Company: GAME
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023589
Chunk: 206

Company: GameSquare Holdings, Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 8
Chunk 206
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 additional risks in the future that are not possible to predict.

Changes
in our ownership of cryptocurrency could have accounting, regulatory and other impacts, as well. For example, our indirect ownership
of Ethereum through ownership interests in a fund that owns such cryptocurrencies and deemed ownership via ownership of cryptocurrency
derivative assets may impact the accounting treatment for our cryptocurrencies, our ability to use our cryptocurrencies as collateral
for additional borrowings, and the regulatory requirements to which we are subject, may correspondingly change. For example, the volatile
nature of cryptocurrencies may force us to liquidate our holdings to use it as collateral, which could be negatively impacted by any
disruptions in the cryptocurrency market, and if liquidated, the value of the collateral would not reflect potential gains in market
value of our cryptocurrency.

The
U.S. federal income tax treatment of transactions in digital assets is unclear.

Due
to the new and evolving nature of digital assets and the absence of comprehensive guidance with respect to digital assets, many significant
aspects of the U.S. federal income tax treatment of digital assets are uncertain. Our operations and dealings, in or in connection with
digital assets, as well as transactions in digital assets generally, could be subject to adverse tax consequences in the United States,
including as a result of development of the legal regimes surrounding digital assets, and our operating results, as well as the price
of digital assets, could be adversely affected thereby.

It
is also unclear what additional guidance on the treatment of digital assets for U.S. federal income tax purposes may be issued in the
future. Any such alteration of the current IRS positions or additional guidance could result in adverse tax consequences for us and could
have an adverse effect on the value of digital assets. Because of the evolving nature of digital assets, it is not possible to predict
potential future developments that may arise with respect to digital assets. Such developments may increase the uncertainty with respect
to the treatment of digital assets for U.S. federal income tax purposes.

ITEM
2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Repurchases
of Shares

None.

ITEM
3. DEFAULTS UPON SENIOR SECURITIES

None.

ITEM
4. MINE SAFETY DISCLOSURES

Not
applicable.

ITEM
5. OTHER INFORMATION

During
the three months ended September 30, 2025, no director or officer of the Company adopted
or terminated
a “Rule 10b5-1