Company: APCXW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001683168-25-002130
Chunk: 364

Company: AppTech Payments Corp.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 4
Chunk 364
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 cost for
stock-based employee compensation at the fair market value on the grant date and recognize the expense over the employee’s requisite
service period. The Company recognizes in the statement of operations the grant-date fair market value of stock options and other equity-based
compensation issued to employees and non-employees.

During the years ended December 31, 2024,
and 2023, 260,000 shares and 460,000 shares of common stock were issued to several consultants and employees in connection with business
development, professional, and employment services with a value of $267 thousand and $906 thousand, respectively.

Related Parties

See Item 13 for a full discussion of related parties.

Item 7A. Quantitative and Qualitative Disclosures
About Market Risk

Because we are allowed to comply with the disclosure
obligations applicable to a “smaller reporting company,” as defined by Rule 12b-2 of the Exchange Act, with respect to this
Annual Report on Form 10-K, we are not required to provide the information required by this Item.

Item 8. Financial Statements and Supplementary
Data

The
consolidated financial statements and related financial statement schedules required to be filed are indexed on page 24 and are incorporated
herein.

Item 9. Changes in and Disagreements with Accounts
on Accounting and Financial Disclosure

None.

Item 9A. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Under the supervision and with the participation of
our management, including the Chief Executive Officer and the Chief Financial Officer, we evaluated the effectiveness of the design and
operation of our “disclosure controls and procedures” (as defined in Rule 13a-15(e) under the Exchange Act) as of the end
of the period covered by this report. Based on that evaluation, the Chief Executive Officer and the Chief Financial Officer concluded
that our disclosure controls and procedures were not effective as of December 31, 2024 due to the material weaknesses in our internal
control over financial reporting as described below.

A material weakness is a deficiency, or a combination
of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement
of the Company’s annual or interim consolidated financial statements will not be prevented or detected on a timely basis.

 19 

Our
management is also responsible for establishing and maintaining adequate internal control over financial reporting (as defined in Exchange
Act Rules 13a-15(f) and 15