Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 41

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 41
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 need to continue to invest in compliance with applicable laws and regulations, and to conduct
appropriate risk assessments and implement appropriate controls. Government authorities may scrutinize or seek to bring actions against
us if its systems are used for improper or illegal purposes or if its risk management or controls are not adequately assessed, updated,
or implemented, and the foregoing could result in financial or reputational harm to our business.

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In addition, laws and regulations
related to payments and financial services are evolving, and changes in such laws and regulations could affect our ability to provide
services on its platform in the manner that it has done, expects to do, or at all. In addition, as we evolve our business or make changes
to our operations, it may be subject to additional laws and regulations. Historical or future non-compliance with these laws and regulations
could result in significant criminal and civil lawsuits, penalties, forfeiture of significant assets, or other enforcement actions. Costs
associated with fines and enforcement actions, as well as reputational harm, changes in compliance requirements, or limits on our ability
to expand our product offerings, could harm our business.

We are subject to risks associated with operating and investing in Asia.

We derive a significant portion of its revenue from its operations
in Asia, and we intend to continue to develop and expand its business and penetration in the region and outside of Asia. Our operations
and investments in Asia are subject to various risks related to the economic, political and social conditions of the countries in which
we operate. For example, steep increase in tariffs placed on our console games and gaming consoles could materially adversely affect our
results of operations if we cannot successfully pass onto the consumers the increased costs as a result of these tariffs, or if the resulting
increased price would result in a decreased demand for the game titles we distribute or publish. Some of the other risks include the following:

| ● | inconsistent and evolving regulations, licensing and legal requirements may increase our operational risks 
 and cost of operations among the countries in Asia in which we operates;                                   |

| ● | currencies may be devalued or may depreciate or currency restrictions or other restraints on transfer 
 of funds may be imposed;                                                                              |

| ● | the effects of inflation within Asia generally and/or within any specific country in which we operate 
 may increase our cost of operations;                                                                  |

| ● | governments or regulators may impose new or more burdensome regulations, taxes or tariffs; |

| ● | political changes may lead to