Company: GAME
Filing Date: 2025-07-16
Form Type: 424B5
Source: 0001641172-25-019931
Chunk: 25

Company: GameSquare Holdings, Inc.
Filing Date: 2025-07-16
Form: 424B5
Chunk 25
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 or (2) it engages, or proposes to engage, in the business of investing, reinvesting, owning, holding or trading in securities and it owns or proposes to acquire investment securities having a value exceeding 40% of the value of its total assets (exclusive of U.S. government securities and cash items) on an unconsolidated basis. We do not believe that we are an “investment company,” as such term is defined in the 1940 Act, and are not registered as an “investment company” under the 1940 Act as of the date of this prospectus.

While senior SEC officials
have stated their view that Ethereum is not a “security” for purposes of the federal securities laws, a contrary determination
by the SEC could lead to our classification as an “investment company” under the 1940 Act, if the portion of our assets consists
of investments in Ethereum exceeds 40% safe harbor limits prescribed in the 1940 Act, which would subject us to significant additional
regulatory controls that could have a material adverse effect on our business and operations and may also require us to change the manner
in which we conduct our business.

We monitor our assets and
income for compliance under the 1940 Act and seek to conduct our business activities in a manner such that we do not fall within its definitions
of “investment company” or that we qualify under one of the exemptions or exclusions provided by the 1940 Act and corresponding
SEC regulations. If Ethereum is determined to constitute a security for purposes of the federal securities laws, we would take steps to
reduce the percentage of Ethereum that constitute investment assets under the 1940 Act. These steps may include, among others, selling
Ethereum that we might otherwise hold for the long term and deploying our cash in non-investment assets, and we may be forced to sell
our Ethereum at unattractive prices. We may also seek to acquire additional non-investment assets to maintain compliance with the 1940
Act, and we may need to incur debt, issue additional equity or enter into other financing arrangements that are not otherwise attractive
to our business. Any of these actions could have a material adverse effect on our results of operations and financial condition. Moreover,
we can make no assurance that we would successfully be able to take the necessary steps to avoid being deemed to be an investment company
in accordance with the safe harbor. If we were unsuccessful, and if Ethereum is determined to constitute a security for purposes of the
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