Company: FWDI
Filing Date: 2025-12-11
Form Type: 10-K
Source: 0001683168-25-009068
Chunk: 33

Company: Forward Industries, Inc.
Filing Date: 2025-12-11
Form: 10-K
Item: Item 1
Chunk 33
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 on some other asset or traditional currency because of, for instance, their issuers’ promise to hold high-quality liquid
assets (such as U.S. dollar deposits and short-term U.S. treasury securities) equal to the total value of stablecoins in circulation.
In July 2025, the U.S. President signed into law the “GENIUS Act,” which establishes a federal framework for “payment
stablecoins,” treating them as payment systems, not securities, and mandating fiat-backed reserves, monthly disclosures, anti-money
laundering safeguards, and similar measures. Stablecoins have grown rapidly as a medium of exchange and store of value, particularly on
digital asset trading platforms, and their use as an alternative to digital assets such as bitcoin and SOL could expand further as rules
are promulgated under the GENIUS Act. As of September 30, 2025, two of the seven largest digital assets by market capitalization were
U.S. dollar-pegged stablecoins. Stablecoins are an important aspect of blockchain networks such as Solana and if other blockchains are
deemed more attractive than Solana for the use of stablecoins, that may impact the usefulness of the Solana network and Solana-based blockchain
applications, and therefore the value of SOL.

If we lose key personnel, if we fail to recruit
additional highly skilled personnel, or if we lose the services of our Asset Manager, our ability to operate and manage our digital asset
treasury strategy will be impaired.

Our ability to operate and manage
our digital asset treasury strategy depends upon our ability to attract and retain highly qualified personnel, including our newly appointed
Chairman, Kyle Samani, members of our executive team, or other key personnel. In addition, we rely heavily on the services of our Asset
Manager for the management of our digital asset treasury and for strategic guidance relating to our business, operations, growth initiatives
and industry trends in the crypto technology sector. The loss of the services of any of our executive officers, key employees, or the
Asset Manager, or our inability to find suitable replacements, could result in significant disruptions to our operations and management
of our digital assets.

Risks Relating to Our Design Business

Our design business has experienced recurring losses. We cannot assure
you that we will regain profitability in the future.

Our design business generated
a net loss of approximately $5,159,000 in Fiscal 2025. We can provide no assurance that our design business will not experience losses