Exhibit
10.01


 


THIS
INSTRUMENT AND ANY SECURITIES ISSUABLE PURSUANT HERETO HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES
ACT”), OR UNDER THE SECURITIES LAWS OF CERTAIN STATES. THESE SECURITIES MAY NOT BE OFFERED, SOLD OR OTHERWISE TRANSFERRED,
PLEDGED OR HYPOTHECATED EXCEPT AS PERMITTED IN THIS SAFE AND UNDER THE ACT AND APPLICABLE STATE SECURITIES LAWS PURSUANT TO AN EFFECTIVE
REGISTRATION STATEMENT OR AN EXEMPTION THEREFROM.


 


BIGTOKEN,
INC.


 


SAFE


(Simple
Agreement for Future Equity)


 


THIS
CERTIFIES THAT, in exchange for the payment by SRAX, Inc. (the “Investor”) of $[*] (the “Purchase Amount”)
on or about February 10, 2022, BIGtoken, Inc., a Florida corporation (the “Company”), issues to the Investor the right
to certain securities of the Company’s, subject to the terms described below.


 


The
“Discount Rate” is 80%.


 


The
“Warrant Coverage” is 100%.


 


See
Section 2 for certain additional defined terms.


 


1. Events


 


(a)
Financing. At any time there is a Financing prior to the termination of this Safe, this Safe may be converted, at the option
of the Investor, into: (i) the number of shares of Safe Preferred Stock equal to the applicable Purchase Amount divided by the Discount
Price and (ii) Warrants to purchase such number of shares of Safe Preferred Stock equal to the applicable Purchase Amount divided by
the Discount Price. Provided that upon conversion of the Safe, in no event will the number of Warrants held by Investor exceed such number
of shares equal to the applicable Purchase Amount divided by the Discount Price.


 


In
connection with the conversion of this Safe into shares of Safe Preferred Stock and Warrants, the Investor will execute and deliver to
the Company all of the transaction documents related to the Financing; provided, that such documents (i) are the same documents
to be entered into with the purchasers of the Financing, with appropriate variations for the Safe Preferred Stock if applicable, and
(ii) have customary exceptions to any drag-along applicable to the Investor, including (without limitation) limited representations,
warranties, liability and indemnification obligations for the Investor.


 


(b) Liquidity
Event. If there is a Liquidity Event before the termination of this Safe, this Safe will automatically be entitled (subject to
the liquidation priority set forth in Section 1(d) below) to receive a portion of Proceeds, due and payable to the Investor immediately
prior to, or concurrent with, the consummation of such Liquidity Event, equal to, at the election of the Investor, the greater of (i)
the Purchase Amount (the “Cash-Out Amount”), (ii) the amount payable on the number of shares of Common Stock equal
to the Purchase Amount divided by the Discount Price or (iii) such number of shares of Safe Preferred Stock and Warrants equal to the
Purchase Amount divided by the Discount Price (the “Conversion Amount”). If any of the Company’s securityholders
are given a choice as to the form and amount of Proceeds to be received in a Liquidity Event, the Investor will be given the same choice,
provided that the Investor may not choose to receive a form of consideration that the Investor would be ineligible to receive
as a result of the Investor’s failure to satisfy any requirement or limitation generally applicable to the Company’s securityholders,
or under any applicable laws.


 


Notwithstanding
the foregoing, in connection with a Change of Control intended to qualify as a tax-free reorganization, the Company may reduce the cash
portion of Proceeds payable to the Investor by the amount determined by its board of directors in good faith for such Change of Control
to qualify as a tax-free reorganization for U.S. federal income tax purposes, provided that such reduction (A) does not reduce the total
Proceeds payable to such Investor and (B) is applied in the same manner and on a pro rata basis to all securityholders who have equal
priority to the Investor under Section 1(d).


 




    	 	 	 



    	 



    


 



(c) Dissolution Event. If there is a Dissolution Event before the termination of this Safe, the Investor will
automatically be entitled (subject to the liquidation priority set forth in Section 1(d) below) to receive a portion of Proceeds
equal to the Cash-Out Amount, due and payable to the Investor immediately prior to the consummation of the Dissolution
Event.


 


(d)
Liquidation Priority. In a Liquidity Event or Dissolution Event, this Safe is intended to operate like standard non-participating
Preferred Stock. The Investor’s right to receive its Cash-Out Amount is:


 


(i) Junior
to payment of outstanding indebtedness and creditor claims, including contractual claims for payment and convertible promissory notes
(to the extent such convertible promissory notes are not actually or notionally converted into Capital Stock);


 


(ii) On
par with payments for other Safes and/or Preferred Stock, and if the applicable Proceeds are insufficient to permit full payments to
the Investor and such other Safes and/or Preferred Stock, the applicable Proceeds will be distributed pro rata to the Investor and such
other Safes and/or Preferred Stock in proportion to the full payments that would otherwise be due; and


 


(iii)
Senior to payments for Common Stock.


 


The
Investor’s right to receive its Conversion Amount is (A) on par with payments for Common Stock and other Safes and/or Preferred
Stock who are also receiving Conversion Amounts or Proceeds on a similar as-converted to Common Stock basis, and (B) junior to payments
described in clauses (i) and (ii) above (in the latter case, to the extent such payments are Cash-Out Amounts or similar liquidation
preferences).


 



(e) Termination. This Safe will automatically terminate (without relieving the Company of any obligations arising from
a prior breach of or non-compliance with this Safe) immediately following the earliest to occur of: (i) the issuance of all Safe
Preferred Stock to the Investor pursuant to the conversion of the entire Purchase Price of this Safe under Section 1(a); or (ii) the
payment, or setting aside for payment, of amounts due the Investor pursuant to Section 1(b) or Section 1(c).


 


2. Definitions


 



“Capital Stock” means the capital stock of the Company, including, without limitation, the “Common
Stock” and the “Preferred Stock.”


 



“Change of Control” means (i) a transaction or series of related transactions in which any “person”
or “group” (within the meaning of Section 13(d) and 14(d) of the Securities Exchange Act of 1934, as amended), becomes
the “beneficial owner” (as defined in Rule 13d-3 under the Securities Exchange Act of 1934, as amended), directly or
indirectly, of more than 50% of the outstanding voting securities of the Company having the right to vote for the election of
members of the Company’s board of directors, (ii) any reorganization, merger or consolidation of the Company, other than a
transaction or series of related transactions in which the holders of the voting securities of the Company outstanding immediately
prior to such transaction or series of related transactions retain, immediately after such transaction or series of related
transactions, at least a majority of the total voting power represented by the outstanding voting securities of the Company or such
other surviving or resulting entity or (iii) a sale, lease or other disposition of all or substantially all of the assets of the
Company.


 


“Convertible
Securities” includes this Safe and other convertible securities issued by the Company, including but not limited to: (i) other
Safes; (ii) convertible promissory notes and other convertible debt instruments; and (iii) convertible securities that have the right
to convert into shares of Capital Stock.


 


“Discount
Price” means the Lowest price per share of equity securities sold in any Financing (prior to the termination of this Safe)
multiplied by the Discount Rate.


 




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“Dissolution Event” means (i) a voluntary termination of operations, (ii) a general assignment for the benefit of
the Company’s creditors or (iii) any other liquidation, dissolution or winding up of the Company (excluding a
Liquidity Event), whether voluntary or involuntary.


 


“Financing”
means a bona fide transaction or series of transactions with the principal purpose of raising capital, pursuant to which the Company
issues securities.


 


“Liquidity
Event” means a Change of Control or the listing of the Company’s Capital Stock on a National Securities Exchange.


 


“National
Securities Exchange” means a securities exchange that has registered with the SEC under Section 6 of the Securities Exchange
Act of 1934.


 



“Options” includes options, restricted stock awards or purchases, RSUs, SARs, warrants or similar securities,
vested or unvested.


 


“Proceeds”
means cash and other assets (including without limitation stock consideration) that are proceeds from the Liquidity Event or the Dissolution
Event, as applicable, and legally available for distribution.


 


“Promised
Options” means promised but ungranted Options that are the greater of those (i) promised pursuant to agreements or understandings made prior to the execution of, or in connection
with, the term sheet or letter of intent for the Financing or Liquidity Event, as applicable (or the closing of any Financing or consummation
of the Liquidity Event, if there is no term sheet or letter of intent), (ii) in the case of an Financing, treated as outstanding Options
in the calculation of the Standard Preferred Stock’s price per share, or (iii) in the case of a Liquidity Event, treated as outstanding
Options in the calculation of the distribution of the Proceeds.


 



“Safe” means an instrument containing a future right to shares of Capital Stock or Convertible Securities, similar
in form and content to this instrument, purchased by investors for the purpose of funding the Company’s business operations. References
to “this Safe” mean this specific instrument.


 


“Safe
Preferred Stock” means the shares of non-voting Series D Preferred Stock issued to the Investor in an Equity Financing, having
the identical rights, privileges, preferences and restrictions as contained in the certificate of designation attached hereto as Exhibit
A.


 


“SEC”
means the United States Securities and Exchange Commission. 


 


“Unissued
Option Pool” means all shares of Capital Stock that are reserved, available for future grant and not subject to any outstanding Options or Promised Options
(but in the case of a Liquidity Event, only to the extent Proceeds are payable on such Promised Options) under any equity incentive or
similar Company plan.


 


“Warrant”
means a warrant to purchase such number of shares of Safe Preferred Stock equal to the applicable Purchase Amount divided by the Discount
Price. The Warrant will have: (i) an exercise price equal to the Discount Price, (ii) price protection, but will not result in additional
shares underlying the Warrant, and (iii) a term of 5 years.


 




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3. Company
Representations


 


(a)
The Company is a corporation duly organized, validly existing and in good standing under the laws of its state of incorporation, and
has the power and authority to own, lease and operate its properties and carry on its business as now conducted.


 


(b)
The execution, delivery and performance by the Company of this Safe is within the power of the Company and has been duly authorized
by all necessary actions on the part of the Company (subject to section 3(d)). This Safe constitutes a legal, valid and binding
obligation of the Company, enforceable against the Company in accordance with its terms, except as limited by bankruptcy, insolvency
or other laws of general application relating to or affecting the enforcement of creditors’ rights generally and general
principles of equity. To its knowledge, the Company is not in violation of (i) its current certificate of incorporation or bylaws,
(ii) any material statute, rule or regulation applicable to the Company or (iii) any material debt or contract to which the Company
is a party or by which it is bound, where, in each case, such violation or default, individually, or together with all such
violations or defaults, could reasonably be expected to have a material adverse effect on the Company.


 


(c)
The performance and consummation of the transactions contemplated by this Safe do not and will not: (i) violate any material
judgment, statute, rule or regulation applicable to the Company; (ii) result in the acceleration of any material debt or contract to
which the Company is a party or by which it is bound; or (iii) result in the creation or imposition of any lien on any property,
asset or revenue of the Company or the suspension, forfeiture, or nonrenewal of any material permit, license or authorization
applicable to the Company, its business or operations.


 



(d) No consents or approvals are required in connection with the performance of this Safe, other than: (i) the Company’s
corporate approvals; (ii) any qualifications or filings under applicable securities laws; and (iii) necessary corporate approvals
for the authorization of Capital Stock issuable pursuant to Section 1.


 


(e)
To its knowledge, the Company owns or possesses (or can obtain on commercially reasonable terms) sufficient legal rights to all
patents, trademarks, service marks, trade names, copyrights, trade secrets, licenses, information, processes and other intellectual
property rights necessary for its business as now conducted and as currently proposed to be conducted, without any conflict with, or
infringement of the rights of, others.


 


4. Investor
Representations


 


(a)
The Investor has full legal capacity, power and authority to execute and deliver this Safe and to perform its obligations hereunder.
This Safe constitutes valid and binding obligation of the Investor, enforceable in accordance with its terms, except as limited by
bankruptcy, insolvency or other laws of general application relating to or affecting the enforcement of creditors’ rights
generally and general principles of equity.


 


(b)
The Investor is an accredited investor as such term is defined in Rule 501 of Regulation D under the Securities Act, and
acknowledges and agrees that if not an accredited investor at the time of an Equity Financing, the Company may void this Safe and
return the Purchase Amount. The Investor has been advised that this Safe and the underlying securities have not been registered
under the Securities Act, or any state securities laws and, therefore, cannot be resold unless they are registered under the
Securities Act and applicable state securities laws or unless an exemption from such registration requirements is available. The
Investor is purchasing this Safe and the securities to be acquired by the Investor hereunder for its own account for investment, not
as a nominee or agent, and not with a view to, or for resale in connection with, the distribution thereof, and the Investor has no
present intention of selling, granting any participation in, or otherwise distributing the same. The Investor has such knowledge and
experience in financial and business matters that the Investor is capable of evaluating the merits and risks of such investment, is
able to incur a complete loss of such investment without impairing the Investor’s financial condition and is able to bear the
economic risk of such investment for an indefinite period of time.


 




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5. Miscellaneous


 



(a) Any provision of this Safe may be amended, waived or modified by written consent of the Company and the Investor.


 



(b) Any notice required or permitted by this Safe will be deemed sufficient when delivered personally or by overnight courier or
sent by email to the relevant address listed on the signature page, or 48 hours after being deposited in the U.S. mail as certified
or registered mail with postage prepaid, addressed to the party to be notified at such party’s address listed on the signature
page, as subsequently modified by written notice.


 



(c) The Investor is not entitled, as a holder of this Safe, to vote or be deemed a holder of Capital Stock for any purpose other
than tax purposes, nor will anything in this Safe be construed to confer on the Investor, as such, any rights of a Company
stockholder or rights to vote for the election of directors or on any matter submitted to Company stockholders, or to give or
withhold consent to any corporate action or to receive notice of meetings, until shares have been issued on the terms described in
Section 1.


 



(d) Neither this Safe nor the rights in this Safe are transferable or assignable, by operation of law or otherwise, by either party
without the prior written consent of the other; provided, however, that this Safe and/or its rights may be assigned without
the Company’s consent by the Investor (i) to the Investor’s estate, heirs, executors, administrators, guardians and/or
successors in the event of Investor’s death or disability, or (ii) to any other entity who directly or indirectly, controls,
is controlled by or is under common control with the Investor, including, without limitation, any general partner, managing member,
officer or director of the Investor, or any venture capital fund now or hereafter existing which is controlled by one or more
general partners or managing members of, or shares the same management company with, the Investor; and provided, further,
that the Company may assign this Safe in whole, without the consent of the Investor, in connection with a reincorporation to change
the Company’s domicile.


 


(e) In
the event any one or more of the provisions of this Safe is for any reason held to be invalid, illegal or unenforceable, in whole or
in part or in any respect, or in the event that any one or more of the provisions of this Safe operate or would prospectively
operate to invalidate this Safe, then and in any such event, such provision(s) only will be deemed null and void and will not affect
any other provision of this Safe and the remaining provisions of this Safe will remain operative and in full force and effect and
will not be affected, prejudiced, or disturbed thereby.


 



(f) All rights and obligations hereunder will be governed by the laws of the State of California, without regard to the conflicts of
law provisions of such jurisdiction.


 



(g) The parties acknowledge and agree that for United States federal and state income tax purposes this Safe is, and at all times
has been, intended to be characterized as stock, and more particularly as common stock for purposes of Sections 304, 305, 306, 354,
368, 1036 and 1202 of the Internal Revenue Code of 1986, as amended. Accordingly, the parties agree to treat this Safe consistent
with the foregoing intent for all United States federal and state income tax purposes (including, without limitation, on their
respective tax returns or other informational statements).


 


(Signature
page follows)


 




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IN
WITNESS WHEREOF, the undersigned have caused this Safe to be duly executed and delivered.


 


	 	BIGTOKEN,
    INC.
	 	 	             
	 	By:	
	 	 	David
    J. Moore
	 	 	CEO
	 	 	 
	 	Address:
	 	 	 
	 	Email:	



 


	 	INVESTOR:
	 	
	 	By:	SRAX,
Inc.
	 	Name:	Michael
Malone
	 	Title:	CFO



 


	 	Address:	_____________________________________
	 	 	 
	 	Email:	_____________________________________