Company: GCL
Filing Date: 2025-03-17
Form Type: DRS
Source: 0001213900-25-024502
Chunk: 373

Company: GCL Global Holdings Ltd
Filing Date: 2025-03-17
Form: DRS
Chunk 373
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 risk consist of cash accounts in a financial institution, which, at times,
may exceed the Federal Depository Insurance Coverage limit of $250,000. In addition, inflation has been increasing in recent periods and
is expected to continue to be volatile in the future. Our investment portfolio may experience the risk of realized losses on our short-term
investments if we were to sell before maturity due to the market volatility caused by increased interest rates. At December 31, 2024,
the Company has not experienced losses on these accounts and management believes the Company is not exposed to significant risks on such
accounts.

<div align='center'>F-106</div>

Fair Value of Financial Instruments

The fair value of the Company’s
assets and liabilities which qualify as financial instruments under the FASB ASC 820, “Fair Value Measurements and Disclosures,”
equal or approximate the carrying amounts represented in the balance sheet, primarily due to their short-term nature.

Fair Value Measurements

Fair value is defined as the
price that would be received for sale of an asset or paid for transfer of a liability, in an orderly transaction between market participants
at the measurement date. US GAAP establishes a three-tier fair value hierarchy, which prioritizes the inputs used in measuring fair value.
The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements)
and the lowest priority to unobservable inputs (Level 3 measurements). These tiers consist of:

| ● | Level                                                                                                           
 1, defined as observable inputs such as quoted prices (unadjusted) for identical instruments in active markets; |

| ● | Level                                                                                                                                   
 2, defined as inputs other than quoted prices in active markets that are either directly or indirectly observable such as quoted prices 
 for similar instruments in active markets or quoted prices for identical or similar instruments in markets that are not active; and     |

| ● | Level                                                                                                                                       
 3, defined as unobservable inputs in which little or no market data exists, therefore requiring an entity to develop its own assumptions,   
 such as valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable. |

In some circumstances, the
inputs used to measure fair value might be categorized within different levels of the fair value hierarchy. In those instances, the fair
value measurement is categorized in its entirety in the fair value hierarchy based on the lowest level input that is significant to the
fair value measurement.

Cash and Cash Equivalents