Company: MYSEW
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001013762-25-004290
Chunk: 478

Company: Myseum, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 2
Chunk 478
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 owners in Metabizz did not have the
characteristics of a controlling financial interest and the initial equity investments in these entities may be or were insufficient
to meet or sustain its operations without additional subordinated financial support from DatChat. The equity owners of Metabizz had only
a nominal equity investment at risk, and the Company absorbed or received a majority of the entity’s expected losses or benefits.
The Company participated significantly in the design of Metabizz. The Company provided working capital advances to Metabizz to allow
Metabizz to fund its day-to-day obligations. Substantially all of the activities of Metabizz were conducted for the Company’s benefit,
as evidenced by the fact that the operations of Metabizz consisted of development of software and technologies to be used by RPM Interactive
and the Company provided working capital to Metabizz to pay employees and independent contractors to perform the development services
on behalf of the Company. Repayment of the working capital advances is not guaranteed by the equity owner of Metabizz and creditors of
Metabizz do not have recourse against the Company. Accordingly, the Company was required to consolidate the assets, liabilities, revenues
and expenses of Metabizz using the fair value method. Additionally, the managing partner of Metabizz was also the Chief Innovation Officer
of RPM Interactive. Since Metabizz, LLC and Metabizz SAS were considered VIE’s, any noncontrolling interest eliminated in consolidation.
In connection with the initial consolidation of Metabizz, on February 14, 2023 (the initial consolidation date), the Company recorded
a gain on initial consolidation of variable interest entities of $42,737.

On March 31, 2024, based on the Company’s
analysis, the Company deconsolidated Metabizz, LLC and Metabizz SAS. During the three months ended March 31, 2024, the Company ceased
doing business with Metabizz, LLC and Metabizz SAS and will pay technology professionals directly. In connection with the deconsolidation
of Metabizz, LLC and Metabizz SAS, during the nine months ended September 30, 2024, the Company recorded a gain on deconsolidation of
$107.

On August 27, 2024, the Company entered into
an Asset Purchase Agreement with the Seller, pursuant to which it acquired from Seller the Assets (See Note 1) in consideration for the
transfer by the Company of 8,000,