Company: FWDI
Filing Date: 2025-12-11
Form Type: 10-K
Source: 0001683168-25-009068
Chunk: 155

Company: Forward Industries, Inc.
Filing Date: 2025-12-11
Form: 10-K
Item: Item 1A
Chunk 155
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 example, certain threats
are designed to remain dormant or undetectable, sometimes for extended periods of time, or until launched against a target and we may
not be able to implement adequate preventative measures. The risk of cyberattacks could also be increased by cyberwarfare in connection
with the ongoing Russia and Israel conflicts, or other future conflicts, including potential proliferation of malware into systems unrelated
to such conflicts. Any future breach of our operations or those of others in the Solana industry, including third-party services on which
we rely, could materially and adversely affect our financial condition and results of operations.

 19 

The emergence or growth of other digital assets,
including those with significant private or public sector backing, including by governments, consortiums or financial institutions, could
have a negative impact on the price of SOL and adversely affect the Company’s securities.

Following the launch of the Company’s
proposed digital asset treasury strategy, as a result of our Solana strategy, we expect our assets to be concentrated in SOL holdings.
Accordingly, the emergence or growth of digital assets other than SOL, including those with significant private or public sector backing,
including by governments, consortiums or financial institutions, may have a material adverse effect on our financial condition. As of
September 30, 2025, Solana was the fifth largest digital asset by market capitalization, excluding stablecoins. However, there are numerous
alternative digital assets and many entities, including consortiums and financial institutions, are researching and investing resources
into private or permissioned blockchain platforms. If the mechanisms or network effects on alternative blockchain platforms are perceived
as superior to the Solana network, those digital assets could gain market share relative to Solana.

Many of the blockchain applications
on large blockchain networks involve the use of “stablecoins,” which are designed to maintain a constant price related to
or based 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