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Section IV · Five Pillars, In Depth

The five structural pillars behind the thesis

1. Structural Energy Cost Advantage

The single largest cost line in industrial Bitcoin mining is electricity. SunBit's $0.04/kWh contracted rate against a $0.19/kWh GRU commercial grid alternative is a 79% structural reduction that persists across every phase of the fleet — it is not a promotional rate subject to renegotiation risk in the base case.

2. Non-Dilutive Scalability via SBA Financing

Each hardware phase — 24, then 48, then 96 rigs — is designed to be financed through SBA 7(a) debt rather than successive equity rounds, preserving the Founding Round Investor's and Founders/Management Pool's ownership percentages through the scale-up.

3. Pool Mining at Scale

The June 30, 2026 pivot from solo to pool mining converts binary, lottery-style solo-mining outcomes into steady, forecastable BTC production — the basis for every revenue projection on this page.

4. Operating Discipline & Infrastructure Readiness

Corporate formation, tax compliance, banking, and equipment appraisal work is being completed ahead of the financing and listing timeline — positioning SunBit to move quickly once SBA approval and IPO windows open.

5. Public-Market Pathway

A targeted July 12, 2027 NYSE American (AMEX) listing is the milestone that converts private equity value into a liquid, market-priced asset for shareholders — treated throughout this site as a target, not a guarantee.

Illustrative Sensitivity

What could move the thesis

Four variables carry the most influence over outcomes. Each is shown with its effect in both directions.

VariableIf It ImprovesIf It Worsens
BTC PriceRevenue and NOI scale up directly; EV illustrations understate upside since no appreciation is assumed in the base case.Revenue and NOI compress; energy cost as a share of revenue rises, pressuring SBA debt service coverage.
Network DifficultySlower difficulty growth preserves BTC/rig production above modeled levels.Faster difficulty growth (more global hashrate) reduces BTC produced per rig versus projections.
SBA Approval TimingFaster approval accelerates the Phase 1–3 hardware buildout and IPO-readiness timeline.Delayed approval pushes phase transitions later, compressing the runway to the IPO target date.
Secondary-Market Hardware PricingCheaper used ASIC supply (e.g., from large miners rotating to AI compute) lowers capex per TH/s.Tighter secondary-market supply raises the cost of reaching Phase 2 and Phase 3 hashrate targets.
Section V · Capital Structure

Common stock, single class

ClassAuthorizedOutstandingVoting
Common Stock10,000,0002,000,0001 vote/share

Converted June 30, 2026.

Ownership

Founding & reserved pool split

HolderShares%Cost Basis
Founding Round Investor2,000,00020%$100,000
Founders / Management / Reserved Pool8,000,00080%
Bitcoin Standard Treasury Policy

Treasury is held in BTC, not converted to cash

SunBit was capitalized with a 1 BTC founder loan, and the company's treasury policy holds mined Bitcoin rather than converting it to USD — a monetary discipline that mirrors the founder's personal investment approach.

BTC Standard Performance Benchmarks
PhaseBTC Produced / MoBTC Held, Est. Annual
Phase 0~0.15~1.80
Phase 1~1.04~12.48
Phase 2~2.07~24.84
Phase 3~4.15~49.80
Section VII · Financial Projections

Gross revenue, NOI & energy cost by phase

Modeled with a fixed BTC reference price of $62,530 (July 3, 2026) and no price appreciation assumed — a deliberately conservative base case.

Phase-by-phase financials (annualized, USD)

Gross Revenue vs. Net Operating Income vs. Energy Cost · fixed BTC price, no appreciation assumed

PhaseGross RevenueNOIEnergy Cost
Phase 0$21,900$15,067$6,833
Phase 1$87,600$57,241$30,359
Phase 2$175,200$114,483$60,717
Phase 3$350,400$228,965$121,435
BTC Production Growth

Monthly BTC production scales with the fleet

BTC produced per month, by phase

Illustrates production scaling as the rig count grows from 6 to 96

Illustrative Enterprise Value

Applying an 8x NOI multiple as one illustrative example: Phase 1 NOI of $57,241 implies an EV of approximately $457,928; Phase 3 NOI of $228,965 implies an EV of approximately $1.83M. These multiples are illustrative only — investors should substitute their own multiple assumptions. Critically, BTC treasury value is not included in this EV illustration.

Margin & Coverage

Margins hold as the fleet scales

MetricPhase 0Phase 1–3
Gross Margin~68.8%settling to ~65.3%
Energy Cost as % of Revenue~31.2%~34.7%
SBA Debt Service Coverage~0.82x (pre-scale)~1.6x, comfortably covered at full fleet
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See the roadmap behind these numbers