Company: LTRYW
Filing Date: 2025-04-21
Form Type: 10-K
Source: 0001641172-25-005487
Chunk: 140

Company: Lottery.com Inc.
Filing Date: 2025-04-21
Form: 10-K
Item: Item 8
Chunk 140
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 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 87,500 Units have been forfeited.

Common
Stock Warrants

The
Company did not issue any warrants during the years ended December 31, 2024 and 2023. All 24,415 outstanding warrants are fully vested
and have a weighted average remaining contractual life of 2.7 years. The Company did not incur any expense for the year ended December
31, 2024 and 2023.

Schedule of Common Stock Warrants

                                                                   Weighted                                             
                                           Weighted                Average                                              
                                           Average                 Remaining                  Aggregate                 
                                           Exercise                Contractual                Intrinsic                 
                                           Price                   Life                       Value                     
  Outstanding               24,415         $             0.11                       2.82      $              1,200,387  
  Granted                   -                            -                          -                        -          
  Exercised                 -                            -                          -                        -          
  Forfeited/cancelled       -                            -                          -                                   
  Outstanding               24,415                       0.11                       1.82                     1,200,387  
  Granted (1) & (2)         2,455,083                    0.30                       3.5                      693,397    
  Exercised                 -                            -                          -                                   
  Forfeited/cancelled       -                            -                          -                                   
  Outstanding               2,479,478      $             0.29                       3.45      $              1,893,794  

  F-24  

Earnout
Shares

As
detailed in Note 4 - as part of the TDAC Combination as of December 31, 2021 a total of 5,000,000 Earnout Shares were eligible for issuance
until December 31, 2022. Conditions for the earnout were not met and the potential earnout shares were forfeited on December 31, 2022.

Note
11. Stock-based Compensation

Expense 2015 Stock Option Plan

Prior
to the closing of the Business Combination, AutoLotto had the AutoLotto, Inc. 2015 Stock Option/Stock Issuance Plan (the “2015
Plan”) in place. Under