Company: LTRYW
Filing Date: 2025-10-15
Form Type: 10-Q/A
Source: 0001493152-25-018121
Chunk: 38

Company: Lottery.com Inc.
Filing Date: 2025-10-15
Form: 10-Q/A
Chunk 38
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warrants based on the 1-for-20 split ratio. The adjustment was made automatically. The number of shares of common stock issued subject
to stock options, warrants, or convertible securities was automatically decreased by the split ratio and the exercise price or conversion
ratio will automatically be proportionately increased by the same split ratio.

Private Warrants

Private warrants of TDAC issued before the business combination
were forfeited and did not transfer to the surviving entity.

Unit Purchase Option

On June 1, 2018, the Company sold to the
underwriter (and its designees), for $100, an option to purchase up to a total of 87,500 Units exercisable at $240.00 per Unit (or an
aggregate exercise price of $21,000,000) commencing on the consummation of the Business Combination. The 87,500 Units represents the right
to purchase 87,500 shares of common stock and 87,500 warrants to purchase 87,500 shares of common stock. The unit purchase option, which
was exercisable for cash or on a cashless basis, at the holder’s option, expired on May 29, 2023. The Units issuable upon exercise
of this option were identical to those offered by Lottery.com. The Company accounted for the unit purchase option, inclusive of the receipt
of $100 cash payment, as an expense of the Business Combination resulting in a charge directly to stockholders’ equity. As of December
31, 2023 all of the 87,500 Units have been forfeited.

Common Stock

The Company did not issue any warrants
during the three months ended March 31, 2025. During the year ended December 31, 2024, the company issued 458,370 warrants to a
third party consulting firm and 1,996,713warrants as part of the commitment fee pursuant to the Stock Purchase Agreement with Generating Alpha. The 24,415
outstanding warrants are fully vested and have a weighted average remaining contractual life of 2.7
years. The 2.5 million warrants issued during 2024 are fully vested and have a weighted average remaining contractual life of 3.5years. TheCompany did not incur any expense for
the three months ended March 31, 2025 and recorded expenses of $693,397 for the year ended December 31, 2024.

Schedule of Common Stock Warrant

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