Company: IPSI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044146
Chunk: 145

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 145
---
ishment.

The debt extinguishments
resulted in a charge of $66,047 for the three months ended March 31, 2024.

Loss
on conversion of convertible debt

Between January 7, 2025 and March 28,
2025, in terms of conversion notices received from 5 convertible note holders, the Company issued 54,807,989 shares of common
stock for the conversion of $230,798 of convertible debt at a weighted average conversion price of $0.004211 (conversion prices ranging
from $0.0325 to $0.001105), realizing an aggregate loss on conversion of $106,504.

Loss
on anti-dilution price protection adjustment

As a result
of the conversion of the convertible debt, referred to in the paragraph above, all other outstanding convertible debt of the Company that
contain price-based anti-dilution protection had the conversion prices of such notes adjusted to $0.001105 per share (the “Triggering
Event”).

The value
of the derivative liability related to the anti-dilution price protected convertible debt was evaluated immediately prior to the Triggering
Event and immediately after the Triggering Event, resulting in an additional derivative liability and loss on convertible debt of $2,341,480.

29

INNOVATIVE PAYMENT SOLUTIONS, INC.

Notes to the Unaudited
Condensed Financial Statements

12NET LOSS PER SHARE

Basic loss
per share is based on the weighted-average number of Common Stock outstanding during each period. Diluted loss per share is based on basic
shares as determined above plus Common Stock equivalents. The computation of diluted net loss per share does not assume the issuance of
Common Stock that have an anti-dilutive effect on net loss per share. For the three months ended March 31, 2025 and 2024 all warrants
options and convertible debt securities were excluded from the computation of diluted net loss per share.

Dilutive shares
which could exist pursuant to the exercise of outstanding stock instruments and which were not included in the calculation because their
affect would have been anti-dilutive for the three months ended March 31, 2025 and 2024 are as follows:

    Three
                                            months 
ended 
March 31,
 2025
 (Shares)  
    Three months ended March 31,  2024 (Shares) 
  
    Convertible debt 
     1,978,891,288