Company: DJTWW
Filing Date: 2025-08-01
Form Type: 10-Q
Source: 0001140361-25-028418
Chunk: 182

Company: Trump Media & Technology Group Corp.
Filing Date: 2025-08-01
Form: 10-Q
Item: Part I, Item 2
Chunk 182
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 an incident or
        incidents could have a material and adverse effect on TMTG’s business, reputation or financial results. 

TMTG’s communications hardware and the computer hardware used to operate Truth Social and Truth+ are hosted at the facilities of third-party providers. Hardware for TMTG’s delivery systems is intended to be
        maintained in TMTG’s data centers. Fires, floods, earthquakes, adverse weather conditions, other natural disasters, power losses, telecommunications failures, cyber-attacks, public health crises, terrorism, geopolitical conflict, break-ins, and
        similar events could damage these systems and hardware or cause them to fail completely. Problems faced by TMTG’s third-party party could impact adversely the experience of TMTG’s customer. Any of these problems could harm TMTG’s reputation and
        adversely affect TMTG’s business. 

The Company may also be susceptible to cybersecurity threats through its third-party service providers. For example, our independent public accounting firm was subject to a data breach and, while there is no
        determination of the effect on the Company of the breach, the Company continues to evaluate such effects. 

We may invest in or write options on securities, which may result in our bearing the risk of loss should the underlying security change in value during the life
        of the option.

There are several risks associated with transactions in options on securities. For example, there are significant differences between the securities and
        options markets that could result in an imperfect correlation between these markets, causing a given transaction not to achieve its objectives. A transaction in options or securities may be unsuccessful to some degree because of market behavior or
        unexpected events.

When we write a covered call option, we forgo, during the option’s life, the opportunity to profit from increases in the market value of the security covering
        the call option above the sum of the premium and the strike price of the call, but retain the risk of loss should the price of the underlying security decline. The writer of an option has no control over the time when it may be required to fulfill
        its obligation and once an option writer has received an exercise notice, it must deliver the underlying security in exchange for the strike price.

When we write a covered put option, we bear the risk of loss if the value of the underlying stock declines below the exercise price minus the put premium. If
        the option is exercised, we could incur a loss if we are required to purchase the stock underlying the put option at a price greater