Company: ORBS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023549
Chunk: 206

Company: Eightco Holdings Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 1
Chunk 206
---
 rest with a small group of individuals.
The allocations and governance of TFH WLD and WF WLD are governed by arrangements that are not transparent to the public, and there is
no autonomous on-chain code, third party reporting, audit or other objective processes that tie the statements made to the public to
those actions of World Foundation or Tools for Humanity.

44

With
respect to WF WLD, it is unclear what the WF WLD release schedule is, but it is purportedly determined based upon the number of WLD users
in the public. According to Worldcoin’s blog, the decision as to when to release the WF WLD currently rests with the World Foundation’s
Board of Directors. The composition of the Board of Directors is disclosed as Chris Waclawek, Phillip Sippl, Weinberger Ventures GmbH
and a Cayman Islands based professional director. It is not disclosed as to how they are compensated, and it is possible they are compensated
in WLD. It is also possible that the Board of Directors and the World Foundation employees overlap with or are connected to Tools for
Humanity. Because there is no transparency as to how the decisions related to the user-reward programs, airdrops and the release of WF
WLD, there is a risk that they may act in their self-interest, including the risk of inequitable distribution, concentration of token
ownership, self-dealing and acting on inside information.

These
risks are also applicable to the release schedule for Tools of Humanity. The release schedule for TFH WLD is a disclosed 5-year lock-up
period (released daily, in a linear fashion). The unlocking of TFH WLD commenced in July of 2023 and will end in July of 2028. However,
the original lock-up period was amended by Tools for Humanity from a 3-year period to a 5-year period in 2024 and there is no assurance
that this schedule will not be amended again. The release schedule may be amended at any time at the discretion of insiders and without
notice to the public.

Tools
for Humanity’s and the World Foundation’s executives, employees and investors are likely significant beneficiaries of WLD
allocations. Releases of WLD could be made in ways that conflict with the interest of public token holders, including through accelerated
releases during favorable market conditions or based upon internal funding needs. In addition, there could be a misalignment between
insiders seeking liquidity and community members seeking network stability. These