Company: CBLO
Filing Date: 2025-11-19
Form Type: 10-Q
Source: 0001882781-25-000042
Chunk: 5

Company: C2 Blockchain, Inc.
Filing Date: 2025-11-19
Form: 10-Q
Item: Item 1
Chunk 5
---
 acquired. Transactions include incurring liabilities, or issuing or offering to issue
shares, options, and other equity instruments such as employee stock ownership plans and stock appreciation rights. Share-based payments
to employees, including grants of employee stock options, are recognized as compensation expense in the financial statements based on
their fair values. That expense is recognized over the period during which an employee is required to provide services in exchange for
the award, known as the requisite service period (usually the vesting period).

The
Company accounts for stock-based compensation issued to non-employees and consultants in accordance with the provisions of ASC 505-50,
“Equity – Based Payments to Non-Employees.”  Measurement of share-based payment transactions with
non-employees is based on the fair value of whichever is more reliably measurable: (a) the goods or services received; or (b) the equity
instruments issued.  The fair value of the share-based payment transaction is determined at the earlier of performance commitment
date or performance completion date.  

The
Company had no stock-based compensation plans as of September 30, 2025, and June 30, 2025.

The
Company’s stock-based compensation for the periods ended September 30, 2025, and September 30, 2024, was $0 for both periods.

Recently
Issued Accounting Pronouncements 

In
November 2024, the FASB issued ASU 2024-03, Disaggregation of Income Statement Expenses, and in January 2025, the
FASB issued ASU 2025-01, Clarifying the Effective Date (“ASU 2025-01”). The amendments are intended
to enhance disclosures regarding an entity’s costs and expenses by requiring additional disaggregated information disclosures about
certain income statement expense line items. The amendments, as clarified by ASU 2025-01, are effective for fiscal years beginning after
December 15, 2026 and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company
is currently evaluating the effect of this pronouncement on its disclosures.

F-6

Table
of Contents

Note
3 - Going Concern

The
Company’s financial statements are prepared in accordance with generally accepted accounting principles applicable to a going concern
that contemplates the realization of assets and liquidation of liabilities in the normal course of business.

The
Company demonstrates adverse conditions