Company: IPSI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044146
Chunk: 209

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 2
Chunk 209
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ovich matter was set for June 30, 2025
to July 3, 2025 at the continued “preliminary conference” held on October 7, 2024. Before the arbitration hearing, the parties
will engage in discovery and some motion work which may (1) either dispose of all or some of the case, and/or (2) result in the Minkovich
matter being sent back to the Superior Court for final determination.

We have a $22,000 deposit
on account for the arbitration of the Minkovich matter, the arbitrator has indicated that he will proceed as the deposit is expected to
be sufficient to cover all expenses of the arbitration. The arbitration summary call is scheduled for May 16, 2025 with all parties involved.
We expect a favorable outcome from the arbitration process.

Item 1A. Risk Factors.

We are a smaller reporting
company as defined by Rule 12b-2 of the Exchange Act and are not required to provide the information otherwise required under this Item.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds.

Unregistered Sales of Equity Securities 

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.

Between April
7, 2025 and May 8, 2025, The Company received conversion notices from convertible note holders converting an aggregate of $79,652 into 80,052,341
shares of common stock at conversion prices ranging from $0.000585 to $0.001170 per share, resulting in a loss on conversion
of $52,187.

On April 29, 2025,
the Company entered into Securities Purchase Agreement pursuant to which the Company issued a convertible promissory note and a warrants
to one accredited investment entity for total gross proceeds of $150,000, less expenses of $6,000 for net proceeds of $144,000. The notes
are unsecured, mature 12 months from issuance date and bear interest at a rate of 8% per annum based on a 360