was 710 MW as of March 31, 2026, compared to 815 MW as of March 31, 2025. The decrease was primarily driven by the divesture of the Far North JV in February 2026, which consisted of four power generation assets in Ontario totaling approximately 310 MW, partially offset by the energization of our 205 MW Vega site in June 2025.

#### Non-GAAP Financial Measures
**In addition to our results determined in accordance with GAAP, we rely on Adjusted EBITDA to evaluate our business, measure our performance, and make strategic decisions. Adjusted EBITDA is a non-GAAP financial measure. We define Adjusted EBITDA as net loss, adjusted for impacts of interest expense, income tax benefit, depreciation and amortization, our share of unconsolidated joint venture depreciation and amortization, foreign exchange loss or gain, loss on sale of property and equipment, gain on derivatives, loss or gain on other financial liability, gain on warrant liability, gain on sale of Far North JV, net of transaction costs, the removal of non-recurring transactions, asset contribution costs, loss attributable to non-controlling interests, and stock-based compensation expense in the period presented. You are encouraged to evaluate each of these adjustments and the reasons our Board and management team consider them appropriate for supplemental analysis.**

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**Our board of directors and management team use Adjusted EBITDA to assess our financial performance because it allows them to compare our operating performance on a consistent basis across periods by removing the effects of our capital structure (such as varying levels of interest expense and income), asset base (such as depreciation and amortization), and other items (such as non-recurring transactions mentioned above) that impact the comparability of financial results from period to period.**

**Net loss is the GAAP measure most directly comparable to Adjusted EBITDA. In evaluating Adjusted EBITDA, you should be aware that in the future we may incur expenses that are the same as or similar to some of the adjustments in such presentation. Our presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. There can be no assurance that we will not modify the presentation of Adjusted EBITDA in the future, and any such modification may be material. Adjusted EBITDA has important limitations as an analytical tool and you should not consider Adjusted EBITDA in isolation or as a substitute for analysis of our results as reported under GAAP. Because Adjusted EBITDA may be defined differently by other companies in our industry, our definition of this non-GAAP financial measure may not be comparable to similarly titled measures of other companies, thereby diminishing its utility.**

#### For a reconciliation to our most directly comparable financial measure calculated and presented in accordance with GAAP, please see " —Results of Operations " below.
**Business Segments** 

We have four reportable business segments: Power, Digital Infrastructure, Compute, and Other.

***Power***

The Power business segment consists of Power Generation and Managed Services.

*Power Generation*

In February 2026, we completed the divestiture of the Far North JV, and accordingly no longer generate revenue from these assets. We previously generated revenue from our 80.1% interest in the Far North JV, which acquired the four natural gas power plants in Ontario, Canada in February 2024. The power generation facilities are connected to the Independent Electricity System Operator, which operates Ontario's power grid, and primarily generated revenue from capacity and electricity sales. Revenue generated from capacity and electricity sales was variable and depended on several factors, including generation capacity in the market, the supply and demand for electricity, and the prevailing price of natural gas.

*Managed Services*

Our Managed Services business provides institutional partners with an end-to-end partnership model for energy infrastructure development, including:

● *Project inception*: site design, procurement, and construction management;

● *Project operationalization*: software automation, process design, personnel hiring, and team training;

● *Revenue management*: utilities contracts, hosting operations, and customer management;

● *Project optimization*: energy portfolio optimization and strategic initiatives; and/or

● *Compliance and reporting*: finance, accounting, and safety.

Cash flows in our Managed Services business are generated through a fee structure that is typically fixed based on power capacity under management, with reimbursement of passthrough costs. In addition to the fixed fee, under certain agreements, further cash flows may be driven from incentive bonuses and certain energy management services.

As of March 31, 2026, we managed 280 MW of energy capacity under this program at one site in the United States owned by the King Mountain JV.

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Starting April 1, 2025, we began operating as the exclusive provider of managed services to American Bitcoin via the execution of a Master Managed Services Agreement ("MSA"). Under the MSA, we provide American Bitcoin with management, oversight, strategy, compliance, operational, and other services for American Bitcoin's mining operations. These operations are colocated at our facilities. The fee structure typically consists of (i) a fixed fee of $1.250/kW-month based on the power capacity of each facility, as well as (ii) designated site level reimbursements. As American Bitcoin is a consolidated subsidiary, all fees under the MSA are eliminated in consolidation.

***Digital Infrastructure***

Under our ASIC infrastructure business, we enter into contracts to host and operate mining equipment on behalf of third parties within our facilities. These services include the provision, if applicable, and hosting of mining equipment as well as the monitoring, troubleshooting, repair, and maintenance of such equipment. Revenues from ASIC infrastructure services are generated through fees that may be fixed or based on profit-sharing arrangements, often with reimbursement for certain pass-through costs, such as electricity.

Starting April 1, 2025, we began operating as the exclusive provider of ASIC infrastructure services to American Bitcoin via the execution of a Master Colocation Services Agreement ("CSA"). Under the CSA, we provide ASIC infrastructure services for American Bitcoin's miners at our facilities. The fee structure typically includes (i) a fixed monthly fee that targets a 25% yield on cost of each facility as of the start of the specific service order under the CSA, subject to an annual increase, as well as (ii) infrastructure-related site level reimbursements. As American Bitcoin is a consolidated subsidiary, all fees under the CSA are eliminated in consolidation.

During 2024, we entered into an ASIC colocation contract with Bitmain Technologies Georgia Limited ("Bitmain") to host miners at our Vega site. The agreement featured a fixed hosting fee with an option for us to purchase all or a portion of the hosted machines in up to three tranches at a fixed price within six months of energization of the relevant tranches. We completed energization of the miners during June and July 2025. In August 2025, pursuant to our Put Option Agreement with American Bitcoin entered into on March 31, 2025 (the "Put Option Agreement"), we assigned our option to purchase the hosted machines to American Bitcoin. In August 2025, American Bitcoin exercised this option to purchase all of the Bitmain miners hosted at the Vega site, where we then began to provide ASIC infrastructure services to American Bitcoin under the CSA.

Through our Hut 8 Canada business, we provide data center and cloud infrastructure services, including colocation solutions, supported by approximately 3 MW of energy capacity and more than 36,000 square feet of geo-diverse data center space across five locations in Canada. These services support customers operating compute, storage, and network workloads across traditional enterprise, B2B, machine learning, visual effects, and AI. Our CPU infrastructure offering is delivered in Mississauga, Ontario; Vaughan, Ontario; Kelowna, British Columbia; and two locations in Vancouver, British Columbia. The facilities are powered predominately by emission-free energy sources. This segment serves computing needs unrelated to ASIC Compute. These data centers are carrier neutral with network diversity and redundancy from multiple telecommunications providers.

Our CPU infrastructure business is based on a fixed-fee model. Customers pay a fixed recurring monthly fee based on a set amount of resources assigned.

We are expanding our Digital Infrastructure platform to support AI and other high-performance computing workloads through purpose-built data centers, beginning with the development of our River Bend campus in Louisiana and our Beacon Point campus in Texas.

***Compute***

Our Compute segment comprises operating businesses that deploy and monetize compute assets across next-generation energy-intensive technology end markets. We generate revenue through the operation of owned compute infrastructure and the provision of compute-based services, with economics driven by hardware utilization, operating efficiency, and market demand. The Compute business segment consists of ASIC Compute, Traditional Cloud, and AI Cloud.

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*ASIC Compute*

The ASIC Compute segment reflects revenue generated primarily by American Bitcoin.

Our ASIC Compute business spanned six sites as of March 31, 2026, which are primarily occupied by American Bitcoin miners and hosted at facilities supported by our ASIC Infrastructure:

● five sites with facilities we own and/or lease, and operate: (1) Alpha (Niagara Falls, New York), (2) Medicine Hat (Medicine Hat, Alberta), (3) Salt Creek (Orla, Texas), (4) Vega (Amarillo, Texas), and (5) Drumheller (Drumheller, Alberta); and

● one site that we own through a 50% joint venture, King Mountain (McCamey, Texas).

Bitcoin rewards are received from mining activity through third-party mining pool operators, which allow miners to combine their processing power, increasing their chances of solving a block and getting paid by the network. We provide computing power to mining pools, which use this computing power to operate nodes and validate blocks on the blockchain. The pools then distribute our pro-rata share of Bitcoin mined to us based on the computing power we contribute.

During February and March 2025, our mining activity was reduced due to a planned fleet upgrade, which was completed on April 4, 2025. The fleet upgrade resulted in higher efficiency Antminer S21+ miners at our Salt Creek and Medicine Hat sites, which improved ASIC Compute operations.

On March 31, 2025, we launched American Bitcoin. Beginning April 1, 2025, ASIC Compute operations previously reported under our Compute segment remain under this segment but operate generally through our majority-owned subsidiary, American Bitcoin.

On August 5, 2025, American Bitcoin entered into an On-Rack Sales and Purchase Agreement (the "2025 ABTC Bitmain Purchase Agreement") with Bitmain to purchase up to approximately 17,280 Bitmain Antminer U3S21EXPH ASIC miners (collectively, the "Bitmain Miners"), representing a total of approximately 14.86 EH/s. Concurrently with the execution of the 2025 ABTC Bitmain Purchase Agreement, American Bitcoin purchased 16,299 of the Bitmain Miners, representing a total of approximately 14.02 EH/s, for a total purchase price of approximately $314 million, paid through the pledge of Bitcoin at a mutually agreed upon fixed price. In September 2025, American Bitcoin purchased the remaining 981 Bitmain Miners for a total purchase price of $18.9 million, also paid through the pledge of Bitcoin at a mutually agreed upon fixed price. The Bitcoin pledged under the 2025 ABTC Bitmain Purchase Agreement has a redemption period of approximately 24 months from each pledge date.

In March 2026, our site in Drumheller, Alberta was reenergized in anticipation of the delivery and deployment of approximately 11,298 Bitcoin miners from American Bitcoin, representing approximately 3.05 EH/s at approximately 13.5 J/TH, for a total purchase price of $49.4 million, paid through the pledge of Bitcoin at a mutually agreed upon fixed price. The delivery and deployment of these Bitcoin miners was completed in April 2026, increasing American Bitcoin's total owned fleet capacity from approximately 25.1 to approximately 28.1 EH/s while improving overall portfolio efficiency from approximately 16.3 to approximately 16.0 J/TH. The Bitcoin pledged for this purchase has a redemption period of approximately 24 months from the applicable pledge date. American Bitcoin may elect to extend the pledge period for an additional 12 months.

*Traditional Cloud*

Our Traditional Cloud segment reflects revenue generated by Hut 8 Canada. Traditional Cloud services support both public and private cloud deployments, managed backup, business continuity and disaster recovery services, and high-performance, high-capacity storage solutions at our five HPC locations across Canada. We employ a consumption-based fee structure where customers commit to a baseline level of compute, storage, network, or power usage as defined in their service agreements. Any usage beyond this baseline is typically billed incrementally, so costs are aligned with actual resource consumption and customers are afforded flexibility as their needs evolve.

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*AI Cloud*

Our AI Cloud assets are deployed under our wholly owned subsidiary, Highrise AI, Inc., at a third-party colocation site near Chicago, Illinois. This segment generates recurring revenue through contracts where customers pay for access to graphics processing units ("GPU") compute resources under on-demand or committed-use arrangements.

***Other***

Our Other reporting segment included activities that fall outside the scope of our Power, Digital Infrastructure, and Compute layers.

*Equipment Sales and Repairs*

We may sell mining equipment when profitable opportunities arise (e.g., if market prices exceed our procurement cost). We may also repair miners for third parties in exchange for a fees, as we have a fully equipped, MicroBT-certified repair center space at our Medicine Hat site.

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#### Results of Operations

#### Three Months Ended March 31, 2026 and 2025

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| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |  |
|  | **March 31,**  | **March 31,**  | **Increase** |
| *(in USD thousands)* | **2026** | **2025** | **(Decrease)** |
| **Revenue:** |  |  |  |
| &nbsp;&nbsp;&nbsp;Power | $3740 | $4380 | $(640) |
| &nbsp;&nbsp;&nbsp;Digital Infrastructure | 1303 | 1317 | (14) |
| &nbsp;&nbsp;&nbsp;Compute | 65974 | 16118 | 49856 |
| **Total revenue** | 71017 | 21815 | 49202 |
| **Cost of revenue (exclusive of depreciation and amortization shown below):** |  |  |  |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Power | 2107 | 3628 | (1521) |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Digital Infrastructure | 1546 | 1559 | (13) |
| &nbsp;&nbsp;&nbsp;Cost of revenue – Compute | 21895 | 13472 | 8423 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total cost of revenue | 25548 | 18659 | 6889 |
| **Operating expenses:** |  |  |  |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 38442 | 14899 | 23543 |
| &nbsp;&nbsp;&nbsp;General and administrative expenses | 81740 | 21059 | 60681 |
| &nbsp;&nbsp;&nbsp;Loss on digital assets | 295657 | 112394 | 183263 |
| &nbsp;&nbsp;&nbsp;Loss on sale of property and equipment |  | 2454 | (2454) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expense | 415839 | 150806 | 265033 |
| **Operating loss** | (370370) | (147650) | (222720) |
| **Other income (expense):** |  |  |  |
| &nbsp;&nbsp;&nbsp;Foreign exchange (loss) gain | (2720) | 9 | (2729) |
| &nbsp;&nbsp;&nbsp;Interest expense | (9243) | (7469) | (1774) |
| &nbsp;&nbsp;&nbsp;Asset contribution costs |  | (22780) | 22780 |
| &nbsp;&nbsp;&nbsp;Gain on derivatives | 40817 | 20862 | 19955 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Loss) gain on other financial liability | (661) | 1139 | (1800) |
| &nbsp;&nbsp;&nbsp;Gain on warrant liability | 69 |  | 69 |
| &nbsp;&nbsp;&nbsp;Gain on sale of Far North JV, net of transaction costs | 33601 |  | 33601 |
| &nbsp;&nbsp;&nbsp;Equity in earnings of unconsolidated joint venture | 6430 | 1365 | 5065 |
| Total other income (expense) | 68293 | (6874) | 75167 |
| **Net loss before taxes** | (302077) | (154524) | (147553) |
| &nbsp;&nbsp;&nbsp;Income tax benefit | 48942 | 20205 | 28737 |
| **Net loss** | $(253135) | $(134319) | $(118816) |
| Less: Net loss attributable to non-controlling interests | 33286 | 430 | 32856 |
| **Net loss attributable to Hut 8 Corp.** | $(219849) | $(133889) | $(85960) |
| **Net loss** | $(253135) | $(134319) | $(118816) |
| Other comprehensive (loss) income: |  |  |  |
| &nbsp;&nbsp;&nbsp;Foreign currency translation adjustments | (9310) | 1187 | (10497) |
| **Total comprehensive loss** | (262445) | (133132) | (129313) |
| &nbsp;&nbsp;&nbsp;Less: Comprehensive loss attributable to non-controlling interest | 33281 | 431 | 32850 |
| **Comprehensive loss attributable to Hut 8 Corp.** | $(229164) | $(132701) | $(96463) |

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**Adjusted EBITDA reconciliation:**

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| | | | |
|:---|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |  |
|  | **March 31,** | **March 31,** | **Increase** |
| *(in USD thousands)* | **2026** | **2025** | **(Decrease)** |
| **Net loss** | $**(253135)** | $**(134319)** | $**(118816)** |
| &nbsp;&nbsp;&nbsp;Interest expense | 9243 | 7469 | 1774 |
| &nbsp;&nbsp;&nbsp;Income tax benefit | (48942) | (20205) | (28737) |
| &nbsp;&nbsp;&nbsp;Depreciation and amortization | 38442 | 14899 | 23543 |
| &nbsp;&nbsp;&nbsp;Share of unconsolidated joint venture depreciation, amortization, net of basis adjustments <sup>(1)</sup> | 2159 | 5485 | (3326) |
| &nbsp;&nbsp;&nbsp;Foreign exchange loss (gain) | 2720 | (9) | 2729 |
| &nbsp;&nbsp;&nbsp;Loss on sale of property and equipment |  | 2454 | (2454) |
| &nbsp;&nbsp;&nbsp;Gain on derivatives | (40817) | (20862) | (19955) |
| &nbsp;&nbsp;&nbsp;Loss (gain) on other financial liability | 661 | (1139) | 1800 |
| &nbsp;&nbsp;&nbsp;Gain on warrant liability | (69) |  | (69) |
| &nbsp;&nbsp;&nbsp;Gain on sale of Far North JV, net of transaction costs | (33601) |  | (33601) |
| &nbsp;&nbsp;&nbsp;Non-recurring transactions <sup>(2)</sup> |  | 1485 | (1485) |
| &nbsp;&nbsp;&nbsp;Asset contribution costs |  | 22780 | (22780) |
| &nbsp;&nbsp;&nbsp;Loss attributable to non-controlling interest | 21953 | 473 | 21480 |
| &nbsp;&nbsp;&nbsp;Stock-based compensation expense | 50874 | 3793 | 47081 |
| &nbsp;&nbsp;&nbsp;**Adjusted EBITDA** | $**(250512)** | $**(117696)** | $**(132816)** |

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<sup>(1)</sup> Net of the accretion of fair value differences of depreciable and amortizable assets included in equity in earnings of unconsolidated joint venture in the Unaudited Condensed Consolidated Statements of Operations and Comprehensive Loss in accordance with ASC 323. See Note 8. *Investment in unconsolidated joint venture* of our Unaudited Condensed Consolidated Financial Statements for further detail.

<sup>(2)</sup> There were no non-recurring transactions for the three months ended March 31, 2026. Non-recurring transactions for the three months ended March 31, 2025 represent approximately $1.5 million of restructuring costs and ABTC related transaction costs.

***Revenue***

*Total revenue was $71.0 million and $21.8 million for the three months ended March 31, 2026, and 2025, respectively, and consisted of Power, Digital Infrastructure, and Compute.*

*Power*

*Power revenue was $3.7 million and $4.4 million for the three months ended March 31, 2026 and 2025, respectively. This $0.7 million decrease was primarily driven by a $0.7 million decrease in electricity sales resulting from the sale of Far North JV in February 2026, compared to a full quarter of Far North JV activity in 2025.* 

*Digital Infrastructure*

*Digital Infrastructure revenue was $1.3 million for both the three months ended March 31, 2026, consistent with prior period.* 

*Compute*

*Compute revenue was $66.0 million and $16.1 million for the three months ended March 31, 2026 and 2025, respectively, representing an increase of $49.9 million. The increase was primarily driven by higher ASIC Compute revenue, reflecting an increase in Bitcoin mined from approximately 135 to approximately 817, partially offset by a decrease in average revenue per Bitcoin mined from approximately $91,512 to approximately $76,077. The increase in Bitcoin mined was primarily attributable to improved uptime following the fleet upgrade completed in April 2025 at the Salt Creek and Medicine Hat locations, as well as the commencement of ASIC Compute operations at the Vega site in August 2025.* 

***Cost of Revenue***

*Total cost of revenue was $25.5 million and $18.7 million for the three months ended March 31, 2026 and 2025, respectively, and consisted of Power, Digital Infrastructure, and Compute.*

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*Power*

*Power cost of revenue was $2.1 million and $3.6 million for the three months ended March 31, 2026 and 2025, respectively. The $1.5 million decrease was primarily driven by lower electricity sales of $1.8 million following the divestiture of the Far North JV in February 2026, partially offset by a $0.3 million increase in Managed Services cost of revenue.* 

*Digital Infrastructure*

*Digital Infrastructure cost of revenue was $1.5 million and $1.6 million for the three months ended March 31, 2026 and 2025, respectively. The cost of revenue was consistent.* 

*Compute*

*Compute cost of revenue was $21.9 million and $13.5 million for the three months ended March 31, 2026 and 2025, respectively. This $8.4 million increase was primarily driven by (i) an $8.0 million increase in ASIC Compute costs due to higher uptime as a result of the fleet upgrade that was completed in April 2025 at the Salt Creek and Medicine Hat sites, as well as the energization of the Vega site in June 2025, and (ii) a $0.4 million increase in AI Cloud costs.* 

***Depreciation and Amortization***

*Depreciation and amortization expense was $38.4 million and $14.9 million for the three months ended March 31, 2026 and 2025, respectively. This $23.5 million increase was primarily driven by $19.9 million of higher depreciation on American Bitcoin's ASIC miners as a result of the fleet upgrade that was completed in April 2025 at our Salt Creek and Medicine Hat sites, as well as American Bitcoin's purchase of the Bitmain Miners at the Vega site in August 2025, and $6.2 million of depreciation of our mining infrastructure and related machinery and equipment related to the construction and energization of our Vega site in June 2025. These increases were partially offset by a decrease in depreciation of power plant assets as they were sold in the Far North JV sale in February 2026.* 

***General and Administrative Expenses***

*General and administrative expenses were $81.7 million and $21.1 million for the three months ended March 31, 2026 and 2025, respectively. This $60.6 million increase was primarily driven by (i) a $47.1 million increase in share based payments related expense, (ii) a $7.0 million increase in salary and benefit expenses due to added headcount to support our growth initiatives, (iii) a $4.2 million increase in professional fees primarily due to legal and tax expenses incurred to support the execution of our growth plan, and (iv) a $1.9 million increase in insurance expenses primarily due to the increase in our asset base. These increases were partially offset by a $1.3 million decrease in transaction costs related to the merger between Gryphon Digital Mining, Inc. and American Bitcoin, which closed in September 2025.* 

***Loss on Digital Assets***

Losses on digital assets were $295.7 million and $112.4 million for the three months ended March 31, 2026 and 2025, respectively. The unfavorable variance was primarily driven by a larger decrease in the price of Bitcoin in the three months ended March 31, 2026 when compared to the three months ended March 31, 2025. In the three months ended March 31, 2026, Bitcoin price declined from approximately $87,498 to approximately $68,222. In the three months ended March 31, 2025, Bitcoin price declined from approximately $93,354 to approximately $82,534.

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***Other Income (Expense)***

Other income was $68.3 million for the three months ended March 31, 2026, compared to other expense of $6.9 million for the three months ended March 31, 2025. This $75.2 million increase was primarily driven by (i) a $33.6 million gain related to the sale of Far North Power Corp, (ii) a $22.8 million decrease in asset contribution costs related to non-controlling interest portion of our March 31, 2025 contribution of substantially all of our ASIC miners in exchange for 80% of American Data Centers Inc., as part of the launch of American Bitcoin, (iii) a $20.0 million increase in the gains on derivatives due to an increase in pledged Bitcoin for miner purchases at American Bitcoin, (iv) a $5.1 million increase in equity in earnings of unconsolidated joint venture. These gains were partially offset by (i) a $2.7 million increase in foreign exchange loss, (ii) a $1.8 million increase in interest expense due to higher average outstanding debt, and (iii) a $1.8 million decrease in gain on other financial liability.

***Income Tax Benefit***

Our income tax benefit was $48.9 million and $20.2 million for the three months ended March 31, 2026 and 2025, respectively. This $28.7 million increase was primarily driven by deferred taxes related to the losses on digital assets and the valuation allowance recognized in the three months ended March 31, 2025.

**King Mountain JV** 

The King Mountain JV is a 50/50 joint venture with one of the world's largest renewable energy producers. The King Mountain JV has 280 MW of self-mining and hosting operations located behind-the-meter at a wind farm in McCamey, Texas.

As of March 31, 2026, the King Mountain JV owned approximately 18,000 miners for self-mining (about 1.8EH/s) and hosted approximately 52,159 miners (about 11.22 EH/s) for a single hosting customer at its King Mountain site, which has a total capacity of 280 MW.

We account for the King Mountain JV using the equity method of accounting, resulting in reporting the King Mountain JV as an unconsolidated joint venture. Additionally, our 50% portion of any distributions from the King Mountain JV are used to pay down the TZRC Secured Promissory Note. See Note 8. *Investment in unconsolidated joint venture* and Note 9. *Loans, notes payable, and other financial liabilities* to the Unaudited Condensed Consolidated Financial Statements found elsewhere in this Quarterly Report for additional information on the King Mountain JV and TZRC Secured Promissory Note.

Below are the condensed consolidated income statements for the King Mountain JV for the three months ended March 31, 2026 and March 31, 2025.

---

| | | |
|:---|:---|:---|
| **Condensed Consolidated Income Statement** | **Condensed Consolidated Income Statement** | **Condensed Consolidated Income Statement** |
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,**  | **March 31,**  |
| *(in USD thousands)* | **2026** | **2025** |
| &nbsp;&nbsp;Total revenue, net | $30921 | $33913 |
| &nbsp;&nbsp;Gross profit | 14102 | 14833 |
| &nbsp;&nbsp;Net income (loss) | 9374 | (756) |
| &nbsp;&nbsp;Net income (loss) attributable to investee | 4687 | (378) |

---

Our board of directors and management team also evaluate Adjusted EBITDA for the King Mountain JV, which is a non-GAAP financial measure. We define Adjusted EBITDA as net income (loss) before depreciation and amortization and interest income. We use Adjusted EBITDA to assess the King Mountain JV's financial performance because it allows us to compare the operating performance on a consistent basis across periods by removing the effects of the King Mountain JV's capital structure.

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Net income (loss) is the GAAP measure most directly comparable to Adjusted EBITDA. This non-GAAP financial measure should not be considered as an alternative to the most directly comparable GAAP financial measure. In evaluating Adjusted EBITDA, you should be aware that in the future we may incur expenses that are the same as or similar to some of the adjustments in such presentation. Our presentation of Adjusted EBITDA should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items. There can be no assurance that we will not modify the presentation of Adjusted EBITDA in the future, and any such modification may be material. Adjusted EBITDA has important limitations as an analytical tool, and you should not consider Adjusted EBITDA in isolation or as a substitute for analysis of our results as reported under GAAP. Because Adjusted EBITDA may be defined differently by other companies in our industry, our definition of this non-GAAP financial measure may not be comparable to similarly titled measures of other companies, thereby diminishing its utility.

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| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,**  | **March 31,**  |
| *(in USD thousands)* | **2026** | **2025** |
| **Net income (loss)** | $**9374** | $**(756)** |
| &nbsp;&nbsp;Depreciation and amortization | 4318 | 15706 |
| &nbsp;&nbsp;Interest income | (416) | (975) |
| **Adjusted EBITDA** | $**13276** | $**13975** |

---

#### Liquidity and Capital Resources
Our primary sources of liquidity include cash and cash equivalents, debt facilities, Bitcoin held on our balance sheet, equity issuances, senior secured notes, and cash flows from operations. We have secured significant project-level financing, including the $3.25 billion senior secured notes issued by a wholly-owned subsidiary of ours in April 2026 to fund development at our River Bend campus, and maintain relationships with established capital providers to support our development initiatives and infrastructure buildouts.

Historically, our primary cash needs have been for working capital to support growth initiatives, including infrastructure purchases and development, acquisitions, and equipment financing, including the purchase of additional Bitcoin miners. Going forward, we will continue to prioritize infrastructure development while our ASIC compute operations will mainly be conducted through American Bitcoin, our consolidated subsidiary. In addition to equipment financing for the purchase of additional Bitcoin miners, American Bitcoin's primary cash needs are to support its Bitcoin accumulation efforts, including at-market purchases of Bitcoin. Our infrastructure development needs include the development of our River Bend and Beacon Point facilities, each of which is expected to require a multi-billion-dollar capital investment.

As of March 31, 2026, we had access to $200.0 million from the Two Prime Credit Agreement. We did not draw on this facility during the three months ended March 31, 2026.

In May 2026, we entered into a $200.0 million Bitcoin-collateralized term loan with FalconX, maturing in April 2027 and bearing a fixed interest rate of 7.00%. The facility is structured with an initial collateral ratio of 143%, with margin call and liquidation thresholds at 130% and 105%, respectively. The loan includes a prepayment option after six months without penalty, while early repayment prior to that period is subject to a 0.125%–0.25% fee depending on the circumstances. Proceeds from the facility were used to pay off our loan with Coinbase, which bore a 9.00% interest rate and has since been terminated.

On August 22, 2025, we established our $1.0 billion 2025 ATM, which replaced our prior $500 million 2024 ATM program that launched on December 4, 2024. As of August 22, 2025, prior to its termination, we had issued and sold shares under the 2024 ATM for gross proceeds of $299.4 million at a weighted average price of $27.83 per share. As of March 31, 2026 we issued and sold 6,121,993 shares under the 2025 ATM for gross proceeds of $304.3 million at a weighted average issuance price of $49.71 per share.

On September 3, 2025, American Bitcoin established a $2.1 billion at-the-market equity program (the "American Bitcoin 2025 ATM"). As of March 31, 2026, American Bitcoin issued and sold 149,553,691 shares of Class A common stock under the American Bitcoin 2025 ATM for gross proceeds of $351.5 million at a weighted average issuance price per share of $2.35.

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Our ability to meet our anticipated cash requirements will depend on various factors including our ability to maintain our existing business, enter into new lines of business, provide new offerings, compete with existing and new competitors in existing and new markets and offerings, acquire new businesses or pursue strategic transactions, access public and private capital markets, and respond to global and domestic economic, geopolitical, social conditions and their impact on demand for our offerings.

We believe that cash flows generated from operations, Bitcoin held on our consolidated balance sheet, and other financing sources will be sufficient to meet our anticipated short-term liquidity requirements. For the construction of our River Bend and Beacon Point data center facilities, we expect to fund capital expenditures through a combination of cash and Bitcoin on hand, as well as project level financing (including, in the case of River Bend, the recently completed bond issuance). Over the long term, we expect to rely on access to public and private capital markets to fund growth initiatives not supported by operating cash flows, cash on hand, Bitcoin holdings, or available debt and project-level financing.

***Cash Flows***

The following table summarizes our cash flows for the periods indicated:

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| | | |
|:---|:---|:---|
|  | **Three Months Ended** | **Three Months Ended** |
|  | **March 31,**  | **March 31,**  |
| *(in USD thousands)* | **2026** | **2025** |
| &nbsp;&nbsp;Cash flows used in operating activities | $(27222) | $(33849) |
| &nbsp;&nbsp;Cash flows used in investing activities | (51172) | (58236) |
| &nbsp;&nbsp;Cash flows provided by financing activities | 190997 | 115519 |

---

#### Operating Activities
Net cash used in operating activities was $27.2 million for the three months ended March 31, 2026, resulting from a net loss of $253.1 million, offset by the deduction of non-cash adjustments of $204.2 million and favorable changes in assets and liabilities of $21.7 million. Net cash used in operating activities was $33.8 million for the three months ended March 31, 2025, resulting from net loss of $134.3 million, offset by non-cash adjustments of $107.8 million and unfavorable changes in assets and liabilities of $7.3 million.

#### Investing Activities
Net cash used in investing activities totaled $51.2 million for the three months ended March 31, 2026, primarily consisting of (i) $61.3 million in Bitcoin purchases at American Bitcoin, (ii) $36.6 million in property and equipment purchases, and (iii) $16.8 million in deposits made for future site purchases, development, and capital expenditures. These outflows were partially offset by $63.6 million in proceeds from the sale of the Far North JV. Net cash used in investing activities totaled $58.2 million for the three months ended March 31, 2025, primarily consisting of $63.3 million in property and equipment purchases, and $0.9 million in additions to intangible assets. These outflows were partially offset by $3.4 million in proceeds from Bitcoin sales and $2.6 million in proceeds from the sale of property and equipment.

#### Financing Activities
Net cash provided by financing activities was $191.0 million for the three months ended March 31, 2026, primarily consisting of $120.1 million in net proceeds from the issuance of common stock through our 2025 ATM, and $110.5 million in net proceeds from the issuance of American Bitcoin's Class A common stock through the American Bitcoin 2025 ATM. These inflows were partially offset by (i) $20.8 million in repayment of finance lease related to the settlement of a finance lease obligation in connection with the sale of the Far North JV, (ii) $9.9 million in cash paid to buyout the non-controlling interest of Far North JV, (iii) $8.0 million in repayment of loans payable, and (iv) $0.9 million in principal payments on financial lease. Net cash provided by financing activities was $115.5 million for the three months ended March 31, 2025, primarily consisting of $112.0 million in net proceeds from the issuance of common stock through our 2024 ATM and $3.5 million in proceeds from funding in relation to our AI Cloud business segment.

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**Critical Accounting Policies and Estimates** 

Our management's discussion and analysis of our financial condition and results of operations is based on our Unaudited Condensed Consolidated Financial Statements, which have been prepared in accordance with GAAP. The preparation of these Unaudited Condensed Consolidated Financial Statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, and expenses, as well as related disclosures. We evaluate our estimates and assumptions on an ongoing basis and base them on historical experience and other factors we believe to be reasonable under the circumstances. Because these estimates involve judgments about future events and are inherently uncertain, actual results may differ materially from those estimates. Changes in these estimates or assumptions could have a material impact on our results of operations, financial position, and statement of cash flows.

While our significant accounting policies are described in more detail in Note 2. *Basis of presentation, summary of significant accounting policies and recent accounting pronouncements*, included elsewhere in this Quarterly Report, we believe the following accounting policies and estimates are most critical to understanding and evaluating this management discussion and analysis:

***Digital Assets***

Accounting for digital assets requires significant judgment, including classification, measurement, presentation, and the determination of fair value. Digital assets pledged as collateral, including under arrangements with Bitmain, require additional judgment in evaluating the appropriate accounting treatment, including whether such assets remain recognized on our Consolidated Balance Sheets. Pledged digital assets remain recognized because we retain ownership and continue to be exposed to changes in market value.

***Stock-Based Compensation***

We recognize compensation expense for all stock-based payment awards made to employees, directors, consultants, and service providers, if any, including incentive stock options, non-qualified stock options, stock awards, and stock units based upon the estimated grant-date fair value of the awards. For more complex performance awards, including awards with market-based performance conditions, we employ a Monte Carlo simulation valuation method to calculate the fair value of the awards based on the most likely outcome. Under the Monte Carlo simulation, a number of variables and assumptions are used including, but not limited to, the expected stock price volatility over the term of the award, the risk-free rate, and dividend yield, if any.

***Finite-Lived Intangible Assets***

**We evaluate the useful lives of our intangible assets to determine if they are finite or indefinite-lived. Reaching a determination on useful life requires significant judgments and assumptions regarding the future effects of obsolescence, demand, competition, and other economic factors. Finite-lived intangible assets are amortized over their estimated useful lives and evaluated for impairment at least annually, or when events or changes in circumstances indicate that their carrying amounts may not be recoverable. Determining useful lives and assessing recoverability require management judgment and the use of estimates, including assumptions regarding future cash flows and economic conditions. Changes in these assumptions could materially affect amortization expense or result in impairment charges in future periods.** 

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#### Item 3. Quantitative and Qualitative Disclosures About Market Risk
***Tariff Risk***

Changes in government and economic policies, incentives, trade regulations, or tariffs may have a material impact on equipment that we import. While the final scope, timing, and application of recently announced or proposed changes in U.S. trade policy remain uncertain, increases in tariffs on imported equipment, as well as the potential imposition of retaliatory tariffs by foreign jurisdictions, could materially increase our equipment and infrastructure costs or limit the availability of certain components. Such developments could adversely affect our ability to procure equipment on a timely basis or at cost-effective levels, which in turn may impact project timelines, capital expenditures, and operating margins. We continuously monitor developments in trade policy and may adjust our procurement strategies, sourcing arrangements, or deployment plans in response to such changes; however, there can be no assurance that such actions will fully mitigate the impact of adverse tariff or trade policy developments.

***Foreign Exchange Risk***

Foreign exchange risk arises from fluctuations in currency exchange rates that impact our results of operations, financial position, and cash flows. A portion of our operations is conducted through Hut 8 Canada, and we incur operating expenses, capital expenditures, and other costs denominated primarily in Canadian dollars, while our reporting currency is the U.S. dollar. In addition, a significant portion of our Bitcoin holdings are held by our Canadian subsidiary.

Changes in the U.S. dollar and Canadian dollar exchange rate may affect the U.S. dollar value of our operating costs, capital expenditures, intercompany balances, and the translation of the financial results and Bitcoin holdings of Hut 8 Canada into U.S. dollars for financial reporting purposes. Adverse movements in foreign exchange rates could increase our costs or reduce reported revenues, asset values, and earnings. While we may seek to manage foreign exchange exposure through operational strategies from time to time, we do not currently engage in foreign currency hedging activities and therefore remain exposed to fluctuations in exchange rates.

***Market Price Risk of Bitcoin***

We hold a significant amount of Bitcoin; therefore, we are exposed to the impact of market price changes in Bitcoin.

As of March 31, 2026, we held approximately 16,332 Bitcoin, comprising approximately 9,311 Bitcoin held by Hut 8 and approximately 7,021 Bitcoin held by American Bitcoin. Based on a fair value of approximately $68,222 per Bitcoin, the aggregate fair value of these holdings as of March 31, 2026 was approximately $1.11 billion. Declines in the fair market value of Bitcoin will impact the cash value that would be realized if we were to sell our Bitcoin for cash, therefore having a negative impact on our liquidity.

***Custodian Risk***

Our Bitcoin is held with third-party custodians, Coinbase Custody, NYDIG, Anchorage, and BitGo, which we select based on various factors, including their financial strength and industry reputation. Custodian risk refers to the potential loss, theft, or misappropriation of our Bitcoin assets due to operational failures, cybersecurity breaches, or financial difficulties experienced by these third parties. Although we periodically monitor the financial health, insurance coverage, and security measures of our custodians, reliance on such third parties inherently exposes us to risks that we cannot fully mitigate**.**

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***Credit Risk***

Credit risk arises from our practice of pledging Bitcoin as collateral in transactions with counterparties. We mitigate this risk by engaging with counterparties that we believe possess strong creditworthiness based on their size, credit quality, and reputation, among other factors. During the three months ended March 31, 2026. we have not incurred any material loss from such transactions. However, there remains a risk that a counterparty could default on its obligations to us, which might result in a material loss. We continually assess the credit risk associated with our counterparties and, if necessary, recognize a loss provision or write-down. Credit risk also arises from us placing our cash and demand deposits in financial institutions. Although we strive to limit our exposure by placing cash and demand deposits with financial institutions with a high credit standing, there can be no assurances that we are able to mitigate our credit risk. In addition, we are exposed to credit risk associated with the creditworthiness of our customers and other counterparties, as non-performance or financial deterioration of these parties could adversely impact cash flows and liquidity.

***Interest Rate Risk***

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates.

We have one loan that maintains a variable interest rate, the TZRC Secured Promissory Note, which includes a maximum interest rate of 15.25%. As a result, changes in market interest rates could affect our operations over certain periods and may also impact our ability to finance projects. For more information regarding the TZRC Secured Promissory Note, see Note 9. Loans, notes payable, and other financial liabilities to the Unaudited Condensed Consolidated Financial Statements included elsewhere in this Quarterly Report.

We also earn interest income on the cash balances at variable rates. Changes in the short-term interest rates are not expected to have a material impact on the fair value of our cash balances.

We may enter into project-level financing arrangements that include floating rate components, including rates based on a Secured Overnight Financing Rate benchmark. To the extent that we enter into such arrangements, our exposure to interest rate variability could increase. We may seek to manage a portion of this exposure through the use of financial hedging instruments; however, such instruments may not be available on acceptable terms, may not be effective in mitigating interest rate risk, or may introduce additional risks.

**Item 4. Controls and Procedures**

**Evaluation of Disclosure Controls and Procedures**

Our Chief Executive Officer and Chief Financial Officer evaluated the effectiveness of our disclosure controls and procedures pursuant to Rule 13a-15(e) under the Exchange Act, as of the end of the period covered by this report.

Based on this evaluation, our Chief Executive Officer and Chief Financial Officer concluded that, as of March 31, 2026, our disclosure controls and procedures are designed at a reasonable assurance level and are effective to provide reasonable assurance that information required to be disclosed in reports that we file or submit under the Exchange Act is recorded, processed, summarized, and reported within the specified time periods, and that such information is accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, to allow timely decisions regarding required disclosure.

**Changes in Internal Control Over Financial Reporting**

There were no changes in our internal control over financial reporting that occurred during the three months ended March 31, 2026 that materially affected, or that are reasonably likely to materially affect, our internal control over financial reporting.

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**PART II – OTHER INFORMATION**

**Item 1. Legal Proceedings**

For a description of material legal proceedings in which we are involved, see Note 18. *Commitments and contingencies* to our Unaudited Condensed Consolidated Financial statements included elsewhere in this Quarterly Report, which is incorporated herein by reference.

We are not presently a party to any other legal or regulatory proceedings that in the opinion of our management, if determined adversely to us, would individually or taken together have a material adverse effect on our business, financial condition, or results of operations. However, we are subject to regulatory oversight by numerous federal, state, provincial, local, and other regulators and we are, and we may become, subject to various legal proceedings, inquiries, investigations, and demand letters that arise in the course of our business. See "Risk Factors—Risks Related to Certain Regulations and Laws, Including Tax Laws—We are involved in legal proceedings from time to time, which could adversely affect us" in the Annual Report.

**Item 1A. Risk Factors**

As of the date of this Quarterly Report, there have been no material changes from the risk factors set forth in Part I, Item IA of the Annual Report. We are subject to various risks and uncertainties that could materially adversely affect our business, financial condition, results of operations, and the trading price of our common stock. You should carefully read and consider the risks and uncertainties included in the Annual Report, together with all of the other information in the Annual Report and this Quarterly Report, including "Management's Discussion and Analysis of Financial Condition and Results of Operations" and our consolidated financial statements and related notes, and other documents that we file with the SEC. The risks and uncertainties described in these reports may not be the only ones we face. Additional risk factors not presently known to us or that we currently deem immaterial may also impair our business, financial condition, or results of operations. The factors discussed in these reports, among others, could cause our actual results to differ materially from historical results and those expressed in forward-looking statements made by us or on our behalf in filings with the SEC, press releases, communications with investors, and oral statements.

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds**

None.

#### Item 3. Defaults Upon Senior Securities
None.

#### Item 4. Mine Safety Disclosures
Not applicable.

#### Item 5. Other Information
***FalconX Loan Agreement***

On May 1, 2026 (the "Loan Effective Date"), Hut 8 Mining Corp., a British Columbia corporation and a wholly-owned subsidiary of the Company (the "Borrower"), entered into a master lender agreement and associated term sheet (collectively, the "Credit Agreement") by and among the Borrower, as borrower and FalconX Charlie, Inc. (the "Lender"), as lender.

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The Credit Agreement provides for a prepayable term loan of $200.0 million. Amounts borrowed under the Credit Agreement will bear interest at a rate equal to 7.00% per annum. The term loan will mature on April 30, 2027 (the "Maturity Date"). The Borrower may prepay any outstanding amounts borrowed, in whole or in part, without premium or penalty, at any time six (6) months after the Loan Effective Date. Any amount prepaid prior to six (6) months after the Loan Effective Date will be subject to an early prepayment fee of 0.125% or 0.25% of the amounts prepaid depending on the reason for such prepayment.

The funds made available pursuant to the Credit Agreement are expected to be used for general corporate purposes. The Borrower's obligations under the Credit Agreement are secured by its interest in certain Bitcoin (the "Collateral") held in the custody of BitGo Bank & Trust, National Association (the "Custodian") and Lender's recourse under the Credit Agreement is limited to the Collateral subject to customary exceptions for fraud and willful malfeasance of the Borrower.

If the ratio between the fair value of the Collateral and the aggregate principal amount outstanding under the term loan (the "Actual Collateral Ratio") at any time during the term is less than 130%, Lender shall have the right to require the Borrower by way of a margin call to provide the Lender with additional collateral to cause the Actual Collateral Ratio to be equal to 143% after taking into account the additional collateral. The Credit Agreement also establishes a 105% minimum collateral threshold, below which the Lender may, following required margin notifications and subject to defined contractual parameters, declare an event of default and liquidate pledged collateral to satisfy outstanding obligations.

The Borrower has the right to request that a portion of the Collateral be released by the Custodian if the Actual Collateral Ratio is equal to or greater than 163% for a continuous period of thirty (30) days or more, such that the Actual Collateral Ratio is equal to 143% after taking into account the release of Collateral.

The Custodian does not have any right to lend, pledge, hypothecate or re-hypothecate the posted Collateral. If certain events of default as defined in the Credit Agreement occur, Lender may exercise all of the rights, powers and remedies in respect of the Collateral of a secured party under applicable law, including, without limitation, the right to use the Collateral to satisfy payments outstanding, transfer the Collateral into Lender's operating account, and sell, assign, or otherwise dispose of the Collateral.

The foregoing description of the Credit Agreement does not purport to be complete and is qualified in its entirety by reference to the full text of the Credit Agreement, filed as Exhibit 10.2 to this Quarterly Report on Form 10-Q.

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#### Item 6. Exhibits

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| | | | | |
|:---|:---|:---|:---|:---|
| | | **Incorporated by Reference** | **Incorporated by Reference** | **Incorporated by Reference** |
| **Exhibit**<br>**Number** | <br>**Description** | **Form** | **Exhibit** | **Filing Date** |
| 3.1 | [Amended and Restated Certificate of Incorporation of Hut 8 Corp.](https://www.sec.gov/Archives/edgar/data/1964789/000110465923122902/tm2331643d4_ex3-1.htm) | 8-K | 3.1 | 12/01/2023 |
| 3.2 | [Amended and Restated Bylaws of Hut 8 Corp.](https://www.sec.gov/Archives/edgar/data/1964789/000110465923122902/tm2331643d4_ex3-2.htm) | 8-K | 3.2 | 12/01/2023 |
| 10.1 | [Amendment No 1. to the Controlled Equity Offering<sup>SM</sup> Sales Agreement, dated February 25, 2026, by and among the Company and Cantor Fitzgerald & Co., Keefe, Bruyette & Woods, Inc., Virtu Americas LLC, The Benchmark Company, LLC, BTIG, LLC, Canaccord Genuity LLC, Craig-Hallum Capital Group LLC, Maxim Group LLC, Needham & Company, LLC, Roth Capital Partners, LLC, Cantor Fitzgerald Canada Corporation, Stifel Nicolaus Canada Inc., Virtu Canada Corp. and Canaccord Genuity Corp.](https://www.sec.gov/Archives/edgar/data/1964789/000110465926019443/hut-20260225xex1d1.htm) | 8-K | 1.1 | 02/25/2026 |
| 10.2\* | [Master Lending Agreement, dated as of May 1, 2026, between Hut 8 Mining Corp. and FalconX Charlie, Inc.](hut-20260331xex10d2.htm) |  |  |  |
| 31.1 | [Certification of Principal Executive Officer of Hut 8 Corp. pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.](hut-20260331xex31d1.htm) |  |  |  |
| 31.2 | [Certification of Principal Financial and Accounting Officer of Hut 8 Corp. pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.](hut-20260331xex31d2.htm) |  |  |  |
| 32.1\*\* | [Certification of Principal Executive Officer and Principal Financial and Accounting Officer of Hut 8 Corp. pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.](hut-20260331xex32d1.htm) |  |  |  |
| 101 | Inline Interactive Data File. |  |  |  |
| 104 | Cover Page Interactive Data File. |  |  |  |

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\* Pursuant to Item 601(b)(10), as applicable, of Regulation S-K, certain portions of this exhibit were redacted. Hut 8 Corp. hereby agrees to furnish a copy of any redacted information to the SEC upon request.

\*\* Furnished herewith and not deemed to be "filed" for purposes of Section 18 of the Exchange Act, and shall not be deemed to be incorporated by reference into any filing under the Securities Act or the Exchange Act (whether made before or after the date of the Quarterly Report), irrespective of any general incorporation language contained in such filing.

[**Table of Contents**](#TOC)

#### SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

---

| | | |
|:---|:---|:---|
| Dated: May 6, 2026 | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;HUT 8 CORP. | &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;HUT 8 CORP. |
|  | By: | */s/ Sean Glennan* |
|  |  | Sean Glennan<br>Principal Financial Officer and Authorized Signatory |

---

## Exhibit 10.2

**Exhibit 10.2**

***Execution Copy***

**MASTER LENDER AGREEMENT**

This Master Lender Agreement ("<u>Agreement</u>") is made on this May 1, 2026 ("<u>Effective Date</u>") by and between FalconX Charlie, Inc. ("<u>Lender</u>"), a corporation organized and existing under the laws of Delaware with its principal place of business at 1850 Gateway Drive, 6th floor San Mateo CA, 94404 US and HUT 8 MINING CORP., ("<u>Borrower</u>") a corporation organized and existing under the laws of British Columbia, Canada with its mailing address at 4701 Tahoe Blvd, Suite 201, Mississauga ON L4W 0B5.

Lender and Borrower are each individually, a "<u>Party</u>," and collectively the "<u>Parties</u>."

**RECITALS**

**WHEREAS**, subject to the terms and conditions of this Agreement, Borrower may, from time to time, seek to initiate a transaction pursuant to which Lender, in its sole and absolute discretion, will lend Digital Currency or U.S. Dollars (depending on the Loaned Asset specified on the Loan Term Sheet) to Borrower, and Borrower will pay a Loan Fee and return an equivalent amount of such Digital Currency or U.S. Dollars to Lender upon the termination or maturity of the Loan.

Now, therefore, in consideration of the foregoing and other good and valuable consideration, the receipt and sufficiency of which hereby acknowledged, the Borrower and the Lender hereby agree as follows:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**I.** **Definitions** 

"***Affiliate***" means, when used with respect to a specified Person, another Person that directly, or indirectly through one or more intermediaries, Controls or is Controlled by or is under common Control with the Person specified; provided that the term "Affiliate" shall also include any Person that directly or indirectly owns more than 5.0% of any class of Equity Interest of the Person specified or that is an officer or director of the Person specified.

"***Airdrop"*** means a distribution of a new token or tokens resulting from the ownership of a preexisting token. For the purposes of Section V, an "***Applicable Airdrop***" is an Airdrop for which the distribution of new tokens can be definitively calculated according to its distribution method, such as a pro rata distribution based on the amount of the relevant Digital Currency held at a specified time. A "***Non-Applicable Airdrop***" is an Airdrop for which the distribution of new tokens cannot be definitively calculated, such as a random distribution, a distribution to every wallet of the relevant Digital Currency, or a distribution that depends on a wallet of the relevant Digital Currency meeting a threshold requirement.

"***Additional Collateral***" has the meaning set forth in Section IV(d).

"***Authorized Agent***" has the meaning set forth in Exhibit A.

"***Borrower***" means Hut 8 Mining Corp.

"***Borrower Email***" means [REDACTED] with a copy to [REDACTED] and [REDACTED].

"***Business Day***" means a day on which banks are open for business, in New York, New York [and Toronto, Ontario].

"***Business Hours***" means between the hours of 8:00 am to 8:00 pm (New York time) on a Business Day.

"***Call Option***" means Lender has the option to demand immediate payment of a portion or the entirety of the Loan Balance at any time, subject to this Agreement.

***"Close of Business"*** means 8:00 pm (New York time).

***"Collateral"*** is defined as set forth in Section IV(a).

------

"***Collateral Certificate***" means the officer's certificate in the form attached hereto as Exhibit C.

"***Collateral Ratio***" is defined as set forth in Section IV(d).

"***Collateral Refund Rate***" is defined as set forth in Section IV(e).

"***Control***" means the possession, directly or indirectly, of the power to direct or cause the direction of the management or policies of a Person, whether through the ownership of voting securities, by contract or otherwise, and the terms "Controlling" and "Controlled" shall have meanings correlative thereto.

"***Digital Currency***" means Bitcoin (BTC) or any digital currency that the Borrower and Lender agree upon (as specified in the Loan Term Sheet).

"***Digital Currency Address***" means an identifier of alphanumeric characters that represents a digital identity or destination for a transfer of Digital Currency.

"***Early Termination Fee***" has the meaning ascribed to such term in Section III(e) herein.

"***Excluded Taxes***" means any of the following Taxes imposed on or with respect to the Lender or required to be withheld or deducted form a payment to the Lender: (a) Taxes imposed on or measured by net income (however denominated), franchise Taxes, and branch profits Taxes, in each case, (i) imposed as a result of the Lender being organized under the laws of, or having its principal office or, if applicable, its lending office located in the jurisdiction imposing such Tax (or any political subdivision thereof) or (ii) that are Other Connection Taxes; (b) any Taxes that would not have been imposed but for the Lender's failure to comply with Section III(f); (c) withholding Taxes imposed on amounts payable with respect to an applicable interest in a Loan pursuant to a law in effect on the date in which (i) the Lender acquires such interest or (ii) the Lender changes its lending office, except in each case to the extent that pursuant to Section III(f), amounts with respect to such Taxes were payable either to the Lender's assignor immediately before the Lender became a party hereto or to the Lender immediately before in changed its lending office; and (d) any withholding Taxes imposed under FATCA.

***"FalconX Entity"*** means the Lender and any Affiliate thereof.

*"****FATCA****"* means Sections 1471 through 1474 of the Code, as of the date of this Agreement (or any amended or successor version that is substantively comparable and not materially more onerous to comply with), any current or future regulations or official interpretations thereof, any agreements entered into pursuant to Section 1471(b)(1) of the Code and any fiscal or regulatory legislation, rules or practices adopted pursuant to any intergovernmental agreement, treaty or convention among Governmental Authorities and implementing such Sections of the Code.

***"Fixed Term Loan***" means a Loan with a pre-determined Maturity Date, where Borrower does not have a Prepayment Option and Lender does not have a Call Option.

"***Governmental Authority***" means the government of the United States of America or any other nation, or of any political subdivision thereof, whether state or local, and any agency, authority, instrumentality, regulatory body, court, central bank or other entity exercising executive, legislative, judicial, taxing, regulatory or administrative powers or functions of or pertaining to government (including any supra-national bodies such as the European Union or the European Central Bank).

"***Hard Fork"*** means a software update implemented by a blockchain or a Digital Currency's network nodes that is incompatible with the existing blockchain protocol, causing a permanent split into two separate networks that run in parallel.

"***Indemnified Taxes***" means (a) Taxes, other than Excluded Taxes, imposed on or with respect to any payment made by or on account of any obligation of Borrower under any Loan Document and (b) to the extent not otherwise described in clause (a), Other Taxes.

"***Initial Collateral Ratio***" has the meaning ascribed to such term in Section IV(d).

"***Late Fee***" has the meaning ascribed to such term in Section III(c) herein.

------

"***Lender***" means FalconX Charlie, Inc.

"***Lender Email***" means: if operations, [REDACTED] if invoicing/billing: [REDACTED] with a copy to [REDACTED].

"***Loan***" means a loan of Digital Currency or U.S. Dollars made pursuant to and in accordance with this Agreement and a Loan Term Sheet.

"***Loan Balance***" means the sum of all outstanding amounts of Loaned Assets, including New Tokens, Loan Fees, Late Fees, and any Earlier Termination Fee or Hard Fork Fees for a particular Loan.

"***Loan Documents***" means this Master Lender Agreement and any and all Loan Term Sheets entered into between Lender and Borrower.

"***Loan Effective Date***" means the date upon which a Loan is made, as specified in the Loan Term Sheet.

"***Loan Fee***" has the meaning ascribed to such term in Section III(a) herein.

"***Loan Term Sheet***" means the agreement between Lender and Borrower on the particular terms of an individual Loan. Such Loan Term Sheet shall be memorialized either (i) in an agreement as set forth in Exhibit B, or (ii) through actions performed within Lender's platform constituting the approval of individual loan terms and conditions, or (iii) in a form approved by Lender comparable therewith. In the event of any inconsistency between the provisions of any Loan Term Sheet and this Agreement, such Loan Term Sheet will prevail for the purpose of the relevant Loan.

"***Loaned Assets***" means any Digital Currency or U.S. Dollar amount transferred in a Loan hereunder until such Digital Currency (or identical Digital Currency) or U.S. Dollar amount is transferred back to Lender hereunder in accordance with the terms herein, except that, if any new or different Digital Currency is created or split by a Hard Fork or other alteration in the underlying blockchain and meets the requirements set forth in Section V of this Agreement, such new or different Digital Currency shall be deemed to become Loaned Assets in addition to the former Digital Currency for which such exchange is made. For purposes of return of Loaned Assets by Borrower or purchase or sale of Digital Currencies, such term shall include Digital Currency of the same quantity and type as the Digital Currency, as adjusted pursuant to the preceding sentence.

"***Margin Call***" has the meaning ascribed to such term in Section IV(d) herein.

"***Margin Call Limit***" has the meaning ascribed to such term in Section IV(d).

"***Margin Call Rate***" has the meaning ascribed to such term in Section IV(d).

"***Margin Notification***" has the meaning ascribed to such term in Section IV(d).

"***Margin Notification Time Period***" has the meaning ascribed to such term in Section IV(d).

"***Maturity Date***" means the pre-determined future date upon which a Loan becomes due in full for whatever reason.

"***New Tokens***" has the meaning ascribed to such term in Section V(c) herein.

"***Open Loan***" means a Loan without a Maturity Date where Borrower has a Prepayment Option and Lender has a Call Option.

"***Other Connection Taxes***" means, with respect to any Lender, Taxes imposed as a result of a present or former connection between the Lender and the jurisdiction imposing such Tax (other than connections arising from the Lender having executed, delivered, become a party to, performed its obligations under, received payments under, received or perfected a security interest under, engaged in any other transaction pursuant to or enforced any Loan Document, or sold or assigned an interest in any Loan or Loan Document).

"***Other Taxes***" means all present or future stamp, court, documentary, intangible, excise, recording, filing or similar Taxes that arise from any payment made under, from the execution, delivery, performance, enforcement or registration of, from the receipt or perfection of a security interest under, or otherwise with respect to, any Loan Document.

------

"***Person***" means any natural person, corporation, business trust, joint venture, association, company, limited liability company, partnership, trust, Governmental Authority or other entity.

"***Prepayment Option***" means the Borrower has the option to repay or return the Loaned Assets prior to the Maturity Date without incurring Early Termination Fees, subject to this Agreement and in particular Section II(c)(iii).

"***Recall Delivery Day***" has the meaning ascribed to such term in Section II(c)(ii).

"***Reference Exchange***" means Coinbase Pro or another exchange as mutually agreed to in writing by the Lender and the Borrower.

"***Refunded Collateral***" has the meaning ascribed to such term in Section IV(e).

"***Request Day***" has the meaning ascribed to such term in Section II(b) herein.

"***Refund Limit***" has the meaning ascribed to such term in Section IV(e).

"***Securities***" means any tokenized assets agreed by the parties and specified in the Loan Term Sheet, including but not limited to (i) securities issued by, or unconditionally guaranteed as to the timely payment of principal and interest by, the U.S. Department of Treasury, a U.S. government agency or the European Central Bank and (ii) redeemable securities in a pooled investment fund issued and redeemed only on the basis of the fund's net assets that are eligible under applicable regulatory requirements.

"***Taxes***" means all present or future taxes, levies, imposts, duties, withholdings, assessments, or similar fees or other charges imposed by any Governmental Authority, including any interest, additions to tax or penalties applicable thereto.

"***Term***" means the period from the Loan Effective Date through Termination Date.

"***Term Loan with Call Option***" means a Loan with a pre-determined Maturity Date where Lender has a Call Option.

"***Term Loan with Prepayment Option***" means a Loan with a pre-determined Maturity Date where Borrower has a Prepayment Option.

"***Termination Date***" means the date upon which a Loan is terminated or matures in accordance with the terms herein.

"***VAT***" means any value added taxes or any similar Taxes, including any interest, additions to tax or penalties applicable thereto.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**II.** **General Loan Terms.** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. <u>Loans of Digital Currency or U.S. Dollars</u> 

Subject to the terms and conditions hereof, Borrower may, in its sole and absolute discretion, request from the Lender a Loan of a specified amount of Digital Currency or U.S. Dollars, and Lender may, in its sole and absolute discretion, extend such Loan or decline to extend such Loan on terms and conditions acceptable to Lender and as set forth in a corresponding Loan Term Sheet.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. <u>Loan Procedure</u> 

From time to time during the term of this Agreement, during the hours of 8:00 am (New York time) to 8:00 pm (New York time) on a Business Day (the "<u>Request Day</u>"), by email directed to Lender Email (or such other address as Lender may specify in writing), an Authorized Agent of Borrower may request from Lender a Loan of a specific amount of Digital Currency or U.S. Dollars (a "<u>Lending Request</u>"). Provided Lender receives such Lending Request prior to 3:00 pm (New York time), Lender shall by email directed to Borrower Email (or such other address as Borrower may specify in writing) inform Borrower whether Lender agrees to make such a Loan on the Request Day. If Lender receives such Lending Request after 3:00 pm (New York time), Lender shall respond no later than one (1) Business Day after the Request Day. If Lender fails to accept a Lending Request prior to Close of Business on the applicable day, such Lending Request shall be deemed to have been denied by Lender.

------

As part of its Lending Request, Borrower shall provide the following proposed terms:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. whether U.S. Dollars or Digital Currency, and if Digital Currency, the type of Digital Currency being requested;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. the amount of Digital Currency or U.S. Dollars being requested;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. whether the Loan is to be a Fixed Term Loan, a Term Loan with Prepayment Option, a Term Loan with a Call Option or an Open Loan;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. the required Loan Effective Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;v. the Collateral;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vi. the Initial Collateral Ratio;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vii. the Margin Call Limit;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;viii. the Refund Limit; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ix. the Maturity Date (for all Loans other than an Open Loan).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;x. Call Option (if applicable)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;xi. Prepayment Option (if applicable)

If Lender agrees to make a Loan in accordance with Borrower's proposed terms and the Borrower has delivered to and the Lender has received the Collateral required pursuant to the terms herein, Lender shall commence transmission to either (x) the Borrower's Digital Currency Address the amount of Digital Currency, or (y) Borrower's bank account by bank wire the amount of U.S. Dollars, as applicable, at such Digital Currency Address or using such bank wire instruction as set forth in the Lending Request on or before Close of Business on the Loan Effective Date.

The specific and final terms of a Loan shall be memorialized within the applicable Loan Term Sheet, which shall be delivered and executed after the final terms of a Loan are agreed to and prior to the delivery of the Loaned Assets. In the event of a conflict of terms between this Master Lender Agreement and a Loan Term Sheet, the terms in the Loan Term Sheet shall govern.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. <u>Loan Repayment Procedure</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i.<u>Loan Repayment</u>

Unless otherwise specified in subsections (ii) and (iii) below, upon the earlier of the Maturity Date, the Recall Delivery Day, or the Redelivery Day (as defined below) for a Loan (the "<u>Repayment Date</u>"), Borrower shall repay the entirety of the Loan Balance to Lender by Close of Business on the Repayment Date. If Lender has not provided to Borrower the Lender's Digital Currency Address (if the Loaned Assets is Digital Currency) or the Lender's bank wire details (if the Loaned Asset is U.S. Dollars) for receiving the repayment of a Loan by Close of Business on or before one (1) Business Day prior to the Repayment Date then such Loan will become an Open Loan on such Repayment Date and no additional Loan Fees shall be accrued after the Maturity Date or the Redelivery Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii.<u>Call Option</u>

For Term Loans with a Call Option (or an Open Loan), Lender may during Business Hours (the "<u>Recall Request Day</u>") demand repayment of a portion or the entirety of the Loan Balance (the "<u>Recall Amount</u>"). Within such request, Lender shall notify Borrower that it is exercising its Call Option by email to Borrower's Email. Borrower will then have until Close of Business on the third (3rd) Business Day after the Recall Request Day (each a "<u>Recall Delivery Day</u>") to deliver the Recall Amount to the Lender.

In the event of a Call Option where Lender demands repayment of only a portion of any given Loan, Borrower shall repay such portion of the Loan on the Recall Delivery Day and the remaining portion of the Loan on the earlier of the Maturity Date or the subsequent Recall Delivery Day.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii.<u>Prepayment Option</u>

For Open Loans and Term Loans with Prepayment Option, Borrower may notify Lender during Business Hours of Borrower's intent to repay the Loan prior to the Maturity Date or a Recall Delivery Day, as may be applicable, without being subject to Early Termination Fees as set forth in Section III(e) herein. Lender's exercising of its Call Option shall also not be subject to Early Termination Fees as set forth in Section III(e). Borrower shall provide such notice at least one (1) Business Day prior to the date on which the Borrower will repay all or a portion of the Loan (the "<u>Redelivery Day</u>"). Borrower's exercising of its Prepayment Option shall not relieve its obligation to pay any outstanding Loan Fees or Late Fees.

In the event the Borrower repays only a portion of the Loan Balance, Borrower shall repay the remaining portion of the Loan Balance on the earlier of the Maturity Date, Recall Delivery Day, or subsequent Redelivery Day.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. <u>Termination of Loan</u> 

A Loan will terminate upon the earlier of:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. the Maturity Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. the repayment of the Loan Balance by Borrower prior to the Maturity Date;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. the occurrence of an Event of Default as defined in Section VII; however, Lender shall have the right in its sole discretion to waive any Event of Default upon terms and conditions acceptable to Lender in its sole discretion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. in the event any or all of the Loaned Assets (if the Loaned Assets is Digital Currency) becomes in Lender's sole discretion at risk of being: (1) considered a security, swap, derivative, or other similarly-regulated financial instrument or asset by any regulatory authority, whether governmental, industrial, or otherwise, or by any court of law or dispute resolution organization. arbitrator, or mediator; or (2) subject to future regulation materially impacting this Agreement, the Loan, or Lender's business.

Nothing in the forgoing shall cause, limit, or otherwise affect the Term and termination of this Agreement except as specified in Section XXIV.

In the event of a termination of a Loan, any Loaned Assets shall be redelivered immediately and any fees or any amounts owing hereunder shall be payable immediately to the appropriate party specified herein. Upon Lender's receipt of the Loaned Assets and all other amounts owing to it hereunder, the Lender shall deliver the Collateral to the Borrower in accordance with Section IV(g).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. <u>Redelivery in an Illiquid Market</u> 

If (i) the seven-day average daily trading volume across Coinbase Pro, Kraken and Bitstamp (collectively, the "<u>Liquidity Exchanges</u>") for the applicable borrowed Digital Currency that is Loaned Assets (as measured against the 30-day average daily trading volume of the applicable Digital Currency on the Loan Effective Date) has decreased by ninety percent (90%) or more or (ii) the borrowed Digital Currency that is Loaned Assets ceases to be listed on any of the Liquidity Exchanges (the duration of either event herein designated, the "<u>Illiquid Period</u>"), Borrower may repay the Loan in U.S. Dollars equal to the volume-weighted average price of the borrowed Digital Currency that is Loaned Assets on the Liquidity Exchanges (measured at 4:00 pm (New York time)) (the "<u>Illiquid Market Spot Rate</u>") during the Illiquid Period, up to a maximum of 30 days.

If all of the Liquidity Exchanges limit or suspend withdrawals or transactions in the Digital Currency on the Maturity Date, the Recall Delivery Day, or the Redelivery Day, whichever applicable, the requirement for the Borrower to return the Digital Currency shall be temporarily suspended, without penalty or default, including without limitation the incurring of additional Loan Fees, until such time that one of the Liquidity Exchanges allow the resumption of withdrawals and transactions in the Digital Currency.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**III.** **Loan Fees and Transaction Fees.** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. <u>Loan Fee</u> 

Unless otherwise agreed, Borrower agrees to pay Lender a financing fee on each Loan (the "<u>Loan Fee</u>"). When a Loan is executed, the Borrower will be responsible to pay the Loan Fee as agreed to in the relevant Loan Term Sheet and subject to change if thereafter agreed by Borrower and Lender. Except as Borrower and Lender may otherwise agree, Loan Fees shall accrue from and include the date on which the Loaned Assets are transferred to Borrower to the date on which such Loaned Assets are repaid in their entirety to Lender in accordance with the terms herein. For any Loan, the minimum Loan Fee shall be the Loan Fee that would accrue for one day.

Lender shall calculate any Loan Fees owed on a daily basis of a 365-day year for the actual number of days elapsed and provide Borrower with the calculation upon request. The Loan Fee will be calculated off all outstanding portions of the Loaned Assets. The Loan Fee is payable monthly by Borrower in arrears.

Lender may adjust the Loan Fee by taking into account any Minimum Fees paid by Borrower under any FalconX Direct Market Access User Agreement executed between the Borrower and the Lender or its parent or its affiliates.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. <u>Origination Fee</u> 

For certain Loans, Lender may charge Borrower a fee (the "<u>Origination Fee</u>") to be paid at the time the Collateral is delivered to Lender. If an Origination Fee applies to a Loan, the Loan Term Sheet shall set forth the amount of the Origination Fee and whether the Origination Fee is to be paid in U.S. Dollars or in a Digital Currency.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. <u>Late Fee</u> 

For each calendar day in excess of the Maturity Date or the Recall Delivery Day (whichever is applicable) in which Borrower has not returned the Loaned Assets required to be returned or failed to timely pay any outstanding Loan Fee in accordance with the terms herein, Borrower shall incur an additional fee (the "<u>Late Fee</u>") equal to two percent (2%) (annualized, calculated daily) on all outstanding portions of the Loaned Assets and Loan Fees which remain outstanding. If a Late Fee is imposed under this Section III(c) due to an event that would constitute an Event of Default under Section VII, the imposition of a Late Fee by the Lender does not constitute a waiver of its right to declare an Event of Default for the same event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. <u>Payment of Loan Fees and Late Fees</u> 

Unless otherwise agreed, any Loan Fee, Late Fee, Early Termination Fee or any other amounts payable hereunder shall be paid by Borrower to Lender upon the earlier of (i) five (5) Business Days after receipt of an invoice from Lender setting out the amounts of the outstanding fees or (ii) the termination of all Loans hereunder (the "<u>Payment Due Date</u>"). An invoice for Loan Fees and any Late Fees (the "<u>Invoice Amount</u>") shall be sent out on the first Business Day of the month and shall include any Loan Fees, Late Fees, and Early Termination Fees incurred and outstanding during the previous month. Borrower shall have up to five (5) Business Days from the date of said Invoice to pay the Invoice Amount. Failure of Lender to timely send an invoice in accordance with the preceding sentence shall not be considered a default hereunder nor shall it relieve Borrower of its obligation to pay any Loan Fees, Late Fees, Early Termination Fees or any other amounts owed herein nor negate any Event of Default resulting from Borrower's failure to timely pay such fees. The Loan Fee, Late Fees, and Early Termination Fees shall be payable, unless otherwise agreed by the Borrower and Lender in the Loan Term Sheet, whether U.S. Dollars or Digital Currency on the same blockchain and of the same type that was loaned by the Lender during the Loan.

Notwithstanding the foregoing, in all cases, all Loan Fees, Late Fees, and Early Termination Fees shall be payable by Borrower immediately upon demand after the occurrence of an Event of Default hereunder by Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. <u>Early Termination Fees</u> 

For Fixed Term Loans and Term Loans with Call Options, if Borrower returns the Loaned Assets prior to the Maturity Date, Borrower shall pay to Lender a fee equal to twenty percent (20%) of the Loan Fee, or as otherwise specified in the applicable Loan Term Sheet, that would have accrued from the date of the repayment until the Maturity Date of the Loan (the "<u>Early Termination Fee</u>"). The Early Termination Fee is due and payable with the repayment of the Loaned Assets. The Early Termination Fee shall not apply if Borrower returns the Loaned Assets to Lender in the event of a Hard Fork where the Loaned Assets is Digital Currency or if Lender moves up the Maturity Date to an earlier date by exercising a Call Option.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f. <u>Taxes and Fees</u> 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. Gross-Up

Any and all payments by or on account of any obligation of Borrower under any Loan Document shall be made free and clear of and without any deduction or withholding for any Taxes, except as required by applicable law. If any applicable law requires the deduction or withholding of any Tax with respect to any such payment under any Loan Document, then Borrower shall make such deduction or withholding and shall timely pay the full amount deducted or withheld to the relevant Governmental Authority in accordance with Applicable Law and, if such Tax is an Indemnified Tax, the sum payable by Borrower shall be increased as necessary so that after such deduction or withholding has been made (including such deduction or withholding applicable to additional sums payable under this Section III)(f)) the Lender receives an amount equal to the sum it would have received had no such deduction or withholding been made.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. Indemnification by Borrower

Borrower shall indemnify the Lender, within ten (10) Business Days after written demand therefor, for the full amount of any Indemnified Taxes (including Indemnified Taxes imposed or asserted on or attributable to amounts payable under this Section III(f)) payable or paid by such Lender, or required to be withheld or deducted from a payment to such Lender, and any reasonable expenses arising therefrom or with respect thereto, whether or not such Indemnified Taxes were correctly or legally imposed or asserted by the relevant Governmental Authority. A certificate as to the amount of such payment or liability delivered to Borrower by a Lender shall be conclusive absent manifest error.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. Other Taxes

Borrower shall timely pay any Other Taxes to the relevant Governmental Authority in accordance with applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. VAT

All amounts payable by Borrower to Lender under any Loan Document are exclusive of any VAT. Borrower shall be responsible for paying any VAT imposed on any such payments or any VAT chargeable in respect of the transactions contemplated by the Loan Documents. If VAT is imposed on the Lender in respect of any payments in respect of the Loan Documents as a result of the transactions contemplated by the Loan Documents, the Lender shall provide Borrower with an invoice for such VAT and Borrower shall promptly reimburse the Lender for such VAT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;v. Evidence of Payments

As soon as practicable after any payment of Taxes by Borrower to a Governmental Authority pursuant to this Section III(f), Borrower shall deliver to the Lender the original or a certified copy of a receipt issued by such Governmental Authority evidencing such payment, a copy of the return reporting such payment or other evidence of such payment reasonably satisfactory to the Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vi. Tax Forms

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vii. Upon reasonable request by Borrower, the Lender shall cooperate to provide any properly completed and executed tax forms (including an IRS Form W-9) or other documentation reasonably requested by Borrower as will permit such payments to be made without withholding or at a reduced rate of withholding and enable Borrower to determine whether or not the Lender is subject to any withholding or information reporting requirements. The Lender agrees that if any form or certification it previously delivered under this Section III(f) expires or becomes obsolete or inaccurate in any respect, it shall promptly update such form or certification or, if it is legally unable to do so, promptly notify the Borrower in writing of such legal inability.

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For the avoidance of doubt, the Lender will not be obligated to provide any such tax forms or other documentations to the extent that it is legally ineligible to do so. Notwithstanding anything to the contrary in this Section III(f), the completion, execution and submission of such documentation described above (other than an IRS Form W-9) shall not be required if in the Lender's good faith judgment such completion, execution or submission would subject such Lender to any material unreimbursed cost or expense or would materially prejudice the legal or commercial position of such Lender. Miscellaneous

Borrower has reviewed with its own tax advisors the federal, state, local and foreign tax consequences of the transactions contemplated by this Agreement. Borrower is relying solely on those advisors and not on any statements or representations of the Lender or any of its agents. Borrower understands and agrees that it will be solely responsible for any tax liability that may be imposed on it as a result of the transactions contemplated by this Agreement.

For U.S. federal, state and local income tax purposes, each of Lender and Borrower intend that, absent a change in law, any Loan of Digital Currency under this Agreement by Lender, and any transfer of Collateral consisting of Digital Currency under this Agreement by Borrower, shall not be treated as an exchange of property for other property differing materially in kind or extent (within the meaning of Section 1001 of the Internal Revenue Code of 1986, as amended), and each of Borrower and Lender agrees that it will not take any position inconsistent with such treatment for all such tax purposes.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**IV.** **Collateral Requirements** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. <u>Collateral</u> 

Borrower, as security for the obligations hereunder, hereby pledges with, assigns to, and grants Lender a continuing first priority security interest in, and a lien upon, the Collateral, which shall attach upon the transfer of the first Loaned Assets under this Agreement to Borrower. Unless otherwise agreed by the parties, or modified in the Loan Term Sheet or as set forth below, Borrower shall provide, as security for its obligations under this Agreement, collateral in an amount of U.S. Dollars, Digital Currency or Securities to be determined and agreed upon by the Borrower and Lender ("<u>Collateral</u>") and memorialized using the Loan Term Sheet. Borrower shall, prior to or concurrently with the transfer of the Loaned Assets to Borrower, but in no case later than the Close of Business on the day of such transfer, transfer the agreed upon Collateral to an account subject to a custody agreement pursuant to which Lender will have control of the Collateral.

For the avoidance of doubt, upon the repayment of the Loaned Assets at the termination of a Loan, Lender shall return to Borrower the same amount and type of Collateral that was deposited, net of any Additional Collateral or Margin Call adjustments. If a Hard Fork occurs, resulting in the creation of New Tokens while Lender is holding such Digital Currency as Collateral, Lender shall return the New Tokens to Borrower in addition to the Collateral and Additional Collateral upon the termination of a Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. <u>Use of Collateral</u> 

Notwithstanding anything to the contrary in this Agreement, the Collateral transferred by Borrower to Lender, as adjusted herein, shall be security for Borrower's obligations in respect of such Loan and any other obligations it may have under the Loan Term Sheet, and if agreed in advance in writing by the Borrower, any other obligations to Lender and its affiliates under any other agreement (collectively, the "<u>Obligations</u>"). Borrower, as security for the Obligations, hereby pledges with, assigns to, and grants Lender a continuing first priority security interest in, and a lien upon, the Collateral, which shall attach upon the transfer of the Loaned Assets by Lender to Borrower and which shall cease upon (i) the return of the Loaned Assets by Borrower to Lender; and (ii) satisfaction of all Obligations by Borrower to Lender. During the term of the Loan, Borrower agrees and affirms Lender's entitlement to and the exclusive use of the Collateral for the purpose of security for the loans that are borrowed.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. <u>Loan and Collateral Transfer</u> 

If Lender transfers Loaned Assets to Borrower and Borrower does not transfer Collateral to Lender as provided in Section IV(a), Lender shall have the absolute right to the return of the Loaned Assets; and if Borrower transfers Collateral to Lender, as provided in Section IV(a), and Lender does not transfer the Loaned Assets to Borrower, Borrower shall have the absolute right to the return of the Collateral.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. <u>Margin Calls</u> 

Unless otherwise agreed between the parties, during the term of any Loan, the following "<u>Collateral Ratio</u>" shall be applied to such Loan: A/B where A = the total value of Collateral held with the Lender and B = the value of the Loaned Asset. The Collateral Ratio shall be measured against a threshold value specified in the applicable Loan Term Sheet (the "<u>Margin Call Limit</u>"). If the Collateral Ratio drops below the Margin Call Limit, the Lender shall have the right to require the Borrower by way of a margin call (each a "<u>Margin Call</u>") to provide the Lender with additional Collateral (the "<u>Additional Collateral</u>") to cause the Collateral Ratio to be equal to the value listed in the Loan Term Sheet (the "<u>Initial Collateral Ratio</u>"). The value of the Loaned Assets and the Collateral comprised of Digital Currency shall be measured on the spot rate published on the Reference Exchange, or if the Collateral is comprised of Securities, based on the value of such Securities, as determined by Lender (such rate, the "<u>Margin Call Rate</u>"). The Collateral shall always be valued in U.S. Dollars and shall not be subject to a haircut or discount.

If Lender requires Borrower to contribute Additional Collateral, it shall send an electronic notification (the "<u>Margin Notification</u>")to the Borrower via email, telephone, Telegram, WhatsApp, Slack, or any other electronic means of communication agreed by the parties that sets forth: (i) the value of the Loaned Assets, (ii) the value of the Collateral, (iii) the Margin Call Rate, if applicable, and (iv) the amount of Additional Collateral required based on the Collateral Ratio or, if applicable, the Margin Call Rate. Borrower shall have twenty-four (24) hours from the time Lender sends such Margin Notification via email (the "<u>Margin Notification Time Period</u>"), to (x) respond and send payment to Lender in accordance with subsection (f) below, or (y) respond that the Required Collateral Ratio has once again been obtained. If Lender agrees by email that Borrower's response according to (y) above is correct, then no other action is required by Borrower. If Lender fails to agree by email with Borrower's response in accordance with (y) by Close of Business that same day, such failure to respond shall be deemed as Lender's rejection of Borrower's response and a re-statement of Lender's original demand for Borrower to contribute Additional Collateral.

Upon Lender's rejection of Borrower's response to the Margin Notification, whether affirmatively by email or by non-reply by the Close of Business that same day, Borrower shall make immediate payment of Additional Collateral as set forth in Section IV(f) below. Failure to provide Additional Collateral, or failure by Borrower to respond to the Margin Notification, shall give Lender the option to declare an Event of Default under Section VII below.

Notwithstanding anything in this Section, the value of the Collateral, **must at all times be above a threshold limit of 105%** of the value of the Loaned Asset unless otherwise specified and agreed to by the Parties in the applicable Loan Term Sheet (the "<u>Default Limit</u>"). If the value of the Collateral drops below the Default Limit, Lender shall have the right, but not the obligation, to declare an Event of Default under Section VII.

Borrower acknowledges that its obligations under this Section continue regardless of Lender's request for Additional Collateral and Borrower's acceptance or rejection of the same. Borrower agrees that it is its responsibility to monitor its Collateral and to assure that it is equal to or higher than the applicable Margin Call Limit and Default Limit. Upon the value of the Collateral dropping below the Default Limit and provided that Lender shall have provided at least one Margin Notification to Borrower prior to or subsequent to the value of the Collateral dropping below the Default Limit, Borrower agrees that Lender may, automatically and without further notice, liquidate or otherwise convert the Collateral in a commercially reasonable manner provided that if Borrower has provided Lender with a Collateral Certificate (aka the "Officer's Certificate") as soon as commercially reasonable following Borrower's receipt of the Margin Notification, then Lender shall wait until expiry of the lesser of (A) twelve (12) hours after the value of the Collateral drops below the Default Limit, or (B) the remainder of the Margin Notification Period to liquidate or otherwise convert the Collateral as contemplated in this sentence. The value of the Collateral for purposes of calculating the Default Limit and the Collateral shall be determined by reference to the spot rate published on the Reference Exchange, measured at the time of execution of the Collateral Certificate.

Borrower acknowledges that its obligations hereunder, including those in this Section IV, continue regardless of Lender's request for Additional Collateral and Borrower's acceptance or rejection of the same.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. <u>Refund of Collateral</u> 

If during the term of a Loan the Collateral Ratio increases such that the Collateral Ratio is higher than the value specified in the Loan Term Sheet (the "<u>Refund Limit</u>") for a continuous period of thirty (30) days or more, the Borrower shall have the right to require the Lender to return an amount of Collateral (the "<u>Refunded Collateral</u>") such that the Collateral Ratio is equal to the Initial Collateral Ratio. The value of the Loaned Assets and the Collateral comprised of Digital Currency shall be measured by the spot rate published on the Reference Exchange, and the value of the Collateral comprised of Securities shall be based on the value of such Securities, as determined by the Lender (the "<u>Collateral Refund Rate</u>"). Lender shall deliver the Refunded Collateral to Borrower within two (2) Business Days to, where the Refunded Collateral is fiat currency, a bank account designated by the Borrower and where the Refunded Collateral is Digital Currency to the Borrower's Digital Currency Address.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f. <u>Payment of Additional Collateral</u> 

Payment of the Additional Collateral shall be made by bank wire to the account (if the Collateral is U.S. Dollars), or transfer to the Digital Currency Address provided by the Lender (if the Collateral is Digital Currency) or by a return of the amount of Loaned Assets necessary to obtain the Required Collateral Ratio. For any return of Loaned Assets made in accordance with this Section, Borrower is still responsible for payment of any Early Termination Fees that apply to the particular Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g. <u>Return of Collateral</u> 

Upon Borrower's repayment of the Loan and any other amounts owing hereunder and acceptance by Lender of the Loaned Assets into Lender's Digital Currency Address (if the Loaned Assets is Digital Currency), with such delivery being confirmed on the relevant Digital Currency blockchain ten times or the Lender's bank account using the Lender's bank wire details provided by Lender (if the Loaned Assets is U.S. Dollars), Lender shall initiate the return of Collateral within two (2) Business Days to a bank account designated by Borrower or, where Digital Currency or Securities is Collateral, into the Borrower's Digital Currency Address.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**V.** **Hard Fork** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. <u>Notification</u> 

In the event of a public announcement of a future Hard Fork or an Airdrop in the blockchain for any Loaned Assets or Collateral, Lender shall provide email notification to Borrower.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. <u>No Immediate Termination of Loans Due to Hard Fork</u> 

In the event of a Hard Fork in the blockchain for any Loaned Assets or an Airdrop, any outstanding Loans will not be automatically terminated. Borrower and Lender may agree, regardless of Loan type, either (i) to terminate the Loan without any penalties on an agreed upon date or (ii) where the Loaned Assets is Digital Currency, for Lender to manage the Hard Fork on the behalf of Borrower. If the Lender manages the Hard Fork on behalf of Borrower, Borrower shall return the Loaned Assets to Lender two business days prior to the scheduled Hard Fork or Airdrop. Lender shall not be obligated to return any Collateral to the Borrower during the period in which Lender manages the Loaned Assets on the behalf of Borrower. Lender shall fork the Loaned Assets, and following the Hard Fork shall return to Borrower the Loaned Assets but not any New Tokens (as defined below). For any whole days in which Lender manages the Loaned Assets that is Digital Currency pursuant to this section, the Loan Fee for those days shall not accrue. Nothing herein shall relieve, waive, or otherwise satisfy Borrower's obligations hereunder, including without limitation, the obligation to return the Loaned Assets at the termination of the Loan and payment of accrued Loan Fees, which includes the per diem amounts for days on which Borrower transfers Digital Currency to Lender and Lender transfers said Digital Currency back to Borrower pursuant to this section.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. <u>Lender's Right to New Tokens</u> 

Lender will receive the benefit and ownership of any incremental tokens generated as a result of a Hard Fork in the Digital Currency protocol or an Applicable Airdrop (the "<u>New Tokens</u>") where the Loaned Assets is Digital Currency if any two of the following four conditions are met (the "<u>New Token Criterion</u>"):

● *Hash Power*: the average hash power mining the New Token on the 30th day following the occurrence of the Hard Fork or Applicable Airdrop (calculated as a 30-day average on such date) is at least five percent (5%) of the hash power mining the Loaned Assets on the day preceding the Hard Fork or Applicable Airdrop (calculated as a 3-day average of the 3 days preceding the Hard Fork).

● *Market Capitalization*: the average market capitalization of the New Token (defined as the total value of all New Tokens) on the 30th day following the occurrence the Hard Fork or Applicable Airdrop (calculated as a 30-day average on such date) is at least five percent (5%) of the average market capitalization of the Loaned Assets (defined as the total value of the Loaned Assets) (calculated as a 30-day average on such date).

● *24-Hour Trading Volume*: the average 24-hour trading volume of the New Token on the 30th day following the occurrence the Hard Fork or Applicable Airdrop (calculated as a 30-day average on such date) is at least one percent (1%) of the average 24-hour trading volume of the Loaned Assets (calculated as a 30-day average on such date).

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● *Wallet Compatibility*: the New Token is supported by the Lender or a custodian mutually designated by the Borrower and the Lender within 30 days of the Hard Fork or Applicable Airdrop.

For the above calculations, the source for the relevant data on the Digital Currency hash power, market capitalization, and 24-Hour trading volume will be blockchain.info (or, if blockchain.info does not provide the required information, bitinfocharts.com, and if neither provides the required information, the parties shall discuss in good faith to mutually agree upon another data source) and the source for the hash power of the New Token will be bitinfocharts.com (or, if bitinfocharts.com does not provide the required information, the parties shall discuss in good faith to mutually agree upon another data source prior to the 30-day mark of the creation of the New Token).

If the Hard Fork or Applicable Airdrop meets the criteria above, Borrower will have up to sixty (60) days from the Hard Fork or Applicable Airdrop to transfer the New Tokens to Lender. If sending the New Tokens to Lender is burdensome, upon Lender's written agreement with Borrower, Borrower can reimburse Lender for the value of the New Tokens by either (i) a one-time payment in the same Loaned Assets transferred as a part of the Loan reflecting the amount of the New Tokens owed using the spot rate determined by Lender in its reasonable discretion at the time of said repayment, or (ii) returning the borrowed Digital Currency so that Lender can manage the split of the underlying digital tokens as described in Section IV(b) above. Alternatively, subject to Lender's written agreement, the parties may agree to other methods of making Lender whole for Borrower's failure to transfer New Tokens to Lender. In all cases, Borrower will be solely responsible for payment of additional costs incurred by any transfer method other than returning the New Tokens to Lender, including but not limited to technical costs, third party fees, and incremental tax obligations imposed as a result of such alternative method (to the extent such tax obligations would not have been imposed if such New Tokens had been returned to Lender). For the avoidance of doubt, if Borrower returns a Loan to Lender prior to the 30<sup>th</sup> day following a Hard Fork, Borrower's obligations under this Section V shall continue for any New Tokens that meet the criteria in this subsection (c) for such Loan on the 30<sup>th</sup> day following the Hard Fork. Lender's rights to New Tokens as set forth in this Section shall survive the termination of the relevant Loan, return of the Loaned Assets, and termination of this Agreement. If Borrower fails to transfer the New Tokens to Lender, or provide alternative compensation to Lender as agreed to in accordance with this subsection, within sixty (60) days from the Hard Fork or Applicable Airdrop, such failure will be considered an Event of Default in accordance with Section VII(b), and Borrower shall incur an additional fee (the "<u>Hard Fork Fee</u>") equal to ten percent (10%) (annualized, calculated daily) of all outstanding portions of the Loaned Digital Currencies and Loan Fees. Lender's charging of the Hard Fork Fee does not constitute a waiver of its right to declare an Event of Default for the same event.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**VI.** **Representations and Warranties.** The representations provided in this Section VI shall be deemed to continue during the term of this Agreement and any Loan hereunder.

a.Borrower hereby makes the following representations and warranties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. (A) it has the power to execute and deliver this Agreement, to enter into the Loans contemplated hereby and to perform its obligations hereunder, (B) it has taken all necessary action to authorize such execution, delivery and performance, and (C) this Agreement constitutes a legal, valid, and binding obligation enforceable against it in accordance with its terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. it has not relied on the other for any tax or accounting advice concerning this Agreement and that it has made its own determination as to the tax and accounting treatment of any Loan, any Digital Currency, Collateral, or funds received or provided hereunder;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. it is acting for its own account;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. it is a sophisticated party and fully familiar with the inherent risks involved in the transactions contemplated in this Agreement, including, without limitation, risk of new financial regulatory requirements, potential loss of money and risks due to volatility of the price of the Loaned Assets, and voluntarily takes full responsibility for any risk to that effect;

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;v. it is not insolvent and is not subject to any bankruptcy or insolvency proceedings under any applicable laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vi. to its knowledge the transactions contemplated in this Agreement are not prohibited by law or other authority in the jurisdiction of its place of incorporation, place of principal office, or residence and that it has necessary licenses and registrations to operate in the manner contemplated in this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;vii. it has, or will have at the time of return of any Loaned Assets, the right to transfer such Loaned Assets subject to the terms and conditions hereof, and, free and clear of all liens and encumbrances other than those arising under this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;viii. it has, or will have at the time of transfer of any Collateral, the right to grant a first priority security interest in said Collateral subject to the terms and conditions hereof.

b.Lender hereby makes the following representations and warranties:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;i. (A) it has the power to execute and deliver this Agreement, to enter into the Loans contemplated hereby and to perform its obligations hereunder, (B) it has taken all necessary action to authorize such execution, delivery and performance, and (C) this Agreement constitutes a legal, valid, and binding obligation enforceable against it in accordance with its terms;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;ii. it is not insolvent and is not subject to any bankruptcy or insolvency proceedings under any applicable laws;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iii. to its knowledge the transactions contemplated in this Agreement are not prohibited by law or other authority in the jurisdiction of its place of incorporation, place of principal office, or residence and that it has necessary licenses and registrations to operate in the manner contemplated in this Agreement; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;iv. it satisfies the definition of Eligible Contract Participant as defined in the Commodities Exchange Act.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**VII.** **Default** 

It is further understood that any of the following events shall constitute an event of default hereunder, and shall be herein referred to as an "<u>Event of Default</u>" or "<u>Events of Default</u>":

&nbsp;&nbsp;&nbsp;&nbsp;a. the failure of the Borrower to return any and all Loaned Assets and any New Tokens (where Loaned Assets is Digital Currency) as defined by Section V upon termination of any Loan in accordance with the terms herein and such failure continues for one (1) Business Day after Borrower's receipt of written notice thereof from the Lender;

&nbsp;&nbsp;&nbsp;&nbsp;b. the failure of Borrower to pay any and all Loan Fees, Late Fees, or Early Termination Fees when due hereunder, or to remit any New Tokens or pay any Hard Fork Fee in accordance with the terms herein and such failure continues for two (2) Business Day after Borrower's receipt of written notice thereof from the Lender;

&nbsp;&nbsp;&nbsp;&nbsp;c. the failure of the Borrower to transfer Collateral or Additional Collateral, as required herein;

&nbsp;&nbsp;&nbsp;&nbsp;d. a default by Borrower in the performance of any of the other agreements, conditions, covenants, provisions or stipulations contained in this Agreement and such default continues for ten (10) Business Days after Borrower's receipt of written notice thereof from the Lender; *provided, however,* for the avoidance of doubt, that this Section VII(d) shall not be deemed to apply with respect to any of the agreements, conditions, covenants, provisions or stipulations contained within Section IV of this Agreement;

&nbsp;&nbsp;&nbsp;&nbsp;e. any bankruptcy, insolvency, reorganization or liquidation proceedings or other proceedings for the relief of debtors or dissolution proceedings that are instituted by or against the Borrower and are not be dismissed within sixty (60) days of the initiation of said proceedings;

&nbsp;&nbsp;&nbsp;&nbsp;f. any representation or warranty made by either Party in any of the Loan Documents that proves to be incorrect or untrue in any material respect as of the date of making or deemed making thereof however, to the extent capable of cure, a party shall have five (5) Business Days to cure such default;

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&nbsp;&nbsp;&nbsp;&nbsp;g. any material or intentional misrepresentation or omission of information by the Borrower regarding the Borrower's financial status, business activities, or any other material aspect affecting the Borrower's creditworthiness or public reputation;

&nbsp;&nbsp;&nbsp;&nbsp;h. any event or circumstance occurs or exists that is a material adverse effect on the business, assets or financial condition of, the Borrower, taken as a whole, or a material adverse effect on the ability of the Borrower to perform its obligations under this Agreement to return, transfer, repay, or pay any and all Loaned Assets, and/or New Tokens and pay any applicable fee;

&nbsp;&nbsp;&nbsp;&nbsp;i. any indebtedness of Borrower in respect of borrowed money with any third party in the principal amount of at least $1,000,000 (whether present or future, contingent or otherwise, as principal or surety or otherwise) (a) is not paid when due after giving effect to any applicable grace period or (b) is declared to be due and payable, or is required to be prepaid, redeemed, purchased, or defeased, in each case prior to the stated maturity thereof (other than (i) by a regularly scheduled required prepayment, (ii) as a result of voluntary prepayment, (iii) as a result of a mandatory prepayment triggered by asset sales, casualty events, or excess cash flow sweeps, or (iv) in connection with a permitted refinancing);; or

&nbsp;&nbsp;&nbsp;&nbsp;j. the occurrence of any event of default or other similar condition or event (however described) in respect of Borrower under any agreements or instruments relating to an obligation (whether present or future, contingent or otherwise, as principal or surety or otherwise) with any FalconX Entity or in connection with the ISDA between FalconX Bravo, Inc. and Hut 8 Corp. (formerly U.S. Data Mining Group, Inc.).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**VIII.** **Remedies** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Where Loaned Assets is Digital Currency, in the event that the purchase price of any replacement Digital Currency pursuant to Section VIII (a)(3) & (a)(4) above exceeds the amount of the Collateral, Borrower shall be liable to Lender for the amount of such excess together with interest thereon in the amount of ten percent (10%) or as modified in the Term Sheet. As security for Borrower's obligation to pay such excess, Lender shall have, and Borrower hereby grants, a security interest in any property of Borrower then held by or for Lender and a right of setoff with respect to such property and any other amount payable by Lender to Borrower. Where Loaned Assets is Digital Currency, the purchase price of replacement Digital Currency purchased under this Section shall include, and the proceeds of any sale of Collateral shall be determined after deduction of, broker's fees and commissions and all other reasonable costs, fees and expense related to such purchase or sale (as the case may be). In the event Lender exercises its rights under this Section, Lender may elect in its sole discretion, in lieu of purchasing all or a portion of the replacement Digital Currencies or selling all or a portion of the Collateral, to be deemed to have made, respectively, such purchase of replacement Digital Currencies or sale of Collateral for an amount equal to the average spot price available therefor on the date of such exercise obtained from the Liquidity Exchanges.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. To the extent that the Loans are now or hereafter secured by property other than the Collateral, or by the guarantee, endorsement or property of any other person, then upon an Event of Default by Borrower, Lender shall have the right in its sole discretion to determine which rights, security, liens, security interests or remedies Lender shall at any time pursue, relinquish, subordinate, modify or take any other action with respect thereto, without in any way modifying or affecting any of them or any of Lender's rights hereunder.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. In connection with the exercise of its remedies pursuant to this Section VIII, Lender may (1) exchange, enforce, waive or release any portion of the Collateral or Loans in favor of the Lender or relating to any other security for the Loans; (2) apply such Collateral or security and direct the order or manner of sale thereof as the Lender may, from time to time, determine; and (3) settle, compromise, collect or otherwise liquidate any such Collateral or security in any manner following the occurrence of an Event of Default, without affecting or impairing the Lender's right to take any other further action with respect to any Collateral or security or any part thereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. Notwithstanding anything to the contrary contained in this Agreement, the obligation to repay any Loans hereunder, together with all Loan Fees, Late Fees, Early Termination Fees, or any other amounts owing hereunder shall, in the absence of Borrower's fraud or willful malfeasance, be non-recourse to the Borrower. Lender's sole recourse in respect of any Loan shall be to the Collateral pledged for such Loan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;f. In addition to its rights hereunder, the non-defaulting Party shall have any rights otherwise available to it under any other agreement or applicable law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;g. LIMITATION OF LIABILITY; THE PARTIES EXPRESSLY UNDERSTANDS AND AGREES THAT NEITHER PARTY, THEIR AFFILIATES AND SERVICE PROVIDERS, AND THEIR RESPECTIVE OFFICERS, DIRECTORS, AGENTS, JOINT VENTURERS, EMPLOYEES, AND REPRESENTATIVES WILL NOT BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, EXEMPLARY DAMAGES, OR DAMAGES FOR LOSS OF PROFITS INCLUDING WITHOUT LIMITATION DAMAGES FOR LOSS OF GOODWILL, USE, DATA, OR OTHER INTANGIBLE LOSSES (EVEN IF SUCH PARTY HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES), WHETHER BASED ON CONTRACT, TORT, NEGLIGENCE, STRICT LIABILITY, OR OTHERWISE, RESULTING FROM THE OTHER PARTY'S ACTIONS OR INACTIONS PURSUANT TO THIS AGREEMENT.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**IX.** **Rights and Remedies Cumulative.** 

No delay or omission by the Lender in exercising any right or remedy hereunder shall operate as a waiver of the future exercise of that right or remedy or of any other rights or remedies hereunder. All rights of the Lender stated herein are cumulative and in addition to all other rights provided by law, in equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**X.** **Survival of Rights and Remedies.** 

All remedies hereunder and all obligations with respect to any Loan shall survive the termination of the relevant Loan, return of Loaned Assets or Collateral, and termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XI.** **Collection Costs.** 

In the event Borrower fails to pay any amounts due or to return any Digital Currency or upon the occurrence of any Event of Default in Section VII hereunder, Borrower shall, upon demand, pay to Lender all reasonable costs and expenses, including without limitation, reasonable attorneys' fees and court costs, broker fees, and technology costs incurred by the Lender in connection with the enforcement of its rights hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XII.** **Governing Law; Dispute Resolution.** 

This Agreement shall be governed by, and construed and enforced in accordance with, the laws of the State of New York, United States. Any controversy, claim or dispute arising out of or relating to this Agreement or the breach thereof shall be settled solely and exclusively by binding arbitration in New York, New York, United States administered by JAMS. Such arbitration shall be conducted in accordance with the then prevailing JAMS Streamlined Arbitration Rules & Procedures, with the following exceptions to such rules if in conflict: (a) one arbitrator, who shall be a retired judge, shall be chosen by JAMS; (b) each Party to the arbitration will pay an equal share of the expenses and fees of the arbitrator, together with other expenses of the arbitration incurred or approved by the arbitrator; and (c) arbitration may proceed in the absence of any Party if written notice (pursuant to the JAMS' rules and regulations) of the proceedings has been given to such Party. Each Party shall bear its own attorneys' fees and expenses. The Parties agree to abide by all decisions and awards rendered in such proceedings. Such decisions and awards rendered by the arbitrator shall be final and conclusive. All such controversies, claims or disputes shall be settled in this manner in lieu of any action at law or equity.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XIII.** **Confidentiality.** 

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a. Each Party to this Agreement shall hold in confidence all information obtained from the other Party in connection with this Agreement and the transactions contemplated hereby, including without limitation any discussions preceding the execution of this Agreement (collectively, " <u>Confidential Information</u> "). Confidential Information shall not include information that the receiving Party demonstrates with competent evidence was, or becomes, (i) available to the public through no violation of this Section XIII, (ii) in the possession of the receiving Party on a non-confidential basis prior to disclosure, (iii) available to the receiving Party on a non-confidential basis from a source other than the other Party or its affiliates, subsidiaries, officers, directors, employees, contractors, attorneys, accountants, bankers or consultants (the " <u>Representatives</u> "), or (iv) independently developed by the receiving Party without reference to or use of such Confidential Information.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b. Each Party shall (i) keep such Confidential Information confidential and shall not, without the prior written consent of the other Party, disclose or allow the disclosure of such Confidential Information to any third party, except as otherwise herein provided, and (ii) restrict internal access to and reproduction of the Confidential Information to a Party's Representatives only on a need to know basis; provided, however, that such Representatives shall be under an obligation of confidentiality at least as strict as set forth in this Section XIII.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c. Each Party also agrees not to use Confidential Information for any purpose other than in connection with transactions contemplated by this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d. The provisions of this Section XIII will not restrict a Party from disclosing the other Party's Confidential Information to the extent required by any law, regulation, or direction by a court of competent jurisdiction or government agency or regulatory authority with jurisdiction over said Party; provided that the Party required to make such a disclosure uses reasonable efforts to give the other Party reasonable advance notice of such required disclosure in order to enable the other Party to prevent or limit such disclosure. Notwithstanding the foregoing, Lender may disclose the other Party's Confidential Information without notice pursuant to a written request by a governmental agency or regulatory authority.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;e. The obligations with respect to Confidential Information shall survive for a period of three (3) years from the date of this Agreement. Notwithstanding anything in this agreement to the contrary, a Party may retain copies of Confidential Information (the " <u>Retained Confidential Information</u> ") to the extent necessary (i) to comply with its recordkeeping obligations, (ii) in the routine backup of data storage systems, and (iii) in order to determine the scope of, and compliance with, its obligations under this Section XIII; provided, however, that such Party agrees that any Retained Confidential Information shall be accessible only by legal or compliance personnel of such Party and the confidentiality obligations of this Section XIII shall survive with respect to the Retained Confidential Information for so long as such information is retained.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XIV.** **Notices.** 

Unless otherwise provided in this Agreement, all notices or demands relating to this Agreement shall be in writing and shall be personally delivered or sent by Express or certified mail (postage prepaid, return receipt requested), overnight courier, electronic mail (at such email addresses as a Party may designate in accordance herewith), or to the respective address set forth below. Notices shall be deemed to be received upon receipt by recipient and if a notice other than a notice transmitted via email is received after Close of Business such notice shall be deemed to have been received at 8:00 am (New York time) on the following Business Day.

**Lender**:

Name: FalconX Charlie, Inc

Address: 1850 Gateway Dr, 6th floor - San Mateo CA 94404 US

Attn: Legal Team

Email: [REDACTED], with a copy to [REDACTED]

**Borrower**:<br>Name: HUT 8 MINING CORP. <br>Address: 4701 Tahoe Blvd, Suite 201, Mississauga ON L4W 0B5

------

Attn: Sean Glennan<br>Email: [REDACTED]

With a copy to [REDACTED] and [REDACTED].

Either Party may change its address by giving the other Party written notice of its new address as herein provided.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XV.** **Modifications.** 

All modifications or amendments to this Agreement or any Term Sheet shall be effective only when reduced to writing and signed by both parties hereto. Such modifications or amendments may be made through additional language included in a Loan Term Sheet or through the execution of an agreement by the Borrower with a FalconX Entity (including, but not limited to Falcon Labs, Ltd), in which scenario the FalconX Entity shall have the full authorization and power of Lender to modify or revise this Agreement on behalf of Lender

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XVI.** **Single Agreement** 

Borrower and Lender acknowledge that, and have entered into this Agreement in reliance on the fact that, all Loans hereunder constitute a single business and contractual relationship and have been entered into in consideration of each other. Accordingly, Borrower and Lender hereby agree that payments, deliveries, and other transfers made by either of them in respect of any Loan shall be deemed to have been made in consideration of payments, deliveries, and other transfers in respect of any other Loan hereunder, and the obligations to make any such payments, deliveries and other transfers may be applied against each other and netted. In addition, Borrower and Lender acknowledge that, and have entered into this Agreement in reliance on the fact that, all Loans hereunder have been entered into in consideration of each other. Accordingly, Borrower and Lender hereby agree that (a) each shall perform all of its obligations in respect of each Loan hereunder, and that a default in the performance of any such obligation by Borrower or by Lender (the "<u>Defaulting Party</u>") in any Loan hereunder shall constitute a default by the Defaulting Party under all such Loans hereunder, and (b) the non-defaulting Party shall be entitled to set off claims and apply property held by it in respect of any Loan hereunder against obligations owing to it in respect of any other Loan with the Defaulting Party.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XVII.** **Entire Agreement.** 

This Agreement, each exhibit referenced herein, and all Loan Term Sheets constitute the entire Agreement among the parties with respect to the subject matter hereof and supersedes any prior negotiations, understandings and agreements. Nothing in this Section XVII shall be construed to conflict with or negate Section XVI above.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XVIII.** **Successors and Assigns.** 

This Agreement shall bind and inure to the benefit of the respective successors and assigns of each of the parties; provided, that neither Party may assign this Agreement or any rights or duties hereunder without the prior written consent of the other Party (such consent to not be unreasonably withheld). Neither this Agreement nor any provision hereof, nor any Exhibit hereto or document executed or delivered herewith, or Loan Term Sheet hereunder, shall create any rights in favor of or impose any obligation upon any person or entity other than the parties hereto and their respective successors and permitted assigns*.* For the avoidance of doubt, any and all claims and liabilities against the Lender or Borrower arising in any way out of this Agreement are only the obligation of the Lender or Borrower, as applicable, and not any of its parents or affiliates. The Parties agree that none of the Lender's or Borrower's parents or affiliates shall have any liability under this Agreement nor do such related entities guarantee any of the Lender's or Borrower's respective obligations under this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XIX.** **Severability of Provisions.** 

Each provision of this Agreement shall be severable from every other provision of this Agreement for the purpose of determining the legal enforceability of any specific provision.

------

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XX.** **Counterpart Execution.** 

This Agreement may be executed in any number of counterparts and by different parties on separate counterparts, each of which, when executed and delivered, shall be deemed to be an original, and all of which, when taken together, shall constitute but one and the same Agreement. Delivery of an executed counterpart of this Agreement by email or other electronic method of transmission shall be equally as effective as delivery of an original executed counterpart of this Agreement. Any Party delivering an executed counterpart of this Agreement by email or other electronic method of transmission also shall deliver an original executed counterpart of this Agreement but the failure to deliver an original executed counterpart shall not affect the validity, enforceability, and binding effect of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXI.** **Relationship of Parties.** 

Nothing contained in this Agreement shall be deemed or construed by the Parties, or by any third party, to create the relationship of partnership or joint venture between the parties hereto, it being understood and agreed that no provision contained herein shall be deemed to create any relationship between the parties hereto other than the relationship of Borrower and Lender.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXII.** **No Waiver.** 

The failure of or delay by either Party to enforce an obligation or exercise a right or remedy under any provision of this Agreement or to exercise any election in this Agreement shall not be construed as a waiver of such provision, and the waiver of a particular obligation in one circumstance will not prevent such Party from subsequently requiring compliance with the obligation or exercising the right or remedy in the future. No waiver or modification by either Party of any provision of this Agreement shall be deemed to have been made unless expressed in writing and signed by both parties.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXIII.** **Indemnification.** 

The Borrower shall indemnify and hold harmless the Lender, or any of its parents or affiliates, and each of the foregoing's respective directors, officers, contractors and employees (each, an "<u>Indemnified Party</u>") from and against any and all third party claims, demands, losses, expenses and liabilities of any and every nature (including reasonable attorneys' fees of the Party choosing to defend against any such claims, demands, losses, expenses and liabilities) that it may sustain or incur or that may be asserted against it arising out of the lending or borrowing of Digital Currency or U.S. Dollars under this Agreement, except for any and all claims, demands, losses, expenses and liabilities arising out of or relating to such Indemnified Party's bad faith, gross negligence or willful misconduct; provided, that this indemnity shall not apply with respect to Taxes other than any Taxes that represent losses, claims, damages, etc. arising from any non-Tax claim. This indemnity shall be a continuing obligation of each Party, its successors and assigns, notwithstanding the termination of this Agreement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXIV.** **Term and Termination.** 

Subject to Section VII (Remedies), the Term of this Agreement shall commence on the date hereof and continue unless either Party provides written notice of its intention to terminate this Agreement to the other Party on no less than thirty (30) days' notice, in which case this Agreement shall terminate on the date specified by such party in such notice of termination, provided that if there are any Loans outstanding at the time either Party sends a notice of termination pursuant to this Section XXIV, such termination of this Agreement will not be effective until all Loans are terminated and repaid in full in accordance with the terms herein.

Notwithstanding anything to the contrary in this Agreement, in the event of a termination of this Agreement, all accrued and unpaid fees and other amounts hereunder shall be due and payable immediately.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXV.** **No Reliance.** 

**Except as expressly set forth in this Agreement, each party acknowledges that it is entering into this Agreement based solely upon its own investigation and evaluation, and not in reliance upon any statement, representation, warranty, or agreement of the other party except those specifically included in this Agreement. Each party acknowledges that no representation or warranty not specifically contained in this Agreement has been made by or on behalf of the other party.**

**Each party further acknowledges that it has had such opportunity as it deems necessary to independently verify the information contained herein, and to seek advice from its own legal, tax, and business advisors and such other experts as it has deemed necessary in connection with its decision to enter into this Agreement.**

------

**To the extent that, prior to the execution of this Agreement, either party has received or may receive information from the other party, that party understands and agrees that it is not relying on any such information in deciding to engage in this transaction, unless such information is expressly incorporated into this Agreement.**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXVI.** **Miscellaneous.** 

Whenever used herein, the singular number shall include the plural, the plural the singular, and the use of the masculine, feminine, or neuter gender shall include all genders where necessary and appropriate. This Agreement is solely for the benefit of the parties hereto and their respective successors and assigns, and no other Person shall have any right, benefit, priority or interest under, or because of the existence of, this Agreement. The section headings are for convenience only and shall not affect the interpretation or construction of this Agreement. The Parties acknowledge that the Agreement and any Lending Request are the result of negotiation between the Parties which are represented by sophisticated counsel and therefore none of the Agreement's provisions will be construed against the drafter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**XXVII.** **Perfection and Security Interest.** 

Borrower shall take at its own expense all such actions that may be necessary and that Lender may reasonably request so as at all times to maintain the validity, perfection, enforceability and first priority of Lender's security interest in and lien on the Collateral and to enable Lender to protect, exercise or enforce its rights hereunder and in the Collateral, including, but not limited to, (i) promptly discharging all liens on the Collateral other than Lender's security interest or any other liens permitted by this Agreement and (ii) executing and delivering financing statements, control agreements, security agreements, custody agreements, instruments of pledge, notices and assignments, in each case, in form and substance satisfactory to Lender, relating to the creation, validity, perfection, maintenance or continuation of Lender's security interest in and lien on the Collateral under the UCC or other applicable law. Borrower hereby authorizes Lender to file against Borrower one or more financing, continuation or amendment statements pursuant to the UCC (or its equivalent), in each case, in the appropriate jurisdiction and in form and substance satisfactory to Lender.

*[Signature page follows]*

------

**IN WITNESS WHEREOF**, the parties have caused this Agreement to be executed and delivered as of the Effective Date.

---

| | | | |
|:---|:---|:---|:---|
| **LENDER**: | **LENDER**: | **BORROWER**: | **BORROWER**: |
| FalconX Charlie, Inc | FalconX Charlie, Inc | HUT 8 MINING CORP. | HUT 8 MINING CORP. |
| By: | /s/ Matthew Whaley | By:  | /s/ Sean Glennan |
| Name: | Matthew Whaley | Name: | Sean Glennan |
| Title: | Authorized Signatory | Title: | Chief Financial Officer |

---

------

**EXHIBIT A**

**Authorized Agents.** The following are authorized to deliver Lending Requests on behalf of Borrower in accordance with Section II hereof:

Name: Sean Glennan

Email: [REDACTED]

Name: Sam Gage

Email: [REDACTED]

Borrower may change its Authorized Agents by notice given to Lender as provided herein.

------

**EXHIBIT B**

**LOAN TERM SHEET**

This Loan Term Sheet, dated as of May 1, 2026 (the "<u>Loan Effective Date</u>"), between **FALCONX CHARLIE, INC.** ("<u>Lender</u>") and **HUT 8 MINING CORP.** ("<u>Borrower</u>") incorporates all of the terms of the Master Lender Agreement ("<u>Agreement</u>") between Lender and Borrower, dated as of May 1, 2026, as per the following specific terms:

---

| | |
|:---|:---|
| Lender: | FalconX Charlie, Inc. |
| Borrower: | Hut 8 Mining Corp. |
| Loaned Assets: | USD $200,000,000 |
| Loan Fee: | 7.00% |
| Loan Type: | Term Loan with Prepayment Option |
| Maturity Date: | April 30, 2027 |
| Collateral: | BTC |
| Initial Collateral Ratio: | 143% |
| Margin Call Limit: | 130% |
| Default Limit: | 105% (Liquidation Threshold/Default Limit) |
| Refund Limit: | 163% |
| Call Option: | No |
| Prepayment Option: | Applicable; provided that the Prepayment Option may only be exercised, partially or in full, after six (6) months have passed following the Loan Effective Date. Where Borrower seeks to terminate the Loan after six (6) months have passed following the Loan Effective Date, no Early Termination Fee shall be charged to Borrower by Lender. Any attempted prepayment or termination by Borrower prior to the date that is six (6) months following the Loan Effective Date shall result in an Early Termination Fee, as described below. |
| Early Termination Fee: | If Borrower seeks to terminate the Loan within the first six (6) months following the Loan Effective Date, then (i) where Early Termination is the direct result of a corporate action or strategy change, including, for the avoidance of doubt, general deleveraging, demonstrable by written corporate materials disclosed by Borrower, the Early Termination Fee will equal 0.125% of the Loaned Assets amount returned prior to the Maturity Date, or (ii) where Early Termination is for any other reason, the Early Termination Fee will equal 0.25% of the Loaned Assets amount returned prior to the Maturity Date. |
| Assignment: | Borrower hereby grants consent to Lender for Lender to assign all of Lender's right, title and interest in, to and under the Loan described in this Loan Term Sheet. For the avoidance of doubt, execution of this Loan Term Sheet shall satisfy the written consent requirement in Section XVIII of the Agreement. |

---

*[Signature page follows.]*

------

**IN WITNESS WHEREOF**, the parties have caused this Agreement to be executed and delivered as of the date hereof.

---

| | | | |
|:---|:---|:---|:---|
| **FALCONX CHARLIE, INC.** | **FALCONX CHARLIE, INC.** | **HUT 8 MINING CORP.** | **HUT 8 MINING CORP.** |
| By: | /s/ Matthew Whaley | By:  | /s/ Sean Glennan |
| Name: | Matthew Whaley | Name: | Sean Glennan |
| Title: | Authorized Signatory | Title: | Chief Financial Officer |

---

------

**EXHIBIT C**

**COLLATERAL CERTIFICATE**

**FORM OF OFFICER'S CERTIFICATE**

**REGARDING UNENCUMBERED COLLATERAL AND**

**COMMITMENT TO TRANSFER COLLATERAL**

*(Delivered Pursuant to Section [__] of the Loan Agreement)*

**Date:** [____________], 20[__]

**To:** FalconX Charlie, Inc.

1850 Gateway Drive, 6<sup>th</sup> Floor San Mateo, CA 94404

**From:** Hut 8 Mining Corp. (the "Borrower")

4701 Tahoe Blvd, Suite 201, Mississauga, Ontario, Canada L4W 0B5

**Re:** Officer's Certificate — Margin Notification dated [____________], 20[__] (the "Margin Notification") delivered pursuant to the Master Lender Agreement dated as of [____________], 20[__] (as amended, the "Loan Agreement"), by and between the Borrower and FalconX Charlie, Inc. (the "Lender")

------

The undersigned, [Name], in [his/her] capacity as [Title] of Hut 8 Mining Corp (the "Borrower") and not in my personal capacity, hereby certifies as follows in connection with the Margin Notification referenced above, delivered by the Lender on [date] at [time] (the "Margin Notification Time"), indicating that the Collateral Ratio has reached or fallen below 130% (the "Margin Call Limit"). Any undefined terms used in this certificate (the "Certificate") shall have the meaning ascribed to such terms in the Loan Agreement.

**1.** **Capacity and Authority.**

I am a duly authorized officer of the Borrower and am authorized to execute and deliver this Certificate on behalf of the Borrower. I am familiar with the terms of the Loan Agreement, including the provisions related to Margin Calls, Initial Collateral Ratio, Additional Collateral requirements, and the non-recourse nature of the Loans.

**2.** **Unencumbered Bitcoin Balance.**

As of the date and time of this Certificate, the Borrower holds the following unencumbered Bitcoin ("BTC") that is not subject to any lien, pledge, security interest, encumbrance, or other restriction on transfer:

---

| | |
|:---|:---|
| &nbsp;&nbsp;**Description** | &nbsp;&nbsp;**Amount** |
| &nbsp;&nbsp;Total Unencumbered BTC held by Borrower  | &nbsp;&nbsp;[______] BTC |
| &nbsp;&nbsp;Custodian holding such BTC | &nbsp;&nbsp;[Coinbase / BitGo______] |
| &nbsp;&nbsp;Approximate USD value (at current market price) | &nbsp;&nbsp;$[____________] |
| &nbsp;&nbsp;BTC required to cure Margin Call (the "Collateral") | &nbsp;&nbsp;[______] BTC |
| &nbsp;&nbsp;Time of BTC valuation | &nbsp;&nbsp;[_______] ET |
| &nbsp;&nbsp;Source for BTC Price |  |

---

------

**3.** **Commitment to Transfer Collateral.**

The Borrower hereby confirms that it is commencing, or will promptly commence, the transfer of Additional Collateral comprised of the Collateral noted above to the Lender's designated wallet or custodial account in an amount sufficient to restore the Collateral Ratio to the Initial Collateral Ratio for purposes of the Margin Notification. The Borrower will use commercially reasonable efforts to complete the Additional Collateral transfer as soon as reasonably practicable, subject to custodial processing times and operational requirements, and consistent with applicable terms and provisions in the Loan Agreement.

**4.** **Representations.**

The Borrower represents and warrants to the Lender that, as of the date hereof:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) the Collateral described in Section 2 above is owned by the Borrower free and clear of all liens, pledges, security interests, encumbrances, or other restrictions on transfer (other than applicable securities laws or regulations);

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) the Borrower has sufficient unencumbered Collateral to satisfy the Additional Collateral requirements in the Margin Notification in full;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) the Borrower has initiated, or will promptly initiate, custodial instructions to effectuate the Additional Collateral transfer required under the Margin Notification;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) no event has occurred that would prevent or materially delay the completion of the Additional Collateral transfer required under the Margin Notification; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e) for the avoidance of doubt, the Collateral referenced herein shall constitute the "Collateral" for purposes of Section VIII(e) of the Loan Agreement in respect of the Margin Notification.

**5.** **No Amendment.**

For the avoidance of doubt, this Certificate is delivered solely for informational and operational purposes in connection with the Margin Notification and, except as explicitly noted in Section 4(e) above, shall not be construed to amend the Loan Agreement or create, establish, or imply any additional obligations or liabilities on the Borrower, its parents or affiliates and any employees, directors, shareholders, partners or members thereof.

**6.** **Governing Law.**

This Certificate shall be governed by and construed in accordance with the governing law provisions of the Loan Agreement.

**IN WITNESS WHEREOF**, the undersigned has executed this Certificate as of the date first written above.

**HUT 8 MINING CORP.**

<u>*Signature*</u>

Name: [________________________]

Title: [________________________]

------

## Exhibit 31.1

**Exhibit 31.1**

**CERTIFICATION PURSUANT TO**

**RULES 13a-14(a) AND 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934, AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Asher Genoot, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Hut 8 Corp.;

&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: May 6, 2026

---

| | |
|:---|:---|
| By: | /s/ Asher Genoot |
| Name: | Asher Genoot |
| Title: | Chief Executive Officer |

---

------

## Exhibit 31.2

**Exhibit 31.2**

**CERTIFICATION PURSUANT TO**

**RULES 13a-14(a) AND 15d-14(a) UNDER THE SECURITIES EXCHANGE ACT OF 1934**

**AS ADOPTED PURSUANT TO SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002**

I, Sean Glennan, certify that:

&nbsp;&nbsp;&nbsp;&nbsp;1. I have reviewed this Quarterly Report on Form 10-Q of Hut 8 Corp.;

&nbsp;&nbsp;&nbsp;&nbsp;2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

&nbsp;&nbsp;&nbsp;&nbsp;3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

&nbsp;&nbsp;&nbsp;&nbsp;4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

&nbsp;&nbsp;&nbsp;&nbsp;5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Date: May 6, 2026

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| | |
|:---|:---|
| By: | /s/ Sean Glennan |
| Name: | Sean Glennan |
| Title: | Chief Financial Officer |

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## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION OF CEO AND CFO PURSUANT TO 18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO**

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002**

In connection with the Quarterly Report on Form 10-Q of Hut 8 Corp. (the "Company") for the quarter ended March 31, 2026 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), Asher Genoot, as Chief Executive Officer of the Company, and Sean Glennan, as Chief Financial Officer of the Company, each hereby certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

&nbsp;&nbsp;&nbsp;&nbsp;(1) The Report fully complies with the requirements of Section 13(a) or Section 15(d) of the Securities Exchange Act of 1934; and

&nbsp;&nbsp;&nbsp;&nbsp;(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated: May 6, 2026

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| | |
|:---|:---|
| By: | /s/ Asher Genoot |
| Name: | Asher Genoot |
| Title: | Chief Executive Officer |

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| | |
|:---|:---|
| By: | /s/ Sean Glennan |
| Name: | Sean Glennan |
| Title: | Chief Financial Officer |

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