Company: DAAQ
Filing Date: 2025-08-19
Form Type: 10-Q
Source: 0001213900-25-078074
Chunk: 29

Company: Digital Asset Acquisition Corp.
Filing Date: 2025-08-19
Form: 10-Q
Item: Item 8
Chunk 29
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 June 30, 2025,
were organizational activities and those necessary to prepare for our Initial Public Offering, as described below. We do not expect to
generate any operating revenues until after the completion of our initial Business Combination. We will generate non-operating income
in the form of interest income on assets held in our Trust Account (defined below) after the Initial Public Offering. We incur expenses
as a result of being a public company (for legal, financial reporting, accounting and auditing compliance), as well as for due diligence
expenses.

For
the three months ended June 30, 2025, we had net income of $1,029,308, which resulted from investment earnings on marketable securities
held in the Trust Account of $1,147,520 offset by general and administrative expenses of $118,212.

For
the six months ended June 30, 2025, we had net income of $974,692, which resulted from earnings and realized gain on marketable securities
held in Trust Account of $1,147,520 offset by general and administrative expenses of $172,828.

Through
June 30, 2025, our efforts have been limited to organizational activities, activities relating to the Initial Public Offering, and
activities relating to general corporate matters.

Liquidity
and Capital Resources

For
                                            the six-month period ended June 30, 2025, net cash used in operating activities was $158,436.
                                            Net income of $974,692 was adjusted for earnings on marketable securities in our Trust Account
                                            of $1,164,886 and operating expenses paid via promissory note - related party of $112,848.
                                            Changes in operating assets and liabilities provided $27,946 of cash for operating activities
                                            primarily due to primarily due to increases in accrued expenses and due to related party,
                                            offset by an increase in prepaid insurance.

For
the six-month period ended June 30, 2025, net cash provided by financing activities was $172,500,000, which was due to proceeds from
the sale of Units (as defined below), Private Placement Warrants (as defined below) and public warrants issued as part of the Units.

For
the six-month period ended June 30, 2025, net cash used by financing activities was $172,387,152, which was due to proceeds from
the sale of Units (as defined below), Private Placement Warrants (as defined below) and public