Company: IPSI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026455
Chunk: 188

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 1A
Chunk 188
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 which may severely impact the digital assets market. In addition, any violations of laws and regulations relating
to the safeguarding of private information could subject us to fines, penalties or other regulatory actions, as well as to civil actions
by affected parties. Failure by us to comply with any laws, rules and regulations, some of which may not exist yet or are subject to
interpretation and may be subject to change, could result in a variety of adverse consequences, including civil penalties and fines.

11

The laws and regulations
indirectly affecting our industry are constantly evolving and failure to comply could adversely impact our business.

Our business is indirectly
subject to a wide range and increasing number of laws and regulations, as described below. Liabilities or loss of business resulting
from a failure by us, our agents or their subagents to comply with laws and regulations and regulatory or judicial interpretations thereof,
including laws and regulations designed to protect consumers, or detect and prevent money laundering, terrorist financing, fraud and
other illicit activity, and increased costs or loss of business associated with compliance with those laws and regulations has had and
we expect will continue to have an adverse effect on our business, financial condition, results of operations, and cash flows. Our services
are subject to increasingly strict legal and regulatory requirements, including those intended to help detect and prevent money laundering,
terrorist financing, fraud, and other illicit activity. The interpretation of those requirements by judges, regulatory bodies and enforcement
agencies may change quickly and with little notice. Additionally, these requirements or their interpretations in one jurisdiction may
conflict with those of another jurisdiction. As United States federal and state as well as foreign legislative and regulatory scrutiny
and enforcement action in these areas increase, we expect that our costs of complying with these requirements could continue to increase,
perhaps substantially, and may make it more difficult or less desirable for consumers and others to use our services or for us to contract
with certain intermediaries, either of which would have an adverse effect on our revenue and operating income. For example, we expect
to make investments in our compliance programs based on the rapidly evolving and increasingly complex global regulatory and enforcement
environment and our internal reviews. These additional investments relate to enhancing our compliance capabilities, including our consumer
protection efforts. Further, failure by us or partners and service providers to comply with any of these requirements or their interpretation
could result in the suspension or revocation of a license or registration required to provide money transfer, payment or foreign exchange
services, the limitation