Company: CSTAF
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0001213900-25-074972
Chunk: 90

Company: Constellation Acquisition Corp I
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 8
Chunk 90
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 which has opted out of using the extended transition period difficult or impossible because of the potential
differences in accounting standards used.

Use of Estimates

The preparation of unaudited condensed financial
statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date of the unaudited condensed financial statements and the reported
amounts of expenses during the reporting period. Accordingly, actual results could differ from those estimates.

Making estimates requires management to exercise significant
judgment. It is at least reasonably possible that the estimate of the effect of a condition, situation or set of circumstances that existed
at the date of the unaudited condensed financial statements, which management considered in formulating its estimate, could change in
the near term due to one or more future confirming events. One of the more significant accounting estimates included in these unaudited
condensed financial statements is the determination of the fair value of the warrant liability. Such estimates may be subject to change
as more current information becomes available and, accordingly, the actual results could differ significantly from those estimates.

11

Cash and Cash Equivalents

The Company considers all short-term investments
with an original maturity of three months or less when purchased to be cash equivalents. The Company did not have any cash equivalents
as of June 30, 2025 and December 31, 2024.

Cash Held in Trust Account

At June 30, 2025 and December 31, 2024, the assets
held in the Trust Account were held in a bank deposit account. During the six months ended June 30, 2025, the Company withdrew $27,428,399
from the Trust Account in connection with the redemption on January 27, 2025.

Concentration of Credit Risk 

Financial instruments that potentially subject
the Company to concentrations of credit risk consist of cash accounts and a Trust Account in a financial institution, which, at times,
may exceed the Federal Deposit Insurance Corporation coverage of $250,000. Any loss incurred or a lack of access to such funds could have
a significant adverse impact on the Company’s financial condition.

Warrant Liabilities

The Company evaluated the Public Warrants and
Private Placement Warrants (collectively, “warrants,” which are discussed in Notes 3, 4, and 8) in accordance with Accounting
Standards Codification (“ASC”) 815-40, “Derivatives