Bit Digital, Inc. Completes Transition from Foreign Private Issuer Status to Domestic Filer Status

Rhea-AI Summary

Bit Digital (NASDAQ: BTBT), a New York-based global platform for high-performance computing infrastructure and digital asset production, has announced its transition from foreign private issuer to domestic issuer status under U.S. securities regulations, effective January 1, 2025. This strategic change demonstrates the company's dedication to transparency, operational growth, and alignment with U.S. market expectations while simplifying its regulatory compliance framework.

Positive

• Transition to domestic issuer status may enhance transparency and investor confidence
• Streamlined regulatory compliance framework could reduce administrative costs
• Stronger alignment with U.S. market standards may attract institutional investors

Negative

• None.

News Market Reaction

+5.15%

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+5.15% News Effect

On the day this news was published, BTBT gained 5.15%, reflecting a notable positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

NEW YORK, Jan. 6, 2025 /PRNewswire/ -- Bit Digital, Inc. (Nasdaq: BTBT) ("Bit Digital" or the "Company"), a global platform for high-performance computing ("HPC") infrastructure and digital asset production headquartered in New York, announced today that as of January 1, 2025, it officially transitioned to domestic issuer status under U.S. securities regulations.

The change reflects the Company's commitment to transparency, operational growth, U.S. market expectations, and streamlines its regulatory compliance framework.

About Bit Digital
Bit Digital, Inc. is a global platform for high-performance computing ("HPC") infrastructure and digital asset production headquartered in New York City. Our bitcoin mining operations are located in the US, Canada, and Iceland. For additional information, please contact ir@bit-digital.com or visit our website at www.bit-digital.com.

Investor Notice
Investing in our securities involves a high degree of risk. Before making an investment decision, you should carefully consider the risks, uncertainties and forward-looking statements described under "Risk Factors" in Item 3.D of our Annual Report on Form 20-F for the fiscal year ended December 31, 2023 ("Annual Report"). Notwithstanding the fact that Bit Digital Inc. has not conducted operations in the PRC since September 30, 2021 we have previously disclosed under Risk Factors in our Annual Report: "We may be subject to fines and penalties for any noncompliance with or any liabilities in our former business in China in a certain period from now on." Although the statute of limitations for non-compliance by our former business in the PRC is generally two years and the Company has been out of the PRC, for more than two years, the Authority may still find its prior bitcoin mining operations involved a threat to financial security. In such event, the two-year period would be extended to five years. If any material risk was to occur, our business, financial condition or results of operations would likely suffer. In that event, the value of our securities could decline and you could lose part or all of your investment. The risks and uncertainties we describe are not the only ones facing us. Additional risks not presently known to us or that we currently deem immaterial may also impair our business operations. In addition, our past financial performance may not be a reliable indicator of future performance, and historical trends should not be used to anticipate results in the future. Future changes in the network-wide mining difficulty rate or bitcoin hash rate may also materially affect the future performance of Bit Digital's production of bitcoin. Actual operating results will vary depending on many factors including network difficulty rate, total hash rate of the network, the operations of our facilities, the status of our miners, and other factors. See "Safe Harbor Statement" below.

Safe Harbor Statement
This press release may contain certain "forward-looking statements" relating to the business of Bit Digital, Inc., and its subsidiary companies. All statements, other than statements of historical fact included herein are "forward-looking statements." These forward-looking statements are often identified by the use of forward-looking terminology such as "believes," "expects," or similar expressions, involving known and unknown risks and uncertainties. Although the Company believes that the expectations reflected in these forward-looking statements are reasonable, they do involve assumptions, risks and uncertainties, and these expectations may prove to be incorrect. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website at http://www.sec.gov. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.

 

 

 

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SOURCE Bit Digital, Inc.

FAQ

What does Bit Digital's (BTBT) transition to domestic issuer status mean for investors?

The transition means BTBT will follow domestic U.S. securities regulations, potentially offering enhanced transparency and alignment with U.S. market standards, which could benefit investors through improved disclosure and reporting practices.

When did Bit Digital (BTBT) complete its transition to domestic issuer status?

Bit Digital completed its transition to domestic issuer status on January 1, 2025.

How will BTBT's regulatory compliance change after becoming a domestic issuer?

As a domestic issuer, BTBT will follow U.S. securities regulations more closely, streamlining its regulatory compliance framework and adhering to U.S. market expectations.

What are the benefits of BTBT's transition from foreign private issuer to domestic status?

The transition benefits include enhanced transparency, streamlined regulatory compliance, better alignment with U.S. market expectations, and potential operational growth opportunities.