Company: DAAQ
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001213900-25-078074
Chunk: 185

Company: Digital Asset Acquisition Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Item 1
Chunk 185
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20,000 per month for these services during the Completion Period. For both the three and six month period ended June 30,
2025, the Company paid $40,000 to the Sponsor for these services, which are included in general and administrative expenses on the accompanying
condensed statements of operations.

13

DIGITAL
ASSET ACQUISITION CORP. 

JUNE
30, 2025

NOTES
TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

Working
Capital Loans

In
order to finance transaction costs in connection with the initial Business Combination, the Sponsor or an affiliate of the Sponsor or
certain of the Company’s officers and directors may, but are not obligated to, loan the Company funds as may be required on a non-interest
bearing basis. If the Company completes the initial Business Combination, the Company will repay such loaned amounts. In the event that
the initial Business Combination does not close, the Company may use a portion of the working capital held outside the Trust Account
to repay such loaned amounts, but no proceeds from the Trust Account would be used for such repayment. Up to $1,500,000 of such loans
may be convertible into warrants, at a price of $1.00 per warrant at the option of the lender, upon consummation of the initial Business
Combination. The warrants would be identical to the Private Placement Warrants. Other than as set forth above, the terms of such loans
by the Company’s officers and directors, if any, have not been determined and no written agreements exist with respect to such
loans. There are no such outstanding working capital loans as of June 30, 2025 and December 31, 2024.

NOTE
7. COMMITMENTS AND CONTINGENCIES

Registration
and Shareholder Rights Agreement

The
holders of the (i) Founder Shares, which were issued in a private placement prior to the closing of the Initial Public Offering, (ii)
Private Placement Warrants and the Class A ordinary shares underlying such Private Placement Warrants and (iii) Private Placement Warrants
that may be issued upon conversion of working capital loans will have registration rights to require the Company to register a sale of
any of the Company’s securities held by them and any other securities of the Company acquired by them prior to the consummation
of the Company’s initial Business Combination pursuant to a registration rights agreement signed on the effective date of the Initial
Public Offering. Pursuant to