Company: DAAQ
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001213900-25-110841
Chunk: 38

Company: Digital Asset Acquisition Corp.
Filing Date: 2025-11-14
Form: 10-Q
Item: Item 1
Chunk 38
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, or $3,450,000 in the aggregate, of which (i) $0.10 per Unit was paid to the Underwriters in cash at the closing of the Initial
Public Offering and (ii) $0.10 per Unit was used by the Underwriters to purchase Private Placement Warrants, and (2) a deferred fee of
$0.40 per Unit, or $6,900,000. The deferred fee will become payable to the Underwriters from the amounts held in the Trust Account solely
in the event that the Company completes a Business Combination, subject to the terms of the underwriting agreement, and will be based
on the amount of funds remaining in the Trust Account after shareholder redemptions of Public Shares in connection with the consummation
of a Business Combination.

Critical Accounting Estimates

The preparation of condensed financial statements
and related disclosures in conformity with accounting principles generally accepted in the United States of America requires management
to make estimates and assumptions that affect the reported amounts of assets and liabilities, disclosure of contingent assets and liabilities
at the date of the financial statements, and income and expenses during the periods reported. Actual results could materially differ from
those estimates. We have identified the following critical accounting estimates that are most critical to the portrayal of our financial
condition and results of operations and that require significant, difficult, subjective, or complex judgments:

Net Income Per Share

Net income per ordinary share is computed by dividing
net income by the weighted average number of ordinary shares outstanding during the period. The calculation of diluted income per share
does not consider the effect of the warrants issued in connection with the Initial Public Offering since the exercise of the warrants
are contingent upon the occurrence of future events. The Company has two classes of ordinary shares, which are referred to as redeemable
Class A ordinary shares and Class B ordinary shares. Accretion associated with the redeemable shares of Class A Ordinary Shares is excluded
from income per ordinary share as the redemption value approximates fair value.

At September 30, 2025, the Company did
not have any dilutive securities or other contracts that could, potentially, be exercised or converted into ordinary shares and then
share in the earnings of the Company included in the value of redeemable Class A ordinary shares. As a result, diluted income per
Class A ordinary share is the same as basic income per Class A ordinary share for the periods presented.

Class B ordinary shares includes 750,000
shares that were subject to forfeiture if the over-all