Company: ORBS
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023549
Chunk: 225

Company: Eightco Holdings Inc.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part II, Item 1A
Chunk 225
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 to short-term price movements in digital asset markets.
This may produce material period to period volatility, reduce comparability to prior periods, and result in losses independent of our
operating performance.

We
may be unable to liquidate digital assets at favorable prices or in a timely manner due to limited market liquidity or trading halts.

Digital
asset markets may experience illiquidity, exchange outages, trading halts, or disruptions. Some of our digital assets are custodied or
executed through a limited number of regulated and unregulated trading venues. In periods of high volatility or market stress, we may
be unable to convert digital assets into fiat currency at acceptable prices or within required timeframes, which may impair our ability
to satisfy operational or financing needs.

Digital
asset custody, exchange, and counterparty risks may expose us to loss of assets.

We
rely on third-party custodians and trading counterparties, including Kraken, Coinbase, and FalconX, to safeguard and execute transactions
relating to our digital assets. The digital asset industry has experienced failures of exchanges, custodians, trading firms, and stablecoin
issuers. A cybersecurity breach, insolvency, operational failure, or misappropriation at any custodian or counterparty could result in
partial or total loss of our digital assets, which would materially and adversely affect our financial condition.

40

We
may need additional capital in the future, and our access to financing may be adversely affected by volatility in digital asset markets.

Although
we raised significant capital during the quarter through a PIPE and through our ATM program, our future liquidity and capital raising
capacity may depend on the value of our digital asset holdings and capital market conditions. Material reductions in digital asset prices
could limit our ability to raise capital on favorable terms, or at all, which could adversely affect our operations and strategic plans.

Risks
Related to the Company’s Business and Worldcoin Treasury Strategy 

We
have adopted a digital asset treasury strategy with a focus on WLD, and we may be unable to successfully implement this new strategy.

We
have adopted a digital asset treasury primarily dedicated to WLD, including acquisitions of WLD, including through a process similar
to staking and other decentralized finance activities. There is no assurance that we will be able to successfully implement this new
strategy or operate Worldcoin-related activities at the scale currently anticipated. Worldcoin is an ERC-20 token operating on the Ethereum
Mainnet. The identity layer (iris verification, World identification credentials