Company: IPSI
Filing Date: 2025-08-14
Form Type: 10-Q
Source: 0001213900-25-076595
Chunk: 28

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-08-14
Form: 10-Q
Item: Part I, Item 1
Chunk 28
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 (the “2024 Notes”) with an aggregate principal amount of $577,778 for
gross proceeds of $433,333, after taking into account an aggregate original issuance discount of $144,445.

The 2024 Notes
mature between February 28, 2025 and October 10, 2025 and bear interest at rates ranging from 0.0% to 8.5% per annum.

The 2024 Notes
have restrictions relating to fundamental transactions which require the approval of the note holder, in addition the note holder has
an optional redemption right on subsequent transactions that may require the Company to redeem all or part of the Note, at a premium of 120%
of the cash amount of the Note, at the note holder’s discretion.

As of June
30, 2025, notes with a principal amount of $1,275,111 and interest thereon of $321,451 are technically in default.

16

INNOVATIVE PAYMENT SOLUTIONS, INC.

Notes to the Unaudited
Condensed Financial Statements

8CONVERTIBLE
DEBT

Convertible
debt payable consists of the following:

  Description   Interest Rate   Maturity date***  Principal   Accrued Interest   Unamortized debt discount   June 30, 2025 Amount, net   December 31, 2024 Amount, net   Cavalry Fund I LP   18.00%*  Matured  $819,371   $56,512   $-   $875,883   $836,942   Mercer Street Global  Opportunity Fund, LLC   18.00%*  Matured   1,042,701    78,878    -    1,121,579    1,051,013   Red Road Holdings Corporation   24.98%**  Matured   -    -    -    -    20,085       24.51%**  Matured   -    -    -    -    173,798   Quick Capital LLC   11.03%**  Matured   -    -    -    -    64,171