Company: ORBS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023549
Chunk: 72

Company: Eightco Holdings Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 72
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 asset markets.

Although
we raised significant capital during the quarter through a PIPE and through our ATM program, our future liquidity and capital raising
capacity may depend on the value of our digital asset holdings and capital market conditions. Material reductions in digital asset prices
could limit our ability to raise capital on favorable terms, or at all, which could adversely affect our operations and strategic plans.

Risks
Related to the Company’s Business and Worldcoin Treasury Strategy 

We
have adopted a digital asset treasury strategy with a focus on WLD, and we may be unable to successfully implement this new strategy.

We
have adopted a digital asset treasury primarily dedicated to WLD, including acquisitions of WLD, including through a process similar
to staking and other decentralized finance activities. There is no assurance that we will be able to successfully implement this new
strategy or operate Worldcoin-related activities at the scale currently anticipated. Worldcoin is an ERC-20 token operating on the Ethereum
Mainnet. The identity layer (iris verification, World identification credentials and the Orb hardware network) is built entirely off-chain.
This business requires specialized employee skillsets and operational, technical and compliance infrastructure to support WLD and identity-layer
activities. This also requires the implementation of different security protocols and treasury management practices and adherence to
privacy laws. Further, there is ongoing scrutiny and limited formal guidance from regulatory agencies, including Nasdaq and the Securities
and Exchange Commission (the “SEC”), with respect to the treatment of public company cryptocurrency strategies. There is
no assurance that we will be able to execute this strategy by building out the needed infrastructure within the timeframe that we currently
anticipate. Errors by key management could result in significant loss of funds and reduced rewards. As a result, our shift towards WLD
could have a material adverse effect on our business and financial condition.

Our
shift towards a Worldcoin-focused treasury strategy requires substantial changes in our day-to-day operations and may expose us to significant
operational risks.

Our
shift towards a WLD treasury-focused strategy, including decentralized finance activities, exposes us to significant operational risks.
The Worldcoin ecosystem rapidly evolves. The upgrades may require that we incur unanticipated costs and could cause temporary service
disruptions to the Worldcoin network. We may also need to employ third-party service providers in our operations, which may introduce
risks outside of our control, including significant cybersecurity risks. Any of these operational risks could materially and adversely
affect our ability to execute our WLD treasury strategy and may prevent us