Company: CBLO
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001599916-25-000058
Chunk: 15

Company: C2 Blockchain, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Item 1
Chunk 15
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 officer, who also serves as our chief
financial officer, of the effectiveness of the design and the operation of our disclosure controls and procedures. Our sole officer
concluded that the disclosure controls and procedures were not effective as of the end of the period covered by this report due to
material weaknesses identified below. 

The matters involving internal controls and procedures
that our management considered to be material weaknesses under the standards of the Public Company Accounting Oversight Board were: domination
of management by a single individual without adequate compensating controls, lack of a majority of outside directors on board of directors,
resulting in ineffective oversight in the establishment and monitoring of required internal controls and procedures; inadequate segregation
of duties consistent with control objectives, and lack of an audit committee. These material weaknesses were identified by our Chief
Executive Officer who also serves as our Chief Financial Officer in connection with the above evaluation.

Inherent limitations on effectiveness of controls

Internal control over financial reporting has inherent
limitations which include but is not limited to the use of independent professionals for advice and guidance, interpretation of existing
and/or changing rules and principles, segregation of management duties, scale of organization, and personnel factors. Internal control
over financial reporting is a process which involves human diligence and compliance and is subject to lapses in judgment and breakdowns
resulting from human failures. Internal control over financial reporting also can be circumvented by collusion or improper management
override. Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements on a
timely basis, however these inherent limitations are known features of the financial reporting process and it is possible to design into
the process safeguards to reduce, though not eliminate, this risk. Therefore, even those systems determined to be effective can provide
only reasonable assurance with respect to financial statement preparation and presentation. Projections of any evaluation of effectiveness
to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of
compliance with the policies or procedures may deteriorate.

Changes in Internal Control over Financial
Reporting

There have been no changes in our internal
controls over financial reporting that have occurred for the fiscal quarter ended  March 31, 2025, that have materially or are
reasonably likely to materially affect, our internal controls over financial reporting.

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PART II-OTHER INFORMATION

    ITEM 1
    LEGAL PROCEEDINGS

There are no legal proceedings against the
Company and the Company is unaware of such proceedings contemplated