Company: APCXW
Filing Date: 2025-11-13
Form Type: 10-Q
Source: 0001683168-25-008326
Chunk: 18

Company: AppTech Payments Corp.
Filing Date: 2025-11-13
Form: 10-Q
Item: Part I, Item 1
Chunk 18
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 were fully vested upon
the grant date.

    5)
    
    On July 1, 2025, the Company entered into
a separation agreement with its former Chief Executive Officer and Chairman of the Board. Under the terms of the arrangement, all previously
issued options were canceled and he was instead granted 700 thousand vested options, and 300 thousand performance-based options. The
options have a three-year life and carry an exercise price of $1. The Company recognized $112 thousand related to this grant.

The following table summarizes option activity:

    Schedule of option activity 

    Number of  shares  
    Weighted  Average  exercise price  
    Weighted  Average  remaining years 
  
    Outstanding December 31, 2024 
     5,446,785  
    $1.29  
     7.15 
  
    Issued 
     3,042,911  
     0.78  
     – 
  
    Exercised 
     –  
     –  
     – 
  
    Cancelled 
     (3,087,342) 
     1.60  
     – 
  
    Outstanding as of September 30, 2025 
     5,402,354  
    $0.83  
     7.25 
  
    Outstanding as of September 30, 2025, vested 
     3,977,354  
    $0.88  
     7.45 

The unvested options include a total of 1,425
thousand options contingent upon reaching specified sales milestones.

During the nine months ended September 30, 2025,
the Company recorded $977 thousand in option expenses, which includes the modification expense noted above of $49 thousand.

     17 

The options vest in equal monthly installments
ranging from immediately to 12 months. For the nine months ended September 30, 2025, the fair value of the options were valued using a
Black-Scholes option pricing model with the following assumptions:

    Schedule of fair value assumptions

    Market value of common stock on issuance date
     
    $0.17 - $0.47

    Exercise price
     
    $0.42 - $1.77

    Expected volatility
     
    133.71% - 184.71%

    Expected term (in years)