What the changes say
- The company divested its prior diagnostics business and transitioned to a digital asset-focused software strategy in Web3 and AI.
What changed since the prior 10-K
New
- NewRisks Related to Our Business
We have a history of negative cash flows and will require additional financing to execute our business strategy
We incurred a net loss of $16.9 million for 2025 and require additional financing to execute our digital asset and software strategy.
- NewRisks Related to Our Business
We are in an early-stage development phase under our current business model
We have a limited operating history under our new digital asset software model after divesting our prior diagnostics business.
- NewRisks Related to Our Business
Our customer-facing platforms may not achieve user adoption or generate revenue
Our BesTrade and RWA + EAI platforms may fail to attract and retain users, impairing subscription and other revenue.
- NewRisks Related to Our Business
Our software development efforts may be delayed, exceed budget, or fail to perform as intended
Software development for BesTrade and RWA + EAI may experience delays, budget overruns, technical errors, or vulnerabilities.
- NewRisks Related to Our Business
Our AI Blockchain platform is internally developed and may not function as intended
Our internally developed AI Blockchain platform may contain errors or vulnerabilities that impair decision-making or financial reporting.
- NewRisks Related to Our Business
We are exposed to significant digital asset price volatility
We maintain a C10 digital asset treasury portfolio and are exposed to extreme price volatility beyond our control.
- NewRisks Related to Our Business
The regulatory environment surrounding digital assets, tokenization, and AI-enabled financial tools is evolving and uncertain
Evolving regulatory frameworks for digital assets, tokenization, and AI tools could increase compliance costs or require business model modifications.
- NewRisks Related to Our Business
Our platforms could be subject to regulatory classification that imposes additional obligations
Regulators might determine that BesTrade requires broker, exchange, or custodian licensing and registration.
- NewRisks Related to Our Business
We depend on third-party service providers for technology infrastructure and digital asset custody
We depend on third-party service providers for hosting infrastructure, data services, and digital asset custody.
- NewRisks Related to Our Business
Our “C10” Treasury strategy subjects our financial condition to extreme market volatility
Our Common Stock may trade as a high-beta proxy for our concentrated C10 digital asset treasury basket.
- NewRisks Related to Our Business
Concentration of Control and Sole Custody of Digital Assets May Expose the Company to Significant Financial and Operational Risks
The Faraday-appointed Co-CEO has sole access to crypto accounts, creating a single point of failure and risk of total loss.
- NewRisks Related to Our Business
We are undergoing a transition from a clinical-stage oncology company (Qualigen) to an AI and digital asset infrastructure ecosystem provider. There is no guarantee that our management’s historical experience will translate to success in the decentralized infrastructure space
We rely on a strategic relationship with Faraday Future to fuel our decentralized AI models and on-chain strategies.
- NewRisks Related to Our Business
The future development and growth of crypto is subject to a variety of factors that are difficult to predict and evaluate. If crypto does not grow as we expect, our business, operating results, and financial condition could be adversely affected
- NewRisks Related to Our Business
We operate in a highly competitive industry and we compete against unregulated or less regulated companies and companies with greater financial and other resources, and our business, operating results, and financial condition could be adversely affected if we are unable to compete effectively
- NewRisks Related to Our Business
Due to our limited operating history, it may be difficult to evaluate our business and future prospects, and we may not be able to achieve or maintain profitability in any given period
- NewRisks Related to Our Business
Key business metrics and other estimates are subject to inherent challenges in measurement and change as our business evolves, and our business, operating results, and financial condition could be adversely affected by real or perceived inaccuracies in those metrics or any changes in metrics we disclose
- NewRisks Related to Our Business
Adverse economic conditions could adversely affect our business
- NewRisks Related to Our Business
If we fail to maintain an effective system of disclosure controls and procedures and internal control over our financial reporting, our ability to produce timely and accurate financial statements or comply with applicable regulations could be impaired
- NewRisks Related to Our Business
We may require additional capital to support business growth, and this capital might not be available
- NewRisks Related to Our Business
Pending SEC Enforcement Actions Against Our Co-CEO, Chief Advisor, and Lead Investor Could Materially Disrupt Our Operations and Restrict Access to Our Treasury Assets
- NewRisks Related to Our Intellectual Property
If we are unable to obtain, maintain, and enforce adequate intellectual property protection for our core technologies, our competitors could develop and commercialize similar products, which would materially and adversely affect our business
- NewRisks Related to Our Intellectual Property
Claims by third parties that we infringe upon their intellectual property rights could be costly, time-consuming, and materially and adversely affect our business
- NewRisks Related to Our Intellectual Property
We heavily rely on trade secrets and confidentiality agreements to safeguard our competitive advantage, and these measures may not adequately protect our proprietary information
- NewRisks Related to Our Intellectual Property
Limitations on intellectual property protection in certain jurisdictions outside the United States could adversely affect our global competitive position
- NewGeneral Risks
The requirements of being a public company may strain our resources and divert management’s attention
- NewGeneral Risks
Periods of rapid growth and expansion could place a significant strain on our resources, including our employee base, which could negatively impact our operating results
- NewGeneral Risks
Macroeconomic and financial market disruptions may adversely affect our liquidity, operations, and results
- NewGeneral Risks
Heightened public scrutiny and negative publicity could damage our reputation and adversely affect our business and prospects
- NewGeneral Risks
Certain data and information in this Annual Report were obtained from third-party sources and were not independently verified by us
Dropped
- DroppedRisks Related to Our Business
Various factors raise substantial doubt about the Company’s ability to continue as a going concern
Incurred net loss of $6.3 million and accumulated deficit of $123.1 million for 2024 raising going concern doubts.
- DroppedRisks Related to Our Business
Any failure to develop or maintain effective internal controls over financial reporting or difficulties encountered in implementing or improving our internal controls over financial reporting could harm our operating results and prevent us from meeting our reporting obligations
Failure to develop or maintain effective internal controls over financial reporting could harm operating results.
- DroppedRisks Related to Our Business
Continued uncertain economic conditions, including inflation and the risk of a global recession could impair our ability to forecast and may harm our business, operating results, including our revenue growth and profitability, financial condition and cash flows
Uncertain economic conditions including inflation and risk of a global recession could impair ability to forecast.
- DroppedRisks Related to Our Business
We will need additional financing in order to grow our business
- DroppedRisks Related to Our Business
Geopolitical conditions, including direct or indirect acts of war or terrorism, could have an adverse effect on our operations and financial results
- DroppedRisks Related to Our Business
We are subject to litigation, which could result in significant expenses and negatively impact our business, financial condition, and results of operations
Need additional financing to expand operations to meet customer demand.
- DroppedRisks related to regulatory approval
Changes in product candidate manufacturing or formulation may result in additional costs or delay
Geopolitical conditions and acts of war could disrupt operations.
- DroppedRisks related to regulatory approval
Even if our product candidates receive regulatory approval, we will be subject to ongoing obligations and continued regulatory review, which may result in significant additional expense and limit how we manufacture and market our products
Lifesci Capital LC filed a lawsuit against us in USDCSDNY seeking $503,483 in breach of contract damages.
- DroppedRisks related to regulatory approval
If we are slow or unable to adapt to changes in existing requirements, standards of care, or the adoption of new requirements or policies, or if we are not able to maintain regulatory compliance, we may lose any marketing approval that we may have obtained and be subject to regulatory enforcement action
Changes in product candidate manufacturing or formulation may result in additional costs or delay.
- DroppedRisks related to commercialization
If we are unable to establish effective marketing, sales and distribution capabilities or enter into agreements with third parties to market and sell our product candidates, if they are approved, the revenues that we generate may be limited and we may never become profitable
Product candidates subject to ongoing FDA and foreign regulatory review.
- DroppedRisks related to commercialization
As we continue to evolve from a company primarily involved in research and development to a company also expected to be involved in commercialization, we may encounter difficulties in managing our growth and expanding our operations successfully
Failure to adapt to new requirements could result in loss of marketing approval and enforcement action.
- DroppedRisks related to commercialization
Our product candidates are based on a novel approach to the treatment of cancer, which makes it difficult to predict the time and cost of product candidate development
Inability to establish effective marketing, sales and distribution capabilities for product candidates.
- DroppedRisks related to commercialization
If our product candidates do not achieve broad market acceptance, the revenues that we generate from their sales may be limited, and we may never become profitable
Difficulties in managing growth and expanding operations from research to commercialization.
- DroppedRisks related to commercialization
The successful commercialization of our product candidates, if approved, will depend in part on the extent to which government authorities and health insurers establish adequate reimbursement levels and pricing policies
Novel approach to cancer treatment makes it difficult to predict development time and cost.
- DroppedRisks related to commercialization
The size of the potential market for our product candidates is difficult to estimate and, if any of our assumptions are inaccurate, the actual markets for our product candidates may be smaller than our estimates
Reworded
- 100% rewrittenRisks Related to Our Business
Our future growth may be limited
Updated growth risk from targeting oncology product commercialization and workforce expansion to executing digital asset software development and user adoption.
- 100% rewrittenRisks Related to Our Business
Our business and operations could suffer in the event of computer system failures, cyberattacks, or deficiencies in our cybersecurity
Shifted cybersecurity risk from generic threat actor descriptions to operational dependence on technology systems and potential loss of digital assets.
Was: Our business and operations would suffer in the event of computer system failures, cyberattacks or a deficiency in our cybersecurity or a natural disaster
All 34 risk factors
Headings as the filing states them, in filing order.
Risks Related to Our Business
- 01We have a history of negative cash flows and will require additional financing to execute our business strategyNew
- 02We are in an early-stage development phase under our current business modelNew
- 03Our future growth may be limited100% rewritten
- 04Our customer-facing platforms may not achieve user adoption or generate revenueNew
- 05Our software development efforts may be delayed, exceed budget, or fail to perform as intendedNew
- 06Our AI Blockchain platform is internally developed and may not function as intendedNew
- 07We are exposed to significant digital asset price volatilityNew
- 08The regulatory environment surrounding digital assets, tokenization, and AI-enabled financial tools is evolving and uncertainNew
- 09Our platforms could be subject to regulatory classification that imposes additional obligationsNew
- 10We depend on third-party service providers for technology infrastructure and digital asset custodyNew
- 11Our business and operations could suffer in the event of computer system failures, cyberattacks, or deficiencies in our cybersecurity100% rewritten
- 12Our “C10” Treasury strategy subjects our financial condition to extreme market volatilityNew
- 13Concentration of Control and Sole Custody of Digital Assets May Expose the Company to Significant Financial and Operational RisksNew
- 14We are undergoing a transition from a clinical-stage oncology company (Qualigen) to an AI and digital asset infrastructure ecosystem provider. There is no guarantee that our management’s historical experience will translate to success in the decentralized infrastructure spaceNew
- 15The future development and growth of crypto is subject to a variety of factors that are difficult to predict and evaluate. If crypto does not grow as we expect, our business, operating results, and financial condition could be adversely affectedNew
- 16We operate in a highly competitive industry and we compete against unregulated or less regulated companies and companies with greater financial and other resources, and our business, operating results, and financial condition could be adversely affected if we are unable to compete effectivelyNew
- 17Due to our limited operating history, it may be difficult to evaluate our business and future prospects, and we may not be able to achieve or maintain profitability in any given period New
- 18Key business metrics and other estimates are subject to inherent challenges in measurement and change as our business evolves, and our business, operating results, and financial condition could be adversely affected by real or perceived inaccuracies in those metrics or any changes in metrics we discloseNew
- 19Adverse economic conditions could adversely affect our businessNew
- 20If we fail to maintain an effective system of disclosure controls and procedures and internal control over our financial reporting, our ability to produce timely and accurate financial statements or comply with applicable regulations could be impairedNew
- 21We may require additional capital to support business growth, and this capital might not be availableNew
- 22Pending SEC Enforcement Actions Against Our Co-CEO, Chief Advisor, and Lead Investor Could Materially Disrupt Our Operations and Restrict Access to Our Treasury AssetsNew
Risks Related to Our Intellectual Property
- 23If we are unable to obtain, maintain, and enforce adequate intellectual property protection for our core technologies, our competitors could develop and commercialize similar products, which would materially and adversely affect our businessNew
- 24Claims by third parties that we infringe upon their intellectual property rights could be costly, time-consuming, and materially and adversely affect our businessNew
- 25We heavily rely on trade secrets and confidentiality agreements to safeguard our competitive advantage, and these measures may not adequately protect our proprietary informationNew
- 26Limitations on intellectual property protection in certain jurisdictions outside the United States could adversely affect our global competitive positionNew
General Risks
- 27The requirements of being a public company may strain our resources and divert management’s attentionNew
- 28Periods of rapid growth and expansion could place a significant strain on our resources, including our employee base, which could negatively impact our operating resultsNew
- 29Macroeconomic and financial market disruptions may adversely affect our liquidity, operations, and resultsNew
- 30Heightened public scrutiny and negative publicity could damage our reputation and adversely affect our business and prospectsNew
- 31Certain data and information in this Annual Report were obtained from third-party sources and were not independently verified by usNew
Risks Related to the Ownership of Our Securities
- 32We have a large number of authorized but unissued shares of our common stock which will dilute existing ownership positions when issued
- 33Our common stock may be affected by limited trading volume and price fluctuations, which could adversely impact the value of our common stock
- 34We may need, but be unable, to obtain additional funding on satisfactory terms, which could dilute our stockholders or impose burdensome financial restrictions on our business
Other AIxCrypto Holdings 10-Ks
- FY2024 10-K risk factors20 risks
Substantial doubt about going concern due to $123.1 million accumulated deficit and ongoing net losses. Pending lawsuit from Lifesci Capital LC seeking $503,483 in alleged breach of contract damages. Transitioning from R&D to commercialization creates severe operational and regulatory hurdles for cancer treatment product candidates.
Filed Jun 30, 2025
About this page
The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.