Company: IPSI
Filing Date: 2025-05-15
Form Type: 10-Q
Source: 0001213900-25-044146
Chunk: 117

Company: Innovative Payment Solutions, Inc.
Filing Date: 2025-05-15
Form: 10-Q
Item: Part I, Item 8
Chunk 117
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 31, 2025 and December 31, 2024 is as follows:

    March 31,
  
    December 31, 

    2025  
    2024 
  
    Equity method Investment 

    Cash contribution to IPSIPay Express 
    $999,500  
    $999,500 
  
    Fair value of warrants issued to third party joint venture partners 
     108,220  
     108,220 

     1,107,720  
     1,107,720 
  
    Equity loss from joint venture 
     (404,101) 
     (404,101)

     703,619  
     703,619 
  
    Receivable from IPSIPay Express 
     1,524  
     1,524 

     705,143  
     705,143 
  
    Impairment of investment 
     (705,142) 
     (705,142)
  
    Equity method investment 
    $1  
    $1 

The loss from equity method investments for the three months ended
March 31, 2025 and 2024, is as follows:

    Three months ended March 31,  
    Three months ended March 31, 

    2025  
    2024 
  
    Loss from Equity method investment 

    Loss from joint venture 
    $          -  
    $(484)

6FEDERAL RELIEF LOANS

Small Business Administration Disaster
Relief loan

On July 7, 2020, the Company received
a Small Business Economic Injury Disaster loan amounting to $150,000, bearing interest at 3.75% per annum and repayable in monthly
installments of $731 commencing twelve months after inception with the balance of interest and principal repayable on July 7, 2050.
The loan is secured by all tangible and intangible assets of the Company. The proceeds are to be used for working capital purposes to
alleviate economic injury caused by the COVID-19 pandemic.

The company has accrued interest of
$10,036 and $8,869 on this loan as of March 31, 2025 and December 31, 2024, respectively.

15

INNOVATIVE PAYMENT SOLUTIONS, INC.

Notes to the Unaudited
Condensed Financial