Document:

Exhibit 10.1

 

EMPLOYMENT AGREEMENT

 

This
Employment Agreement (the “Agreement”) is entered into as of December 19, 2022 by Volcon, Inc.
(“Volcon”), a Delaware corporation, and have executed it (the “Effective Date”).

 

1.                  Position. Executive will serve, on an at-will basis, in the full-time position of Chief Technology Officer of Volcon,
reporting to a committee of Volcon’s Board of Directors (the “Board”) consisting of the Board’s independent
directors. Executive’s day-to-day activities shall be subject to the oversight of Volcon’s Chief Executive Officer (the “CEO”).

 

2.                 
Base Salary. Beginning on the January 1, 2023, Volcon will pay Executive a gross annual base salary of $170,000.00 (the
“Base Salary”), less all applicable withholdings and deductions, in equal payments in accordance with Volcon’s
normal payroll practices. Volcon’s Board will review the Base Salary periodically and, in its sole discretion, may adjust the Base
Salary.

 

3.                 
Employment Benefits. Volcon shall provide Executive with the employment benefits that are ordinarily provided from time
to time to its similarly situated regular full-time executive employees. All employment benefits provided by Volcon shall be governed
by the applicable plan documents, insurance policies, or employment policies of Volcon, and may be modified, suspended, or revoked by
the Volcon in its sole discretion in accordance with the terms of the applicable documents or policies without violating this Agreement.

 

4.                 
Expense Reimbursement. Volcon, consistent with its internal policies and procedures, will reimburse Executive for all
reasonable, appropriate, and documented expenses incurred in the course of properly performing Employee’s duties and responsibilities.
Executive agrees to submit an expense report with supporting documentation no later than the month after the month during which Executive
incurred the expense. Volcon agrees to reimburse approved expenses no later than the month after the month during which Executive submitted
the expense report. Notwithstanding the foregoing, all expense reimbursements required by this Agreement will be made no later than the
last day of the calendar year following the calendar year in which the expense was incurred.

 

5.                  Termination of Consulting Agreement with Pink Possum, LLC. Volcon, Pink Possum, LLC, and Executive hereby agree that
the Consulting Agreement between Volcon and Pink Possum, LLC dated August 28, 2020, as amended by an Amendment to the Consulting Agreement
dated March 26, 2021 (the “Consulting Agreement” see Appendix A) is hereby terminated, except as otherwise provided
below. The termination of the Consulting Agreement does not affect vested rights granted to Pink Possum, LLC under the Consulting Agreement.
The following paragraphs of the Consulting Agreement survive its termination: 2(c), and 5–18.

 

6.                 
Termination. This Agreement and Executive’s employment with Volcon will continue until terminated as set forth
in this paragraph 6:

 

(a)              
By Volcon for Cause. Volcon may terminate this Agreement and Executive’s employment at any time for “Cause”
if, as determined by Volcon in its sole discretion, Executive (i) has committed an act involving fraud, dishonesty, disloyalty, or a conflict
of interest against Volcon, (ii) has been convicted of or enters a plea of nolo contendere to any felony or a misdemeanor involving honesty,
integrity, moral turpitude, or unethical conduct, (iii) has engaged in willful misconduct that results or could have resulted in serious
injury (monetary or otherwise) to Volcon or is materially detrimental to Volcon’s business, reputation, or goodwill, (iv) in carrying
out Executive’s assigned duties, has engaged in gross negligence that results in material injury, monetary or otherwise, to Volcon,
(v) has engaged in sexual, racial, or other harassment, (vi) uses illegal drugs or becomes intoxicated by alcohol or drugs in a manner
that adversely affects Executive’s ability to perform Executive’s assigned duties, (vii) fails to cooperate in any material
respect with any investigation or inquiry authorized by Volcon or conducted by a governmental authority related to Volcon’s business,
(viii) fails to comply in any material respect with any written or oral direction of the CEO or Board that reasonably relates to the performance
of Executive’s duties that Executive can physically perform, (ix) materially violates any Volcon written policies, or (x) fails
to perform or uphold in any material respect any duty under this Agreement. If Volcon terminates this Agreement and Executive’s
employment for Cause, Volcon will have no further obligation to Executive other than the following “Accrued Obligations”:

 

		(A)	any accrued but unpaid Base Salary through Executive’s last day of employment;
	 	 	 
		(B)	reimbursement of timely-submitted and approved expenses; and
	 	 	 
		(C)	any vested employee benefits to which Executive may be entitled under Volcon’s employee benefit
plans as of Executive’s last day of employment.

 

The Accrued Obligations will
be paid when otherwise due under the terms of this Agreement or Volcon’s business-expense-reimbursement policy or employee benefit
plans, as applicable.

 

 

 

 

 

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(b)              
Voluntary Resignation by Executive.

 

i.                         Notice Period. Executive may terminate this Agreement and Executive’s employment at any time for any or no
reason by providing both the CEO and the Board at least 30 days’ written notice (the “Notice Period”). At its
sole option, Volcon at any time may choose to accept Executive’s resignation sooner by paying Executive an amount equal to the then-current
Base Salary attributable to the number of days between the date it accepts the resignation and the effective resignation date specified
by Executive (the “Resignation Payment”), less all applicable withholdings and deductions, but in no event will the
Resignation Payment exceed 30 days of the then-current Base Salary. Volcon’s decision to accept Executive’s voluntary resignation
sooner will not be considered a termination of this Agreement or Executive’s employment by Volcon for any purpose. As a condition
of receiving the Resignation Payment, Executive must sign and not revoke as permitted by applicable law a general release agreement in
a form acceptable to Volcon within 55 days of Executive’s last day of employment. Volcon will pay the Resignation Payment to Executive
on Volcon’s regularly-scheduled paydays, beginning on the first payday that occurs after the effective date of the general release
agreement (as set out in the general release agreement), but in no event later than 74 days following Executive’s last day of employment,
in amounts equal to the Base Salary that Executive had previously received on each payday. In the event of a voluntary resignation, Volcon
will have no further obligation to Executive, except for the Resignation Payment, Accrued Obligations, and any accrued but unused vacation
through the last day of employment.

 

ii.                        Liquidated Damages. Executive acknowledges Volcon has a legitimate interest in receiving at least 30 days’
notice of Executive’s resignation; that damages resulting from Executive’s failure to provide such notice are difficult to
estimate; that the liquidated damages provided in this subparagraph are a fair and reasonable forecast of the damages that would result
from any such failure; and that the parties have negotiated the fact of and amount of liquidated damages. Accordingly, Executive agrees
that if Executive provides less than 30 days’ notice of Executive’s intent to terminate this Agreement and resign Executive’s
employment, Executive will pay to Volcon as liquidated damages an amount equal to the then-current Base Salary attributable to the difference
between 30 days and the number of days specified in Executive’s resignation notice. Moreover, Volcon may, at its sole option and
without affecting its right to receive such liquidated damages, choose to accept Executive’s resignation sooner, in which case Volcon
will be under no further obligation to Executive other than the payment of the Accrued Obligations.

 

(c)              
Resignation by Executive with Good Reason. Executive may terminate this Agreement and Executive’s employment
with Volcon for “Good Reason,” which is the occurrence of any of the following events without Executive’s consent:
(i) a material reduction in the Base Salary as in effect immediately before such reduction; (ii) a material reduction in the duties, responsibilities,
and status of Executive’s employment with Volcon; or (iii) Volcon’s material breach of its obligations to Executive under
this Agreement. Notwithstanding the foregoing, Executive will not have Good Reason if Volcon reduces the Base Salary proportionately in
connection with an across-the-board salary reduction for its other executives. Executive may not resign Executive’s employment for
Good Reason unless Executive first notifies the CEO and the Board in writing of the existence of the circumstances providing grounds for
resignation for Good Reason within 30 days of the initial existence of such grounds and Volcon has had at least 30 days from the date
when Executive provides such notice to cure the circumstances. If Executive does not resign his employment for Good Reason within 30 days
after Executive provides such timely notice to Volcon of the applicable grounds, then Executive will be deemed to have waived Executive’s
right to resign for Good Reason with respect to such grounds.

 

(d)               Death or Disability. In the event of Executive’s death or Inability to Perform (as defined below), this Agreement
and Executive’s employment will terminate immediately. If this Agreement terminates under this paragraph 6(d), Volcon will have
no further obligation to Executive (or Executive’s estate or heirs) under this Agreement except for the Accrued Obligations. “Inability
to Perform” means that Executive is, despite any reasonable accommodation required by law, unable to perform the essential functions
of Executive’s position because of an illness or injury for more than 45 consecutive days.

 

 

 

 

 

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(e)              
By Volcon Without Cause or by Executive for Good Reason Not Following Change in Control. Volcon may terminate this
Agreement and Executive’s employment at any time and for any reason. If Executive’s employment and this Agreement are terminated
by Volcon without Cause or by Executive for Good Reason at any time that is not within six (6) months after the occurrence of a Change
in Control (as defined below):

 

i.     
Volcon will pay Executive an amount equivalent to six months of the then-current Base Salary (the “Severance Payment”),
less all applicable withholdings and deductions. As a condition of receiving the Severance Payment, Executive must sign and not revoke
as permitted by applicable law a general release agreement in a form acceptable to Volcon within 55 days of Executive’s last day
of employment. Volcon will pay the Severance Payment to Executive in a lump-sum on Volcon’s first regularly-scheduled payday that
occurs after the effective date of the general release agreement (as set out in the general release agreement), but in no event later
than 74 days following Executive’s last day of employment. In the event that Volcon terminates this Agreement and Executive’s
employment without Cause, Volcon will have no further obligation to Executive under this Agreement, except for the Severance Payment and
the Accrued Obligations.

 

ii.     
For purposes of this Agreement, “Change in Control” shall mean:

 

		A.	The consummation of any transaction or series of related transactions involving the sale of Volcon’s
outstanding securities (but excluding a public offering of the Volcon’s capital stock) for securities or other consideration issued
or paid or caused to be issued or paid by such other corporation or an affiliate thereof and which result in Volcon’s shareholders
(or their affiliates) immediately prior to such transaction not holding at least a majority of the voting power of the surviving or continuing
entity following such transaction; or
	 	 	 
		B.	The consummation by Volcon (whether directly involving Volcon or indirectly involving Volcon through one
or more intermediaries) of (i) a merger, consolidation, reorganization, or business combination or (ii) a sale or other disposition
of all or substantially all of Volcon’s assets or (iii) the acquisition of assets or stock of another entity, in each case,
other than a transaction which results in Volcon’s voting securities outstanding immediately before the transaction continuing to
represent (either by remaining outstanding or by being converted into voting securities of Volcon or the person or entity that, as a result
of the transaction, controls, directly or indirectly, Volcon or owns, directly or indirectly, all or substantially all of Volcon’s
assets or otherwise succeeds to the business of Volcon (Volcon or such person, the “Successor Entity”)) directly or
indirectly, at least a majority of the combined voting power of the Successor Entity’s outstanding voting securities immediately
after the transaction.
	 	 	 

(f)                By Volcon Without Cause or by Executive for Good Reason Following Change in Control. If at any time within six (6)
months after a Change in Control, Executive’s employment is terminated by Volcon without Cause or by Executive for Good Reason,
then Executive shall be entitled to the payments and benefits provided in paragraph 6(e)(i) hereof, subject to the terms and conditions
thereof (including, without limitation, the requirement that a condition to Executive’s right to receive the amounts provided for
thereunder is that Executive execute, deliver, and not revoke a general release agreement in a form acceptable to Volcon), except that
for purposes of this paragraph 6(f), the Severance Payment shall be an amount equivalent to twelve (12) months of the Executive’s
then-current Base Salary, less all applicable withholdings and deductions.

 

(g)              
Offset. Executive agrees that Volcon may set off against, and Executive authorizes Volcon to deduct from, any payments
due to Executive or Executive’s estate, any amounts that may be due and owing to Volcon by him; provided, however, that any such
set-off or deduction will be made in a manner that complies with Section 409A of the Internal Revenue Code to the extent applicable. Such
right of set-off is without prejudice to Executive’s right to challenge such set-off.

 

(h)              
Cooperation. Executive agrees to cooperate with Volcon in connection with any internal and public announcement regarding
the termination of the employment relationship.

 

 

 

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(i)                
Compliance with Obligations and After-Acquired Evidence. Notwithstanding any other provision in this Agreement, Volcon’s
obligation to provide the Resignation Payment or the Severance Payment, if applicable, to Executive is subject to Executive’s past
and continuing compliance with all obligations under this Agreement. Volcon may suspend or cease providing any part of the Resignation
Payment or the Severance Payment if Executive has materially breached any such obligations, but all other provisions of this Agreement
will remain in full force and effect. In addition, and notwithstanding any provision of this Agreement, if Volcon provides the Resignation
Payment or the Severance Payment to Executive but subsequently acquires evidence and determines in its sole discretion that (i) Executive
has materially breached any obligation under this Agreement; or (ii) a condition before Volcon provided the Resignation Payment or the
Severance Payment that, had Volcon been fully aware of such condition, would have given Volcon the right to terminate Executive’s
employment for Cause earlier, then Executive will promptly forfeit and return to Volcon any Resignation Payment or Severance Payment received
under this Agreement, but all other provisions of this Agreement will remain in full force and effect. Volcon’s rights under this
paragraph 6(i) will be in addition to any other available rights and remedies should Executive breach any obligation under this Agreement
or should any after-acquired evidence be discovered.

 

7.                  Use of Third-Party Confidential Information.  Executive promises that Executive will not use in the performance of Executive’s
duties any confidential or proprietary information, documents or materials of a former employer or other third party that are not generally
available to the public or have not been otherwise legally transferred to Volcon.

 

8.                 
Confidential Information.

 

(a)               Definition of Confidential Information. “Confidential Information” means any compilation of information
used in Volcon’s business that gives Volcon an opportunity to obtain an advantage over competitors and that is not generally known
or readily ascertainable by independent investigation, and includes without limitation: all confidential or proprietary information and
data, including all intellectual property and trade secrets; databases and lists of vendors, suppliers, customers, prospects, and employees;
information regarding customer accounts; customer contacts; employee applications, qualifications, performance, and compensation; customer
preferences; assets, profits, and losses; sales reports and analyses; employee reports and analyses; customer profit margin data; methods
of operation and sales techniques; processes, techniques, methods, formulations, and other production-related information; statistical
information; specially negotiated terms with vendors and customers; pricing information; research and development, business projects,
strategic business plans, and strategies; sales and marketing techniques; and any information provided to Volcon by, or including or related
to, its customers and prospective customers. Confidential Information does not include any information that is or becomes generally available
to the public other than as a result of a disclosure or wrongful act by Executive or was available to Executive on a nonconfidential basis
before its disclosure by Volcon.

 

(b)              
Agreement Not to Disclose Confidential Information. Executive will not directly or indirectly (i) use any Confidential
Information, except as necessary to properly perform Executive’s duties and responsibilities to Volcon pursuant to this Agreement,
(ii) disclose any Confidential Information in any manner to any person or entity who is not a director, manager, officer, employee,
consultant, representative, agent, or legal counsel of Volcon or its affiliates, or (iii) disclose any Confidential Information in
any manner to any other person or entity unless previously authorized in writing by the Board. The restrictions set forth in this paragraph
8(b) will not apply to disclosures made in compliance with the Defend Trade Secrets Act of 2016 (the “DTSA”), 18 U.S.C.
§ 1833(b). The DTSA provides in relevant part:

 

An individual will not be held criminally
or civilly liable under any Federal or State trade secret law for the disclosure of a trade secret that—(A) is made—(i) in
confidence to a Federal, State, or local government official, either directly or indirectly, or to an attorney; and (ii) solely for the
purpose of reporting or investigating a suspected violation of law; or (B) is made in a complaint or other document filed in a lawsuit
or other proceeding, if such filing is made under seal.

 

Executive acknowledges that (i) Executive has
a right to disclose in confidence trade secrets to federal, state, or local government officials, or to an attorney, for the sole purpose
of reporting or investigating a suspected violation of law, (ii) Executive has a right to disclose trade secrets in a complaint or other
document filed in a lawsuit or other proceeding so long as the document is filed under seal and Executive otherwise does not disclose
such trade secrets, except pursuant to court order, (iii) nothing in this Agreement conflicts with the DTSA or creates liability for disclosures
allowed under the DTSA, and (iv) nothing in this Agreement restricts or prohibits Executive from filing a charge or complaint with, contacting,
or cooperating with an investigation conducted by a government agency, or making disclosures or giving truthful testimony as required
by law or valid legal process, such as by a subpoena or court order.

 

 

 

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(c)              
Agreement to Return Confidential Information. At any time during Executive’s employment upon Volcon’s
request and upon the ending of Executive’s employment for any reason, Executive agrees to return to Volcon any Confidential Information,
and all copies of any Confidential Information in any form or medium, in Executive’s possession, custody, or control.

 

(d)              
Agreement Concerning Confidential Information. Volcon agrees to disclose to Executive such Confidential Information
as is necessary for Executive to perform Executive’s duties, responsibilities, and authorities under this Agreement. Executive acknowledges
and agrees that absent the promises and representations made by Executive in this paragraph 8, Volcon would not provide Executive with
Confidential Information, would not authorize Executive to engage in activities that will create Confidential Information, and would not
have entered into this Agreement.

 

9.                 
Restricted Activities.

 

(a)              
Definitions. The activities described in this paragraph 9 are referred to as the “Restricted Activities.”
A “Competing Business” is any business involved in the sales, marketing, or distribution of outdoor powersports equipment,
including but not limited to motorcycles and off-road vehicles, in the United States or any other product that Volcon sell, markets, or
distributes in the United States. The Restricted Period is during Executive’s employment and for a 12-month period after
Executive’s employment ends for any reason.

 

(b)              
Non-Solicitation. Executive agrees that, while employed by Volcon and during the Restricted Period, Executive will
not directly or indirectly, through social media or any other form of communication, for Executive’s own account or for the benefit
of any other person:

 

i.                        hire, attempt to hire, employ, solicit for employment, or recruit any person who is then or was within the previous six months
employed by Volcon or had an independent-contractor relationship with Volcon, or entice, persuade, encourage, induce, advise, or recommend
to any such person that he or she terminate or abandon his or her employment or contractual relationship with Volcon or enter into any
relationship with a Competing Business;

 

ii.                       solicit, contact, persuade, induce, or entice, or attempt to solicit, contact, persuade, induce, or entice any customer or prospective
customer to whom or which Volcon sold products or solicited to sell products during the 12-month period immediately preceding the termination
of Executive’s employment, to enter any relationship with a Competing Business, to cease or reduce the level of his, her, or its
business relationship with Volcon, or to refrain from entering into a business relationship with Volcon; or

 

iii.                      solicit, contact, persuade, induce, or entice, or attempt to solicit, contact, persuade, induce, or entice any supplier or vendor
from whom or which Volcon purchased products or received services from during the 12-month period immediately preceding the termination
of Executive’s employment to breach any agreement or contract with, or discontinue or curtail his, her, or its business relationships
with, Volcon.

 

The post-termination restrictions described in
this paragraph 9(b) apply only to those persons with whom Executive had contact relating to Volcon’s business, or about whom Executive
had access to Confidential Information.

 

(c)              
Acknowledgements Regarding Restricted Activities. Executive agrees that the provisions of this Agreement regarding
Restricted Activities will survive the termination of this Agreement and Executive’s employment, regardless of the reason for such
termination. Executive acknowledges and agrees that (i) Executive’s position, responsibilities, and access to Confidential Information
give rise to Volcon’s interest in the Restricted Activities, (ii) the Restricted Activities are designed to enforce Executive’s
promises and undertakings set forth in paragraph 9 and Executive’s common-law obligations and duties owed to Volcon, (iii) the Restricted
Activities are reasonable and do not impose a greater restraint than necessary to protect Volcon’s goodwill, Confidential Information,
and other legitimate business interests, (iv) Executive’s access to Confidential Information and promises and undertakings
under paragraphs 8 and 9 are not contingent on the duration of Executive’s employment with Volcon, and (v) in the event that a court
deems any provision regarding Restricted Activities to exceed the limits permitted by any applicable law, such provisions will be, and
are, reformed to the maximum limitations permitted by applicable law.

 

 

 

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10.               Nondisparagement. Executive agrees that while employed by Volcon and thereafter Executive will not, directly or indirectly,
make or publish any disparaging statements (whether oral, written, electronic, anonymous, on the Internet, or otherwise) regarding Volcon
or its affiliates, or their businesses, operations, officers, members, managers, management, employees, agents, principal stockholders,
or customers.

 

11.               Agreement to Waive Certain Rights. Executive knowingly, voluntarily, and intelligently waives any free-speech, free-petition,
free-association, free-press, or other U.S. or state constitutional rights Executive may have to make any statements prohibited under
this Agreement. Executive further irrevocably waives the right to file a motion to dismiss or pursue any other relief under the Texas
Citizens Participation Act or similar state law in connection with any claim or cause of action filed against Executive by Volcon arising
from any alleged breach by Executive of this Agreement.

 

12.                Inventions. Any and all Confidential Information and other discoveries, inventions, improvements, trade secrets, know-how,
works of authorship, or other intellectual property conceived, created, written, developed, or first reduced to practice by Executive,
alone or jointly, in the performance of Executive’s duties, responsibilities, or authorities for Volcon before or after the execution
of this Agreement (the “Inventions”) will be Volcon’s sole and exclusive property. Executive acknowledges that
all original works of authorship protectable by copyright that are produced by Executive in the performance of Executive’s duties,
responsibilities, or authorities for Volcon are “works made for hire” as defined in the United States Copyright Act
(17 U.S.C. § 101). In addition, to the extent that any such works are not works made for hire under the United States Copyright Act,
Executive assigns without further consideration all right, title, and interest in such works to Volcon. Executive will promptly and fully
disclose to Volcon all Inventions, will treat all Inventions as Confidential Information, and assigns to Volcon without further consideration
all of Executive’s right, title, and interest in and to any and all Inventions, whether or not copyrightable or patentable. Executive
agrees to execute all papers, including applications, invention assignments, and copyright assignments, and will otherwise assist Volcon
as reasonably required to memorialize, confirm, and perfect in them the rights, title, and other interests granted to Volcon under this
Agreement.

 

13.                Social Media. Executive agrees that (a) any social media accounts (including, without limitation, LinkedIn, Instagram,
Facebook, Twitter, and Google+) used to share information about Volcon and its products and services with customers, prospective customers,
and the public belong to Volcon and constitute Volcon’s property even if any such account is co-branded between Executive and Volcon
or opened by Executive, (b) all such contacts and followers related to any such account belong to Volcon and constitute Volcon’s
property even if any such account is co-branded between Executive and Volcon, (c) Volcon has the right in its sole discretion to control
all content provided to any such account, (d) Executive will provide the passwords to any such accounts to Volcon immediately upon Volcon’s
request, and (e) Executive will not post any information to any such accounts after Executive’s employment ends, regardless
of why the employment relationship ends, without prior written consent from the CEO.

 

14.               Return of Volcon Property. At any time during Executive’s employment upon Volcon’s request and upon the
ending of Executive’s employment for any reason, Executive agrees to promptly return to Volcon all of its property and equipment,
including without limitation, any hardware, software, or Confidential Information, as well as all documents, information, and materials
pertaining to Volcon or Executive’s work with Volcon (including all electronic or duplicate copies) in Executive’s possession,
custody, or control, or that subsequently come into Executive’s possession, custody, or control. Executive further promises Executive
will not take any documents or materials, including electronic versions or copies, containing Confidential Information in any form, and
acknowledges that such documents and materials remain Volcon’s sole and exclusive property.

 

15.               Best Efforts and Exclusive Service. Executive agrees to devote Executive’s full best efforts, time, and energy
to Executive’s duties as Chief Executive Officer of Volcon. Executive agrees to conduct all business activities in accordance with
the policies and practices of Volcon, consistent with this Agreement in a proper and professional manner so as to maintain Volcon’s
high ethical and professional standards, goodwill, and reputation. Executive further agrees that during Executive’s employment with
Volcon, Executive will not engage in any other employment or business venture without the prior written consent of the Board, who will
provide such consent unless, in its reasonable discretion, it determines that the other employment or business venture will conflict with
or adversely affect the performance of Executive’s duties for Volcon. Executive warrants that Executive is not subject to any agreement
with any other party that would restrict Executive’s employment by Volcon or the performance of Executive’s assigned duties.

 

16.                Severability and Survival. If any provision of this Agreement is held to be illegal, invalid, or unenforceable, then
(a) this Agreement will be considered divisible, (b) such provision will be deemed inoperative to the extent deemed illegal, invalid,
or unenforceable, and (c) in all other respects this Agreement will remain in full force and effect; provided, however, that if any such
provision may be made enforceable by limitation thereof, then such provision will be deemed to be so limited and will be enforceable to
the maximum extent permitted by applicable law. Executive agrees that the obligations under paragraphs 5, 6(g), 6(i), and 8 through 14
will survive the termination of this Agreement and Executive’s employment, regardless of which party initiates such termination,
and will be construed as agreements independent of any other provision of this Agreement, and the existence of any claim or cause of action
of Executive against Volcon, whether predicated on this Agreement or otherwise, will not constitute a defense to the enforcement by Volcon
of such obligations.

 

 

 

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17.                No Conflicts. Executive represents and warrants that neither Executive’s execution of this Agreement, nor Executive’s
relationship with and services reasonably expected to be rendered for Volcon, conflict with or will result in a violation of any provision
of, or constitute a default under, any agreement to which Executive is a party or by which Executive is bound, including without limitation
agreements regarding confidentiality and nonsolicitation.

 

18.                Amendment.
This Agreement may not be modified or amended except by a written instrument executed by Executive and the CEO.

 

19.               Entire Agreement. This Agreement constitutes the entire agreement between the parties concerning its subject matter
and supersedes all prior agreements and understandings, both written and oral, between the parties with respect to its subject matter,
with the exception of the Consulting Agreement discussed above in paragraph 5. Executive acknowledges that Executive is not relying on
any statements, promises, or representations that are not set out in this Agreement, but instead is relying on Executive’s own judgment
in consultation with Executive’s attorney, if any.

 

20.                Governing Law. This Agreement will be governed by and construed in accordance with the laws of the State of Texas, without
regard to its choice-of-law principles. Exclusive venue for purposes of any dispute, controversy, claim or cause of action between the
parties arising out of or related to this Agreement will be in any state or federal court of competent jurisdiction presiding over Williamson
County, Texas. Nothing in this Agreement, however, precludes either party from removing a civil action from any state court to federal
court.

 

21.                WAIVER OF RIGHT TO JURY TRIAL. NOTWITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT, EXECUTIVE IRREVOCABLY WAIVES THE RIGHT
TO TRIAL BY JURY WITH RESPECT TO ANY DISPUTE, CONTROVERSY, CLAIM, OR CAUSE OF ACTION AGAINST VOLCON OR ANY AFFILIATE OF VOLCON ARISING
OUT OF OR RELATING TO EXECUTIVE’S EMPLOYMENT WITH VOLCON (INCLUDING WITHOUT LIMITATION ANY POSITIONS HELD BY EXECUTIVE WITH VOLCON
OR ITS AFFILIATES) OR THE FORMATION OR TERMINATION OF THAT EMPLOYMENT, OR FROM THIS AGREEMENT (EITHER FOR ALLEGED BREACH OR ENFORCEMENT).

 

22.                Waiver. The waiver by either party of a breach of any term of this Agreement will not operate or be construed as a waiver
of a subsequent breach of the same provision by either party or of the breach of any other term or provision of this Agreement.

 

23.                Notices. All notices under this Agreement will be in writing and deemed to have been delivered on the date personally
delivered or on the date deposited in a receptacle maintained by the U.S. Postal Service for such purpose, postage prepaid, by certified
mail, return-receipt requested, addressed to the respective parties as follows:

 

	Christian Okonsky	Volcon, Inc.
	3019 Thousand Oaks	Attention: CEO
	Austin, TX 78746	3121 Eagles Nest St., Suite 120
	 	Round Rock, TX 78665

 

Either party may designate
a different address by providing written notice of such new address to the other party.

 

24.               Counterparts. This Agreement may be executed in two or more counterparts, each of which will be deemed an original,
but all of which together will constitute one and the same instrument. For purposes of this Agreement, use of a facsimile, email, or other
electronic medium will have the same force and effect as an original signature.

 

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IN WITNESS WHEREOF, each of the
parties has executed this Agreement as of the date written below.

 

	EXECUTIVE	VOLCON, INC. 
	 	 
	 	 
	/s/ Christian Okonsky	/s/ Jordan Davis
	Christian Okonsky	By: Jordan Davis 
	 	    Chief Executive Officer
	 	 
	Date: December 19, 2022	Date: December 19, 2022
	 	 
	 	 
	 	 
	PINK POSSUM, LLC

	 
	 	 
	/s/ Christian Okonsky	 
	By: Christian Okonsky, President	 
	 	 
	 	 
	Date: December 19, 2022	 

 

 

 

 

 

 

 

 

 

 

 

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APPENDIX A

 

VOLCON CONSULTING AGREEMENT

 

THIS CONSULTING
AGREEMENT (this “Agreement”) is made and entered into as of AUGUST 28, 2020, between VOLCON, INC., a
Delaware corporation, having its principal place of business at 3267 Bee Caves Road, 107-322, Austin, TX 78746 (the “Company”),
and PINK POSSUM, LLC., with an address at 3267 Bee Caves Road Suite 107-247, Austin, TX 78746 (“Consultant”).

 

In consideration of the mutual covenants
contained herein and other good and valuable consideration, the receipt and sufficiency of which are acknowledged, the parties agree as
follows:

 

1.                  Engagement
Period. The Company hereby engages Consultant, and Consultant hereby accepts such engagement, upon the terms and conditions set
forth herein, for the period (the “Term”) beginning on the date hereof and ending on the third anniversary of this
agreement, unless extended by the parties (“Termination Date”) except for those sections that are to survive the
termination of this agreement. The Term may be further extended by mutual written agreement.

 

2.                 Position and Duties.

 

(a)                 Services. During the Term, Consultant shall provide consulting services with respect to different technical aspects of the
Company’s products (the “Services”). The Services shall be provided at such locations reasonably determined by the Consultant.
The Consultant will report to such person(s) as designated by the Company.

 

(b)               
Performance of Services. The parties expressly acknowledge and agree that Consultant will be permitted to provide consulting
and other services to any other person or entity during the Consulting Period provided such services do not conflict with the services
being provided to the Company. Consultant shall perform the Services to the best of Consultant’s abilities in a diligent, trustworthy,
professional and efficient manner. In performing the Services hereunder, Consultant is acting as an independent contractor. Nothing in
this Agreement shall be interpreted or construed as creating or establishing an employment relationship between the Company, on the one
hand, and the Consultant, on the other hand. Consultant shall not have any right, power or authority in any way to bind the Company or
any of its affiliates to the fulfillment of any condition, contract or obligation or to create any liability binding on the part the Company
or any of its affiliates, and Consultant agrees not to represent otherwise to any third party.

 

(c)               
Compliance with Law. Consultant warrants that all work and services shall be performed in complete compliance with all relevant
laws and regulations, including all securities laws, rules, regulations and guidance. Specifically, Consultant acknowledges it will comply
with all laws, rules, regulations and guidance related to material non-public information. Consultant shall not provide any services that
require any license or permit unless consultant has the necessary license or permit to perform such services.

 

3.                 Consulting Compensation. In consideration of the Services, Consultant will receive the stock purchase warrant attached hereto
as Exhibit A. Consultant is responsible for all taxes on any consideration paid to Consultant pursuant to this Agreement.

 

4.                 Expense Reimbursement. The Company shall reimburse Consultant for all preapproved, reasonable and documented expenses incurred
by Consultant in the course of performing services under this Agreement which are consistent with the Company’s policies in effect
from time to time with respect to travel, entertainment and other business expenses, subject to the Company’s requirements with
respect to reporting and documentation of expenses. All travel will be authorized for business class.

 

 

 

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 5.                 Termination.

 

(a)                  Termination. This Agreement shall terminate at the end of the Term and may only be terminated earlier by either Party upon
thirty (30) days written notice upon a breach of this Agreement. No portion of any Common Stock or compensation (5.(b)) issued to Consultant
will be refundable despite early termination of this Agreement.

 

(b)                
Additional Compensation. Upon the occurrence of a Fundamental Transaction for an aggregate gross sales price of $100,000,000
or more, Consultant will receive an additional cash payment equal to one percent (1%) of such gross sales price. For the purposes of this
agreement, “Fundamental Transaction” means any of the following: (i) a consolidation or merger
involving the Company if the holders of the voting securities of the Company that are outstanding immediately prior to the consummation
of such consolidation or merger do not, immediately after the consummation of such consolidation or merger, hold voting securities that
collectively possess at least a majority of the voting power of all the outstanding securities of the surviving entity of such consolidation
or merger or such surviving entity’s parent entity; (ii) a transfer or issuance (in a single transaction or series of related transactions)
by one or more of the Company and its stockholders to one Person or to any group of Persons acting in concert, of shares of the Company’s
capital stock then collectively possessing fifty percent (50%) or more of the voting power of all then outstanding shares of the Company’s
capital stock (computed on an as-converted to common stock basis); or (iii) any sale, license, lease, assignment or other disposition
of all or substantially all of the assets of the Company.

 

 6.                 Confidentiality and Solicitation.

 

(a)                  Confidentiality. For purposes of this Agreement, “Confidential Information” means any information disclosed
by the Company to the Consultant, of a confidential nature or marked confidential. Confidential Information may include without limitation
such documents as business plans, source code, documentation, financial analysis, marketing plans, customer names, customer lists, customer
data, contracts and other business information, including both the information of the Company or any prospective acquisition target entity(ies),
existing or prospective customers, clients, investors or other third parties with whom the Company has relationships or conducts business
that may be disclosed in connection with the Purpose of this Agreement. Consultant agrees that it will use the Confidential Information
only in connection with its engagement for the Company and not for any other purpose. The Confidential Information shall be held in confidence
by Consultant and shall not be disclosed to any other person without the prior written consent of the Company. Notwithstanding the foregoing,
Consultant may disclose Confidential Information to the extent that: (i) the information was already in the possession of the Consultant
at the time of disclosure on a non-confidential basis; (ii) disclosure is required by law, regulation or legal process or by request from
any governmental agency or other regulatory authority (including any self-regulatory organization having or claiming to have jurisdiction);
or (iii) the information is or becomes publicly available, other than as a result of a breach of this Agreement. The provisions of this
Section shall survive the termination of Consultant’s engagement for five (5) years, provided however such provisions shall remain
in effect indefinitely solely as related to that portion of the Confidential Information that constitutes trade secrets.

 

(b)                 Solicitation. The Consultant shall not, during the Term of this Agreement and for a period of six (6) months immediately
after the termination of this Agreement, or any extension of it, either directly or indirectly (a) for purposes competitive with the
products or services currently offered by the Company, call on, solicit, or take away any of the Company’s customers about whom
the Consultant became aware as a result of the Consultant’s services to the Company hereunder, either for the Consultant or for
any other person or entity, or (b) solicit or take away or attempt to solicit or take away any of the Company’s employees or consultants
either for the Consultant or for any other person or entity.

 

7.                 Consultant’s Representations. Consultant hereby represents and warrants to the Company that (a) the execution, delivery
and performance of this Agreement by Consultant do not and shall not conflict with, breach, violate or cause a default under any contract,
agreement, instrument, order, judgment or decree to which Consultant is a party or by which Consultant is bound, (b) except as previously
disclosed to the Company in writing (a copy of such agreement having been provided to the Company and with respect to which all noncompete
restrictions shall expire prior to the commencement of the Consulting Period), Consultant is not a party to or bound by any employment
agreement, noncompete agreement or confidentiality agreement with any other person or entity and (c) upon the execution and delivery of
this Agreement by the Company, this Agreement shall be the valid and binding obligation of Consultant, enforceable in accordance with
its terms. Consultant hereby acknowledges and represents that Consultant has either consulted with independent legal counsel regarding
Consultant’s rights and obligations under this Agreement or knowingly and voluntarily waived the opportunity to do so and that Consultant
fully understands the terms and conditions contained herein. Consultant agrees it shall not use the Company’s name or the name of
any of its employees in any advertising or promotional material without the prior written consent of the Company.

 

 

 

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8.                 Severability. Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective
and valid under applicable law, but if any provision of this Agreement or the application of any such provision to any person or circumstance
shall be held to be prohibited by, illegal or unenforceable in any respect under any applicable law or rule in any jurisdiction, such
provision shall be ineffective only in the jurisdiction where so held and only to the extent of such prohibition or illegality or unenforceability,
without invalidating the remainder of such provision or the remaining provisions of this Agreement.

 

9.                 Complete Agreement. This Agreement and those documents expressly referred to herein (including the Confidentiality Agreement)
embody the complete agreement and understanding among the parties with respect to, and supersede and preempt any prior understandings,
agreements or representations by or among the parties, written or oral, which may have related to, the subject matter hereof in any way,
including, without limitation, any prior consulting agreement, by and between Consultant and the Company or any of its Subsidiaries.

 

10.               No Strict Construction. The language used in this Agreement shall be deemed to be the language chosen by the parties hereto
to express their mutual intent, and no rule of strict construction shall be applied against any party.

 

11.               Counterparts. This Agreement may be executed in separate counterparts (including by means of facsimile or by electronic
transmission in portable document format (pdf) or comparable electronic transmission), each of which is deemed to be an original and all
of which taken together constitute one and the same agreement.

 

12.                Successors and Assigns. This Agreement is personal in nature and neither of the parties hereto shall, without the consent
of the other, assign, transfer or delegate this Agreement or any rights or obligations hereunder; provided that (a) this Agreement
will inure to the benefit of and be enforceable by Consultant’s personal or legal representatives, executors, administrators, successors,
heirs, distributees and legatees (but otherwise will not otherwise be assignable, transferable or delegable by Consultant), and (b) this
Agreement will be assignable, transferable or delegable by the Company without the consent of Consultant to the Company or any of its
affiliates or to any successor (whether direct or indirect, in whatever

form of transaction) to all or substantially all of their business
or assets (none of which shall constitute a termination of Consultant’s engagement hereunder).

 

13.              
Choice of Law. This Agreement will be governed by and construed in accordance with the laws of the State of Texas, without
regard to its conflicts of laws, provisions; and the Parties agree that the proper venue for the resolution of any disputes hereunder
shall be Travis County, Texas.

 

14.              
Amendment and Waiver. The provisions of this Agreement may be amended or waived only with the prior written consent of the
Company and Consultant, and no course of conduct or course of dealing or failure or delay by any party hereto in enforcing or exercising
any of the provisions of this Agreement shall affect the validity, binding effect or enforceability of this Agreement or be deemed to
be an implied waiver of any provision of this Agreement.

 

15.              
Indemnification and Reimbursement of Payments on Behalf of Consultant. The Consultant acknowledges that the Company will
report any compensation payable pursuant to this Agreement on the appropriate tax forms as compensation to an independent contractor with
respect to which the Company and its Subsidiaries are not withholding. Notwithstanding the forgoing, the Company and its Subsidiaries
shall be entitled to deduct or withhold from any amounts owing from the Company or any of its Subsidiaries to Consultant any federal,
state, local or foreign withholding taxes, excise tax, or employment taxes (“Taxes”) imposed with respect to Consultant’s
compensation or other payments from the Company, as may be required to be deducted or withheld by any applicable law or regulation. In
the event the Company does not make such deductions or withholdings, Consultant shall indemnify the Company and its Subsidiaries for any
amounts paid with respect to any such Taxes, together (if such failure to withhold was at the written direction of Consultant or if Consultant
was informed in writing by the Company that such deductions or withholdings were not made) with any interest, penalties and related expenses
thereto.

 

16.              
Indemnification. The Company will indemnify and hold harmless Consultant from any claims or damages, cost, expense, liability,
obligation, loss or damage (including reasonable legal fees) of any nature, incurred by or imposed upon the Consultant which results,
arises out of or is based upon (i) any material misrepresentation by Company or breach of any representation or warranty by Company in
this Agreement; (ii) after any applicable notice and/or cure periods, any breach or default in performance by the Company of any covenant
or undertaking to be performed by the Company hereunder, or any other Agreement entered into by the Company and Consultants relating hereto;
or (iii) the Consultant’s performance of his duties as described in this Agreement.

 

 

 

 

 

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17.              
Waiver of Jury Trial. THE PARTIES TO THIS AGREEMENT EACH HEREBY KNOWINGLY AND INTENTIONALLY WAIVE, TO THE FULLEST EXTENT
PERMITTED BY LAW, ANY RIGHT TO TRIAL BY JURY OF ANY CLAIM, DEMAND, ACTION OR CAUSE OF ACTION (A) ARISING UNDER THIS AGREEMENT OR (B) IN
ANY WAY CONNECTED WITH OR RELATED OR INCIDENTAL TO THE DEALINGS OF THE PARTIES HERETO IN RESPECT OF THIS AGREEMENT OR ANY OF THE TRANSACTIONS
RELATED HERETO, IN EACH CASE WHETHER NOW EXISTING OR HEREAFTER ARISING, AND WHETHER IN CONTRACT, TORT, EQUITY, OR OTHERWISE. THE PARTIES
TO THIS AGREEMENT EACH HEREBY AGREES AND CONSENTS THAT ANY SUCH CLAIM, DEMAND, ACTION, OR CAUSE OF ACTION SHALL BE DECIDED BY COURT TRIAL
WITHOUT A JURY AND THAT THE PARTIES TO THIS AGREEMENT MAY FILE A COPY OF THIS AGREEMENT WITH ANY COURT AS WRITTEN EVIDENCE OF THE AGREEMENT
AND CONSENT OF THE PARTIES HERETO TO THE WAIVER OF THEIR RIGHT TO TRIAL BY JURY.

 

18.               Notices.
All notices which are required by or may be given pursuant to the terms of this Agreement must be in writing and must be delivered
personally, sent by certified mail, return receipt requested, postage prepaid, or email. Any of the addresses set forth above may be
changed from time to time by written notice from the party requesting the change. Such notices and other communications will be
treated for all purposes of this Agreement as being effective immediately if delivered personally or by facsimile (with written
confirmation of transmission), or five days after mailing by certified mail, return receipt requested, first class postage prepaid,
or one day after deposit for next business day delivery by a nationally recognized overnight delivery service.

 

*****

 

 

 

 

 

 

 

 

 

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IN WITNESS WHEREOF, the parties
hereto have executed this Consulting Agreement as of the date first written above.

 

 

	 	VOLCON, INC.
	 	 
	 	 
	 	By: /s/ Adrian James
	 	Name: Adrian James
	 	Its: Vice President 
	 	 
	 	 
	 	PINK POSSUM, LLC.
	 	 
	 	 
	 	By: /s/ Christian Okonsky
	 	Name: Christian Okonsky
	 	Its: MANAGER

 

 

 

 

 

 

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WARRANT

 

THIS WARRANT
AND THE SECURITIES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “ACT”),
OR QUALIFIED UNDER ANY STATE OR FOREIGN SECURITIES LAWS AND MAY NOT BE OFFERED FOR SALE, SOLD, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED
OR ASSIGNED UNLESS (I) A REGISTRATION STATEMENT COVERING SUCH SHARES IS EFFECTIVE UNDER THE ACT AND IS QUALIFIED UNDER APPLICABLE STATE
AND FOREIGN LAW OR (II) THE TRANSACTION IS EXEMPT FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS UNDER THE ACT AND THE QUALIFICATION
REQUIREMENTS UNDER APPLICABLE STATE AND FOREIGN LAW AND, IF THE CORPORATION REQUESTS, AN OPINION SATISFACTORY TO THE CORPORATION TO SUCH
EFFECT HAS BEEN RENDERED BY COUNSEL.

 

	Warrant Certificate No.: 1	Original Issue Date: August 28, 2020

 

FOR VALUE
RECEIVED, Volcon, Inc., a Delaware corporation (the “Company”), hereby certifies that Pink Possum, LLC, or its
registered assigns (the “Holder”) is entitled to purchase from the Company up to the Adjustment Amount (as defined
below) of duly authorized, validly issued, fully paid and nonassessable shares of Common Stock, at a purchase price per share of $0.01
(the “Exercise Price”), all subject to the terms, conditions and adjustments set forth below in this Warrant.
Certain capitalized terms used herein are defined in Section 0 hereof.

 

This Warrant
has been issued pursuant to the terms of the Consulting Agreement, dated on or about the date hereof (the “Consulting Agreement”),
between the Company and the Holder.

 

1.               Definitions. As used in this Warrant, the following terms have the respective meanings
set forth below:

 

“Adjustment Amount” means a
number of shares of Common Stock such that the sum of (a) the Adjustment Amount, plus (b) the number of shares of Common Stock
held by the Holder (and Holder’s Affiliates) as of the date hereof equals 18.75% of the total number of shares of Common
Stock outstanding, on a fully diluted basis, as of the time of exercise.

 

“Affiliate”
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common control
with a Person, as such terms are used in and construed under Rule 405 under the Securities Act.

 

“Aggregate
Exercise Price” means an amount equal to the product of (a) the number of Warrant Shares purchasable hereunder, multiplied
by (b) the Exercise Price.

 

“Board” means the board of directors
of the Company.

 

“Business
Day” means a weekday on which banks are open for general banking business in Austin, Texas.

 

“Common
Stock” means the common stock, par value $0.00001, of the Company, and any capital stock into which such Common Stock shall
have been converted, exchanged or reclassified following the date hereof.

“Company” has the meaning set
forth in the preamble.

 

 

 

 

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“Exercise
Date” means, for any given exercise of this Warrant, the date on which the conditions to such exercise as set forth in Section
3 shall have been satisfied at or prior to 5:00 p.m., Austin, Texas time, on a Business Day, including, without limitation, the receipt
by the Company of the Aggregate Exercise Price.

 

“Exercise Period” has the meaning
set forth in Section 2.

 

“Exercise Price” has the meaning
set forth in the preamble.

 

“Fair
Market Value” means, as of any particular date, the fair market value per share as determined by the Board.

 

“Holder” has the meaning set
forth in the preamble.

 

“Original
Issue Date” means the date on which the Warrant was issued by the Company pursuant to the Purchase Agreement.

 

“Person”
means any individual, sole proprietorship, partnership, limited liability company, corporation, joint venture, trust, incorporated organization
or government or department or agency thereof.

 

“Purchase Agreement” has the
meaning set forth in the preamble.

 

“Securities Act” means
the Securities Act of 1933, as amended from time to time. “Qualified Offering” means the consummation of
an initial public offering of the Company’s Common Stock in one or more closings on substantially the same terms in connection
with which the Company receives not less than $10,000,000 of gross cash proceeds at a pre- money valuation of not less than
$100,000,000.

 

“Warrant”
means this Warrant and all warrants issued upon division or combination of, or in substitution for, this Warrant.

 

“Warrant
Shares” means the shares of Common Stock or other capital stock of the Company then purchasable upon exercise of this Warrant
in accordance with the terms of this Warrant.

 

2.                 
Term of Warrant. Subject to the terms and conditions hereof, at any time or from time to time after the date hereof and
prior to 5:00 p.m., Austin, Texas time, on the tenth anniversary of the date hereof or, if such day is not a Business Day, on the next
preceding Business Day (the “Exercise Period”), the Holder of this Warrant may exercise this Warrant for the
Warrant Shares purchasable hereunder (subject to adjustment as provided herein).

 

 3.               Exercise of Warrant.

 

(a)               
Exercise Procedure. This Warrant may be exercised from time to time on any Business Day during the Exercise Period, for
the Warrant Shares, upon:

 

(i)                 surrender of this Warrant to the Company at its then principal executive offices (or an indemnification undertaking with respect
to this Warrant in the case of its loss, theft or destruction); and

 

(ii)               
payment to the Company of the Aggregate Exercise Price in accordance with Section 3(b).

 

(b)               
Payment of the Aggregate Exercise Price. Payment of the Aggregate Exercise Price shall be made, at the option of the Holder,
by the following methods:

 

(i)                 by delivery to the Company of a certified or official bank check payable to the order of the Company or by wire transfer of immediately
available funds to an account designated in writing by the Company, in the amount of such Aggregate Exercise Price; or

 

 

 

 

 

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(ii)               
by instructing the Company to issue Warrant Shares then issuable upon exercise of this Warrant on a net basis such that, without
payment of any cash consideration or other immediately available funds, the Holder shall surrender this Warrant in exchange for the number
of Warrant Shares as is computed using the following formula:

 

X = Y(A - B) ÷ A

 

Where:

 

X = the number of Warrant Shares to be issued to the Holder.

 

Y = the total number of Warrant Shares that the Holder
may purchase pursuant to this Warrant.

 

A = the Fair Market Value of one Warrant Share as of
the applicable Exercise Date.

 

B = the Exercise Price in effect under this Warrant
as of the applicable Exercise Date.

 

(c)                Delivery of Stock Certificates. Upon surrender of this Warrant and payment of the Aggregate Exercise Price (in accordance
with Section 3(a) hereof), the Company shall, as promptly as practicable, and in any event within five (5) Business Days thereafter,
execute (or cause to be executed) and deliver (or cause to be delivered) to the Holder a certificate or certificates representing the
Warrant Shares issuable upon such exercise (or other evidence in the case of uncertificated shares), together with cash in lieu of any
fraction of a share, as provided in Section 3(d) hereof. This Warrant shall be deemed to have been exercised and such certificate
or certificates of Warrant Shares shall be deemed to have been issued, and the Holder or any other Person so designated to be named therein
shall be deemed to have become a holder of record of such Warrant Shares for all purposes, as of the Exercise Date.

 

(d)                Fractional Shares. The Company shall not be required to issue a fractional Warrant Share upon exercise of any Warrant. As
to any fraction of a Warrant Share that the Holder would otherwise be entitled to purchase upon such exercise, the Company shall pay to
such Holder an amount in cash (by delivery of a certified or official bank check or by wire

transfer of immediately available funds) equal to
the product of (i) such fraction multiplied by (ii) the Fair Market Value of one Warrant Share on the Exercise Date.

 

(e)               
Valid Issuance of Warrant and Warrant Shares; Payment of Taxes. With respect to the exercise of this warrant, the Company
hereby represents, covenants and agrees:

 

(i)                 This Warrant is, and any Warrant issued in substitution for or replacement of this Warrant shall be, upon issuance, duly authorized
and validly issued.

 

(ii)                All Warrant Shares issuable upon the exercise of this Warrant pursuant to the terms hereof shall be, upon issuance, and the Company
shall take all such actions as may be necessary or appropriate in order that such Warrant Shares are, validly issued, fully paid and non-
assessable, issued without violation of any preemptive or similar rights of any stockholder of the Company and free and clear of all taxes,
liens and charges.

 

(iii)               The Company shall take all such actions as may be necessary to ensure that all such Warrant Shares are issued without violation
by the Company of any applicable law or governmental regulation or any requirements of any domestic securities exchange upon which shares
of Common Stock or other securities constituting Warrant Shares may be listed at the time of such exercise (except for official notice
of issuance which shall be immediately delivered by the Company upon each such issuance).

 

(iv)               The Company shall use its best efforts to cause the Warrant Shares, immediately upon such exercise, to be listed on any domestic
securities exchange upon which shares of Common Stock or other securities constituting Warrant Shares are listed at the time of such exercise.

 

 

 

 

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(f)                
Conditional Exercise. Notwithstanding any other provision hereof, if an exercise of any portion of this Warrant is to be
made in connection with a public offering or a sale of the Company (pursuant to a merger, sale of stock, or otherwise), such exercise
may at the election of the Holder be conditioned upon the consummation of such transaction, in which case such exercise shall not be deemed
to be effective until immediately prior to the consummation of such transaction.

 

(g)                Reservation of Shares. During the Exercise Period, the Company shall at all times reserve and keep available out of its
authorized but unissued Common Stock or other securities constituting Warrant Shares, solely for the purpose of issuance upon the exercise
of this Warrant, the maximum number of Warrant Shares issuable upon the exercise of this Warrant, and the par value per Warrant Share
shall at all times be less than or equal to the applicable Exercise Price. The Company shall not increase the par value of any Warrant
Shares receivable upon the exercise of this Warrant above the Exercise Price then in effect, and shall take all such actions as may be
necessary or appropriate in order that the Company may validly and legally issue fully paid and nonassessable shares of Common Stock upon
the exercise of this Warrant.

 

(h)               Holder’s
Exercise Limitations. From and after the closing of a Qualified Offering, the Holder shall not have the right to exercise this
Warrant, in part or in whole, to the extent that after giving effect to the exercise, the Holder (together with the Holder’s
Affiliates, and any Persons acting as a group together with the Holder or any of the Holder’s Affiliates) would beneficially
own in excess of the Beneficial Ownership Limitation (as defined below). For purposes of the foregoing sentence, the number of
shares of Common Stock beneficially owned by the Holder and its Affiliates shall include the number of shares of Common Stock
issuable upon exercise of this Warrant with respect to which such determination is being made, but shall exclude the number of
shares of Common Stock which are issuable upon (i) exercise of the remaining, unexercised portion of this Warrant beneficially owned
by the Holder or any of its Affiliates and (ii) exercise or conversion of the unexercised or unconverted portion of any other
securities of Borrower subject to a limitation on conversion or exercise analogous to the limitation contained herein (including,
without limitation, any other Warrants) beneficially owned by the Holder or any of its Affiliates. Except as set forth in the
preceding sentence, for purposes of this Section 3(h), beneficial ownership shall be calculated in accordance with Section 13(d) of
the Exchange Act and the rules and regulations promulgated thereunder. To the extent that the limitation contained in this Section
3(h) applies, the determination of whether this Warrant is exercisable (in relation to other securities owned by the Holder together
with any Affiliates) shall be in the sole discretion of the Holder, subject to the Beneficial Ownership Limitation. To ensure
compliance with this restriction, the Holder will be deemed to represent to the Company each time it exercises this Warrant that
such exercise has not violated the restrictions set forth in this paragraph, and the Company shall have no obligation to verify or
confirm the accuracy of such determination. In addition, a determination as to any group status as contemplated above shall be
determined in accordance with Section 13(d) of the Exchange Act and the rules and regulations promulgated thereunder. For purposes
of this Section 3(h), in determining the number of outstanding shares of Common Stock, the Holder may rely on the number of
outstanding shares of Common Stock as stated in the most recent of the following: (i) the Company’s most recent periodic or
annual report filed with the Securities and Exchange Commission, as the case may be, (ii) a more recent public announcement by the
Company, or (iii) a more recent written notice by the Company or the Company’s transfer agent setting forth the number of
shares of Common Stock outstanding. Upon the written or oral request of Holder, the Company shall within two Business Days confirm
orally and in writing to the Holder the number of shares of Common Stock then outstanding. In any case, the number of outstanding
shares of Common Stock shall be determined after giving effect to the conversion or exercise of securities of the Company, including
this Warrant, by the Holder or its Affiliates since the date as of which such number of outstanding shares of Common Stock was
reported. The “Beneficial Ownership Limitation” shall be 4.99% of the number of shares of the Common Stock outstanding
immediately after giving effect to the issuance of shares of Common Stock issuable upon exercise of this Warrant held by the Holder.
The Holder may decrease the Beneficial Ownership Limitation at any time and the Holder, upon not less than 61 days’ prior
notice to the Company, may increase the Beneficial Ownership Limitation provisions of this Section 3(h), provided that the
Beneficial Ownership Limitation in no event exceeds 9.99% of the number of shares of the Common Stock outstanding immediately after
giving effect to the issuance of shares of Common Stock upon exercise of this Warrant held by the Holder and the Beneficial
Ownership Limitation provisions of this Section 3(h) shall continue to apply. Any such increase will not be effective until the
61st day after such notice is delivered to the Company. The Beneficial Ownership Limitation
provisions of this paragraph shall be construed and implemented in a manner otherwise than in strict conformity with the terms of
this Section 3(h) to correct this paragraph (or any portion hereof) which may be defective or inconsistent with the intended
Beneficial Ownership Limitation contained herein or to make changes or supplements necessary or desirable to properly give effect to
such limitation. The limitations contained in this paragraph shall apply to a successor holder of this Warrant.

 

 

 

 

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4.             Adjustment
to Exercise Price and Number of Warrant Shares. In order to prevent dilution of the purchase rights granted under this Warrant, the
Exercise Price and the number of Warrant Shares issuable upon exercise of this Warrant shall be adjusted from time to time by the Board
(in each case, after taking into consideration any prior adjustments pursuant to this Section Error! Reference source not found.).
As promptly as reasonably practicable following any adjustment to the Exercise Price and/or the number of Warrant Shares by the Board,
but in any event not laterthan five (5) Business Days thereafter, the Company shall furnish to the Holder a certificate of an executive
officer setting forth in reasonable detail such adjustment and the facts upon which it is based and certifying the calculation thereof.

 

5.             Transfer of Warrant. Subject to the transfer conditions referred to in the legend endorsed hereon, this Warrant and all
rights hereunder are transferable, in whole or in part, by the Holder without charge to the Holder, upon surrender of this Warrant to
the Company at its then principal executive offices with a properly completed and duly executed Assignment in the form prescribed by the
Company, together with funds sufficient to pay any transfer taxes or other governmental charges imposed in connection with the making
of such transfer. Upon such compliance, surrender and delivery and, if required, such payment, the Company shall execute and deliver a
new Warrant or Warrants in the name of the assignee or assignees and in the denominations specified in such instrument of assignment,
and shall issue to the assignor a new Warrant evidencing the portion of this Warrant, if any, not so assigned and this Warrant shall promptly
be cancelled.

 

6.            
Replacement on Loss; Division and Combination.

 

(a)               
Replacement of Warrant on Loss. Upon receipt of evidence reasonably satisfactory to the Company of the loss, theft, destruction
or mutilation of this Warrant and upon delivery of an indemnity reasonably satisfactory to it (it being understood that a written indemnification
agreement or affidavit of loss of the Holder shall be a sufficient indemnity) and, in case of mutilation, upon surrender of such Warrant
for cancellation to the Company, the Company at its own expense shall execute and deliver to the Holder, in lieu hereof, a new Warrant
of like tenor and exercisable for an equivalent number of Warrant Shares as the Warrant so lost, stolen, mutilated or destroyed; provided,
that, in the case of mutilation, no indemnity shall be required if this Warrant in identifiable form is surrendered to the Company for
cancellation.

 

(b)               
Division and Combination of Warrant. Subject to compliance with the applicable provisions of this Warrant as to any transfer
or other assignment which may be involved in such division or combination, this Warrant may be divided or, following any such division
of this Warrant, subsequently combined with other Warrants, upon the surrender of this Warrant or Warrants to the Company at its then
principal executive offices, together with a written notice specifying the names and denominations in which new Warrants are to be issued,
signed by the respective Holders or their agents or attorneys. Subject to compliance with the applicable provisions of this Warrant as
to any transfer or assignment which may be involved in such division or combination, the Company shall execute and deliver a new Warrant
or Warrants in exchange for the Warrant or Warrants so surrendered in accordance with such notice. Such new Warrant or Warrants shall
be of like tenor to the surrendered Warrant or Warrants and shall be exercisable in the aggregate for an equivalent number of Warrant
Shares as the Warrant or Warrants so surrendered in accordance with such notice.

 

 7.             Provisions Relating To Stockholder Rights.

 

(a)                Holder
Not Deemed a Stockholder With Respect to Warrant Shares; Limitations on Liability. Except as otherwise specifically provided
herein, prior to the issuance to the Holder of the Warrant Shares to which the Holder is then entitled to receive upon the due
exercise of this Warrant, the Holder shall not be entitled to any of the rights incident to ownership of the Warrant Shares,
including without limitation, the right to vote or receive dividends or be deemed the holder of shares of capital stock of the
Company for any purpose, nor shall anything contained in this Warrant be construed to confer upon the Holder, as such, any of the
rights of a stockholder of the Company or any right to vote, give or withhold consent to any corporate action (whether any
reorganization, issue of stock, reclassification of stock, consolidation, merger, conveyance or otherwise), receive notice of
meetings, receive dividends or subscription rights, or otherwise. In addition, nothing contained in this Warrant shall be construed
as imposing any liabilities on the Holder to purchase any securities (upon exercise of this Warrant or otherwise) or as a
stockholder of the Company, whether such liabilities are asserted by the Company or by creditors of the Company.

 

 

 

 

    	 	18	 

     

    

 

 8.             Compliance with the Securities Act.

 

(a)                 Agreement to Comply with the Securities Act; Legend. The Holder, by acceptance of this Warrant, agrees to comply in all
respects with the provisions of this Section 7 and the restrictive legend requirements set forth on the face of this Warrant and
further agrees that such Holder shall not offer, sell or otherwise dispose of this Warrant or any Warrant Shares to be issued upon exercise
hereof except under circumstances that will not result in a violation of the Securities Act of 1933, as amended (the “Securities
Act”). This Warrant and all Warrant Shares issued upon exercise of this Warrant (unless registered under the Securities
Act) shall be stamped or imprinted with a legend in substantially the following form:

 

“THIS
WARRANT AND THE SECURITIES ISSUABLE UPON EXERCISE OF THIS WARRANT HAVE NOT BEEN REGISTERED UNDER THE SECURITIES ACT OF 1933, AS AMENDED
(THE “ACT”), OR QUALIFIED UNDER ANY STATE OR FOREIGN SECURITIES LAWS AND MAY NOT BE OFFERED FOR SALE, SOLD, PLEDGED, HYPOTHECATED
OR OTHERWISE TRANSFERRED OR ASSIGNED UNLESS (I) A REGISTRATION STATEMENT COVERING SUCH SHARES IS EFFECTIVE UNDER THE ACT AND IS QUALIFIED
UNDER APPLICABLE STATE AND FOREIGN LAW OR (II) THE TRANSACTION IS EXEMPT FROM THE REGISTRATION AND PROSPECTUS DELIVERY REQUIREMENTS UNDER
THE ACT AND THE QUALIFICATION REQUIREMENTS UNDER APPLICABLE STATE AND FOREIGN LAW AND, IF THE CORPORATION REQUESTS, AN OPINION SATISFACTORY
TO THE CORPORATION TO SUCH EFFECT HAS BEEN RENDERED BY COUNSEL.”

 

(b)               
Representations of the Holder. In connection with the issuance of this Warrant, the Holder specifically represents, as of
the date hereof, to the Company by acceptance of this Warrant as follows:

 

(i)                 The Holder is an “accredited investor” as defined in Rule 501 of Regulation D promulgated under the Securities Act.
The Holder is acquiring this Warrant and the Warrant Shares to be issued upon exercise hereof for investment for its own account and not
with a view towards, or for resale in connection with, the public sale or distribution of this Warrant or the Warrant Shares, except pursuant
to sales registered or exempted under the Securities Act.

 

(ii)               
The Holder understands and acknowledges that this Warrant and the Warrant Shares to be issued upon exercise hereof are “restricted
securities” under the federal securities laws inasmuch as they are being acquired from the Company in a transaction not involving
a public offering and that, under such laws and applicable regulations, such securities may be resold without registration under the Securities
Act only in certain limited circumstances. In addition, the Holder represents that it is familiar with Rule 144 under the Securities Act,
as presently in effect, and understands the resale limitations imposed thereby and by the Securities Act.

 

(iii)             
The Holder acknowledges that it can bear the economic and financial risk of its investment for an indefinite period, and has such
knowledge and experience in financial or business matters that it is capable of evaluating the merits and risks of the investment in the
Warrant and the Warrant Shares. The Holder has had an opportunity to ask questions and receive answers from the Company regarding the
terms and conditions of the offering of the Warrant and the business, properties, prospects and financial condition of the Company.

 

9.             Warrant Register. The Company shall keep and properly maintain at its principal executive offices books for the registration
of the Warrant and any transfers thereof. The Company may deem and treat the Person in whose name the Warrant is registered on such register
as the Holder thereof for all purposes, and the Company shall not be affected by any notice to the contrary, except any assignment, division,
combination or other transfer of the Warrant effected in accordance with the provisions of this Warrant.

 

 

 

 

 

    	 	19	 

     

    

 

 

10.           Notices. All notices, requests, consents, claims, demands, waivers and other communications hereunder shall be in writing
and shall be deemed to have been given: (a) when delivered by hand (with written confirmation of receipt); (b) when received by the addressee
if sent by a nationally recognized overnight courier (receipt requested); (c) on the date sent by facsimile or e-mail of a PDF document
(with confirmation of transmission) if sent during normal business hours of the recipient, and on the next Business Day if sent after
normal business hours of the recipient; or (d) on the third day after the date mailed, by certified or registered mail, return receipt
requested, postage prepaid. Such communications must be sent to the respective parties at the addresses indicated below (or at such other
address for a party as shall be specified in a notice given in accordance with this Section 10).

 

	If to the Company:	Volcon, Inc.
	 	3267 Bee Caves Road, 107-322
	 	Austin, TX 78746
	 	 
	 	 
	If to the Holder:	Pink Possum, LLC
	 	3267 Bee Caves Road, 107-247
	 	Austin, TX 78746

 

 11.          Cumulative Remedies. Except to the extent expressly provided in Section 7 to the contrary, the rights and remedies provided in this Warrant are cumulative and are not exclusive of, and are in addition to and not in substitution for, any other rights or remedies available at law, in equity or otherwise.

 

12.           Equitable Relief. Each of the Company and the Holder acknowledges that a breach or threatened breach by such party of any
of its obligations under this Warrant would give rise to irreparable harm to the other party hereto for which monetary damages would not
be an adequate remedy and hereby agrees that in the event of a breach or a threatened breach by such party of any such obligations, the
other party hereto shall, in addition to any and all other rights and remedies that may be available to it in respect of such breach,
be entitled to equitable relief, including a restraining order, an injunction, specific performance and any other relief that may be available
from a court of competent jurisdiction.

 

13.           Entire Agreement. This Warrant constitutes the sole and entire agreement of the parties to this Warrant with respect to
the subject matter contained herein, and supersedes all prior and contemporaneous understandings and agreements, both written and oral,
with respect to such subject matter.

 

14.           Successor and Assigns. This Warrant and the rights evidenced hereby shall be binding upon and shall inure to the benefit
of the parties hereto and the successors of the Company and the successors and permitted assigns of the Holder. Such successors and/or
permitted assigns of the Holder shall be deemed to be a Holder for all purposes hereunder.

 

15.           No Third-Party Beneficiaries. This Warrant is for the sole benefit of the Company and the Holder and their respective successors
and, in the case of the Holder, permitted assigns and nothing herein, express or implied, is intended to or shall confer upon any other
Person any legal or equitable right, benefit or remedy of any nature whatsoever, under or by reason of this Warrant.

 

16.           Headings. The headings in this Warrant are for reference only and shall not affect the interpretation of this Warrant.

 

 

 

 

    	 	20	 

     

    

 

17.           Amendment and Modification; Waiver. Except as otherwise provided herein, this Warrant may only be amended, modified or supplemented
by an agreement in writing signed by each party hereto. No waiver by the Company or the Holder of any of the provisions hereof shall be
effective unless explicitly set forth in writing and signed by the party so waiving. No waiver by any party shall operate or be construed
as a waiver in respect of any failure, breach or default not expressly identified by such written waiver, whether of a similar or different
character, and whether occurring before or after that waiver. No failure to exercise, or delay in exercising, any rights, remedy, power
or privilege arising from this Warrant shall operate or be construed as a waiver thereof; nor shall any single or partial exercise of
any right, remedy, power or privilege hereunder preclude any other or further exercise thereof or the exercise of any other right, remedy,
power or privilege.

 

18.           Severability. If any term or provision of this Warrant is invalid, illegal or unenforceable in any jurisdiction, such invalidity,
illegality or unenforceability shall not affect any other term or provision of this Warrant or invalidate or render unenforceable such
term or provision in any other jurisdiction.

 

19.          Governing Law. This Warrant shall be governed by and construed in accordance with the internal laws of the State of Delaware
without giving effect to any choice or conflict of law provision or rule (whether of the State of Delaware or any other jurisdiction)
that would cause the application of laws of any jurisdiction other than those of the State of Delaware.

 

20.          Counterparts. This Warrant may be executed in counterparts, each of which shall be deemed an original, but all of which
together shall be deemed to be one and the same agreement. A signed copy of this Warrant delivered by facsimile, e-mail or other means
of electronic transmission shall be deemed to have the same legal effect as delivery of an original signed copy of this Warrant.

 

 

[SIGNATURE PAGE FOLLOWS]

 

 

 

 

 

 

 

 

    	 	21	 

     

    

 

IN WITNESS WHEREOF, the Company
has duly executed this Warrant on the Original Issue Date.

 

 

	 	VOLCON, INC.
	 	 
	 	 
	 	By: /s/ Adrian James
	 	Name: Adrian James
	 	 
	 	 
	ACCEPTED AND AGREED:	 
	 	 
	PINK POSSUM LLC	 
	 	 
	By: /s/ Christian Okonsky	 
	Name Christian Okonsky	 
	Title: Manager	 

 

 

 

 

 

 

 

 

    	 	22	 

     

    

 

AMENDMENT TO CONSULTING AGREEMENT

 

This amendment
(“Amendment”), dated as of the date set forth below (the “Effective Date”), is to
that certain Consulting Agreement (the “Agreement”) dated August 28, 2020 by and between Pink Possum, LLC (the
“Consultant”) and Volcon, Inc. (the “Company”). Capitalized terms used and not otherwise
defined herein shall have the meanings assigned to such terms in the Agreement.

 

WHEREAS, Section
3 of the Agreement provides that a portion of the compensation to the Consultant shall paid in the form of the receipt a common stock
purchase warrant (the “Original Warrant”);

 

WHEREAS, the
Original Warrant has an exercise price of $0.01 per share and provides for an unknown number of shares issuable upon exercise based on
the number of shares of Company common stock outstanding as of the date of exercise;

 

WHEREAS,
the Company and Consultant have agreed to amend the terms of the Original Warrant to increase the exercise price and to fix the number
of shares of Company common stock underlying the Original Warrant; and

 

WHEREAS,
the Company has agreed to amend Section 5 to provide the Consultant with certain additional compensation as set forth herein.

 

NOW, THEREFORE,
in consideration of the foregoing and the representations, warranties and mutual agreements herein contained, and intending to be legally
bound herein, the parties hereto agree as follows:

 

1.                  Exchange of Original Warrant. On the Effective Date, the Consultant shall assign, transfer and deliver to the Company, free
and clear of all liens, pledges, encumbrances, charges, restrictions or known claims of any kind, nature, or description, the Original
Warrant in exchange for the common stock purchase warrant set forth in Exhibit A (the “New Warrant”).

 

 2.                  Section 5 is hereby amended to add the following new Sections 5(c) and 5(d):

 

(c)                 Market
Capitalization Compensation. Commencing upon the completion of the Company’s initial public offering of securities, if the
Company’s Market Capitalization exceeds $300.0 million for a period of 21 consecutive trading days (the “Measurement
Period”), Consultant will receive an additional cash payment equal to $15.0 million, payable within 90 days of the end of
the Measurement Period. Notwithstanding the foregoing, the Company shall have the right, in its sole discretion, to make the
foregoing $15.0 million payment by the issuance of shares of Company common stock valued at the closing price of the Company’s
common stock on first trading day of the Measurement Period. For the purposes of this Agreement, “Market
Capitalization” is calculated on each trading day during the Measurement Period as the product of (A) the closing price of
the Company’s common stock on the national securities exchange on which the Company’s common stock is listed on such
day, and (B) the number of shares of Company common stock outstanding on such day.

 

(d)                For the avoidance of doubt, the compensation payable to Consultant pursuant to Sections 5(b) and 5(c) of this Agreement shall be
payable to Consultant if the milestones are achieved during or after the Term of this Agreement; provided that the milestones are achieved
prior to the ten-year anniversary of the initial execution of the Agreement.

 

3.                  Except as expressly set forth herein, this Amendment shall not by implication or otherwise alter, modify, amend or in any way affect
any of the terms, conditions, obligations, covenants or agreements contained in the Agreement, all of which are ratified and affirmed
in all respects and shall continue in full force and effect.

 

4.                  This
Amendment may be executed in any number of counterparts, each of which shall be deemed to be an original and all of which together
shall be deemed to be one and the same instrument. In the event that any signature is delivered by facsimile transmission or by an
e-mail which contains a portable document format (.pdf) file of an executed signature page, such signature page shall create a valid
and binding obligation of the party executing (or on whose behalf such signature is executed) with the same force and effect as if
such signature page were an original thereof.

 

 

[Signature Page To Follow]

 

 

 

 

 

 

    	 	23	 

     

    

 

IN
WITNESS WHEREOF, the parties hereto have caused this Amendment to be duly executed by their respective authorized signatories as of the
date first indicated below.

 

 

 

	Volcon, Inc,
	 
	 	 
	By: /s/ Adrian James                                                         	 
	               Adrian James, Co-Founder & Board Member 	 
	 	 
	Date: March 26, 2021	 
	 	 
	 	 
	Pink Possum, LLC	 
	 	 
	By /s/ Christian Okonsky                                                	 
	               Christian Okonsky , Manager	 
	 	 

 

 

 

 

 

 

 

 

 

 

    	 	24	 

     

    

 

Exhibit A

 

Stock Purchase Warrant

 

NEITHER THIS
SECURITY NOR THE SECURITIES FOR WHICH THIS SECURITY IS EXERCISABLE HAVE BEEN REGISTERED WITH THE SECURITIES AND EXCHANGE COMMISSION OR
THE SECURITIES COMMISSION OF ANY STATE IN RELIANCE UPON AN EXEMPTION FROM REGISTRATION UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE
"SECURITIES ACT"), AND, ACCORDINGLY, MAY NOT BE OFFERED OR SOLD EXCEPT PURSUANT TO AN EFFECTIVE REGISTRATION STATEMENT UNDER
THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM, OR IN A TRANSACTION NOT SUBJECT TO, THE REGISTRATION REQUIREMENTS OF THE
SECURITIES ACT AND IN ACCORDANCE WITH APPLICABLE STATE SECURITIES LAWS. THIS SECURITY AND THE SECURITIES ISSUABLE UPON EXERCISE OF THIS
SECURITY MAY BE PLEDGED IN CONNECTION WITH A BONA FIDE MARGIN ACCOUNT OR OTHER LOAN SECURED BY SUCH SECURITIES.

 

COMMON STOCK PURCHASE WARRANT

 

VOLCON, INC.

 

	Warrant Shares: 1,900,000	Initial
Exercise Date: March 25, 2021

 

THIS SHARE
PURCHASE WARRANT (the "Warrant") certifies that, for value received, Pink Possum LLC
or its assigns (the "Holder") is entitled, upon the terms and subject to the limitations on exercise and the
conditions hereinafter set forth, at any time on or after the date hereof (the "Initial Exercise Date") and on or prior
to 5:00 p.m. (New York City time) on the tenth anniversary of the Initial Exercise Date (the "Termination Date") but
not thereafter, to subscribe for and purchase from Volcon, Inc., a Delaware corporation (the
"Company"), up to 1,900,000 shares of Company common stock, par value $0.001
(as subject to adjustment hereunder, the "Warrant Shares") of the Company (the "Shares"). The purchase
price of one Share under this Warrant shall be equal to the Exercise Price, as defined in Section 2(b).

 

Section 1.        Definitions.
In addition to the terms defined elsewhere in this Warrant, the following terms have the meanings indicated in this Section 1:

 

"Affiliate"
means any Person that, directly or indirectly through one or more intermediaries, controls or is controlled by or is under common control
with a Person, as such terms are used in and construed under Rule 405 under the Securities Act.

 

"Business
Day" means any day except any Saturday, any Sunday, any day which is a federal legal holiday in the United States or any day
on which banking institutions in the State of New York are authorized or required by law or other governmental action to close.

 

"Commission"
means the United States Securities and Exchange Commission. "Exchange Act" means the Securities Exchange Act of 1934,
as amended, and the rules and regulations promulgated thereunder.

 

"Person"
means an individual or corporation, partnership, trust, incorporated or unincorporated association, joint venture, limited liability company,
joint stock company, government (or an agency or subdivision thereof) or other entity of any kind.

 

"Securities
Act" means the Securities Act of 1933, as amended, and the rules and regulations promulgated thereunder.

 

 

 

    	 	25	 

     

    

 

"Share
Equivalents" means any securities of the Company which would entitle the holder thereof to acquire at any time Shares, including,
without limitation, any debt, preferred stock, right, option, warrant or other instrument that is at any time convertible into or exercisable
or exchangeable for, or otherwise entitles the holder thereof to receive, Shares.

 

"Trading
Day" means a day on which the Shares are traded on a Trading Market. "Trading Market" means any of the
following markets or exchanges on which the Shares (or the securities of any Successor Entity) are listed or quoted for trading on
the date in question: the NYSE MKT, the Nasdaq Capital Market, the Nasdaq Global Market, the Nasdaq Global Select Market, or the New
York Stock Exchange (or any successors to any of the foregoing.

 

"Transfer
Agent" means the transfer agent of the Company, or, if the Company does not have a transfer agent, the Company.

 

Section 2.         Exercise.

 

a)                
Exercise of Warrant. Exercise of the purchase rights represented by this Warrant may be made, in whole or in
part, at any time or times on or after the Initial Exercise Date and on or before the Termination Date by delivery to the Company of a
duly executed facsimile copy or PDF copy submitted by e-mail (or e-mail attachment) of the Notice of Exercise in the form annexed hereto
(the "Notice of Exercise"). Within two (2) Trading Days following the date of exercise as aforesaid, the Holder shall
deliver the aggregate Exercise Price for the shares specified in the applicable Notice of Exercise by wire transfer or cashier's check
drawn on a United States bank unless the cashless exercise procedure specified in Section 2(c) below is specified in the applicable Notice
of Exercise. No ink-original Notice of Exercise shall be required, nor shall any medallion guarantee (or other type of guarantee or notarization)
of any Notice of Exercise be required. Notwithstanding anything herein to the contrary, the Holder shall not be required to physically
surrender this Warrant to the Company until the Holder has purchased all of the Warrant Shares available hereunder and the Warrant has
been exercised in full, in which case, the Holder shall surrender this Warrant to the Company for cancellation within three (3) Trading
Days of the date on which the final Notice of Exercise is delivered to the Company. Partial exercises of this Warrant resulting in purchases
of a portion of the total number of Warrant Shares available hereunder shall have the effect of lowering the outstanding number of Warrant
Shares purchasable hereunder in an amount equal to the applicable number of Warrant Shares purchased. The Holder and the Company shall
maintain records showing the number of Warrant Shares purchased and the date of such purchases. The Company shall deliver any objection
to any Notice of Exercise within one (1) Business Day of receipt of such notice. The Holder and any assignee,
by acceptance of this Warrant, acknowledge and agree that, by reason of the provisions of this paragraph, following the purchase of a
portion of the Warrant Shares hereunder, the number of Warrant Shares available for purchase hereunder at any given time may be less than
the amount stated on the face hereof.

 

b)                 
Exercise Price. The exercise price per Share under this Warrant shall be $2.46, subject to adjustment hereunder (the "Exercise
Price").

 

c)                  Cashless
Exercise. If there is no effective registration statement registering, or no current prospectus available for, the resale of the
Warrant Shares by the Holder, then this Warrant may also be exercised, in whole or in part, at
such time by means of a "cashless
exercise" in which the Holder shall be entitled to receive a number of Warrant Shares equal to the quotient obtained by
dividing [(A-B) (X)] by (A), where:

 

(A)= as
applicable: (i) the VWAP on the Trading Day immediately preceding the date of the applicable Notice of Exercise if such Notice of Exercise
is (1) both executed and delivered pursuant to Section 2(a) hereof on a day that is not a Trading
Day or

(2) both
executed and delivered pursuant to Section 2(a) hereof on a Trading Day prior to the opening of "regular trading hours" (as
defined in Rule 600(b)(64) of Regulation NMS promulgated under the federal securities laws) on such Trading Day, (ii) the VWAP on the
Trading Day immediately preceding the date of the applicable Notice of Exercise if such Notice of Exercise is executed during "regular
trading hours" on a Trading Day pursuant to Section 2(a) hereof or (iii) the VWAP on the date of the applicable Notice of Exercise
if the date of such Notice of Exercise is a Trading Day and such Notice of Exercise is both executed and delivered pursuant to Section
2(a) hereof after the close of "regular trading hours" on such Trading Day;

 

(B) = the Exercise
Price of this Warrant, as adjusted hereunder; and

 

(X) =
the number of Warrant Shares that would be issuable upon exercise of this Warrant in accordance with the terms of this Warrant if
such exercise were by means of a cash exercise rather than a cashless exercise.

 

 

 

    	 	26	 

     

    

 

If Warrant
Shares are issued in such a cashless exercise, the parties acknowledge and agree that in accordance with Section 3(a)(9) of the Securities
Act, the Warrant Shares shall take on the characteristics of the Warrants being exercised, and the holding period of the Warrant Shares
being issued may be tacked on to the holding period of this Warrant. The Company agrees not to take any position contrary to this Section
2(c).

 

"Bid
Price" means, for any date, the price determined by the first of the following clauses that applies: (a) if the Shares are
then listed or quoted on a Trading Market, the bid price of the Shares for the time in question (or the nearest preceding date) on
the Trading Market on which the Shares are then listed or quoted as reported by Bloomberg L.P. (based on a Trading Day from 9:30
a.m. (New York City time) to 4:02 p.m. (New York City time)), (b) if OTCQB or OTCQX is not a
Trading Market, the volume weighted average price of the Shares for such date (or the nearest preceding date) on OTCQB or OTCQX as
applicable, (c) if the Shares are not then listed or quoted for trading on OTCQB or OTCQX and if prices for the Shares are then
reported in the "Pink Sheets" published by OTC Markets Group, Inc. (or a similar organization or agency succeeding to its
functions of reporting prices), the most recent bid price per share so reported, or (d) in all
other cases, the fair market value of a Share as determined by an independent appraiser selected in good faith by the Holder and
reasonably acceptable to the Company, the fees and expenses of which shall be paid by the Company.

 

"VWAP"
means, for any date, the price determined by the first of the following clauses that applies: (a) if the Shares are then listed or
quoted on a Trading Market, the daily volume weighted average price of the Shares for such date (or the nearest preceding date) on
the Trading Market on which the Shares are then listed or quoted as reported by Bloomberg L.P. (based on a Trading Day from 9:30
a.m. (New York City time) to 4:02 p.m. (New York City time)), (b) if OTCQB
or OTCQX is not a Trading Market, the volume weighted average price of the Shares for such date (or the nearest preceding date) on
OTCQB or OTCQX as applicable, (c) if the Shares are not then listed or quoted for trading on
OTCQB or OTCQX and if prices for the Shares are then reported in the "Pink Sheets" published by OTC Markets Group, Inc.
(or a similar organization or agency succeeding to its functions of reporting prices), the most recent bid price per Share so
reported, or (d) in all other cases, the fair market value of a Share as determined by an independent appraiser selected in good
faith by the Holder and reasonably acceptable to the Company, the fees and expenses of which shall be paid by the Company.

 

		d)	Mechanics of Exercise.

 

1.       Delivery
of Warrant Shares Upon Exercise. The Company shall cause the Warrant Shares purchased hereunder to be transmitted by the Transfer
Agent to the Holder by physical delivery of a certificate, registered in the Company's share register in the name of the Holder or its
designee, for the number of Warrant Shares to which the Holder is entitled pursuant to such exercise to the address specified by the Holder
in the Notice of Exercise by the date that is two (2) Trading Days after the delivery to the Company of the Notice of Exercise (such date,
the "Warrant Share Delivery Date"). Upon delivery of the Notice of Exercise, the Holder shall be deemed for all corporate
purposes to have become the holder of record of the Warrant Shares with respect to which this Warrant has been exercised, irrespective
of the date of delivery of the Warrant Shares, provided that payment of the aggregate Exercise Price (other than in the case of a cashless
exercise) is received within two (2) Trading Days.

 

ii.        Rescission
Rights. If the Company fails to cause the Transfer Agent to transmit to the Holder the Warrant Shares pursuant to Section 2(d)(i)
by the Warrant Share Delivery Date, then the Holder will have the right to rescind such exercise.

 

m.        No
Fractional Shares or Scrip. No fractional shares or scrip representing fractional shares shall be issued upon the exercise of this
Warrant. As to any fraction of a share which the Holder would otherwise be entitled to purchase upon such exercise, the Company shall,
at its election, either pay a cash adjustment in respect
of such final fraction in an amount equal to such fraction
multiplied by the Exercise Price or round up to the next whole share.

 

iv.        Charges,
Taxes and Expenses. Issuance of Warrant Shares shall be made without charge to the Holder for any issue or transfer tax
or other incidental expense in respect of the
issuance of such Warrant Shares, all of which taxes and expenses shall be paid by the Company, and such Warrant Shares shall be issued
in the name of the Holder or in such name or names as
may be directed by the Holder; provided, however, that in
the event that Warrant Shares are to be issued in a name other than the name of the Holder, this Warrant when surrendered for
exercise shall be accompanied by the Assignment Form attached hereto duly executed by the Holder and the Company may require, as a condition
thereto, the payment of a sum sufficient to reimburse it for any transfer tax
incidental thereto. The Company shall pay all Transfer Agent fees required for same-day processing of any Notice of Exercise and
all fees to the Depository Trust Company (or another established clearing corporation performing similar functions) required for same-day
electronic delivery of the Warrant Shares.

 

 

 

    	 	27	 

     

    

 

v.         Closing
of Books. The Company will not close its stockholder books or records in any manner which prevents the timely exercise of this Warrant,
pursuant to the terms hereof.

 

Section
3.         Certain Adjustments.

 

a)         Stock
Dividends and Splits. If the Company, at any time while this Warrant is outstanding: (i) pays a stock dividend or otherwise makes
a distribution or distributions on its Shares or any other equity or equity equivalent securities payable in Shares (which, for avoidance
of doubt, shall not include any Shares issued by the Company upon exercise of this Warrant), (ii) subdivides outstanding Shares into
a larger number of shares, (iii) combines (including by way of reverse stock split) outstanding Shares into a smaller number of shares
or (iv) issues by reclassification of Shares any shares of capital stock of the Company, then in each case the Exercise Price shall be
multiplied by a fraction of which the numerator shall be the number of Shares (excluding treasury shares, if any) outstanding immediately
before such event and of which the denominator shall be the number of Shares outstanding immediately after such event, and the number
of Shares issuable upon exercise of this Warrant shall be proportionately adjusted such that the aggregate Exercise Price of this Warrant
shall remain unchanged. Any adjustment made pursuant to this Section 3(a) shall become effective immediately after the record date for
the determination of stockholders entitled to receive such dividend or distribution and shall become effective immediately after the
effective date in the case of a subdivision, combination or re-classification.

 

b)        Fundamental
Transaction. If, at any time while this Warrant
is outstanding, (i) the Company, directly or indirectly, in one or more related transactions effects any merger or consolidation of the
Company with or into another Person, (ii) the Company, directly or indirectly, effects any sale, lease, license, assignment, transfer,
conveyance or other disposition of all or substantially all of its assets in one or a series of related transactions, (iii) any, direct
or indirect, purchase offer, tender offer or exchange offer (whether by the Company or another Person) is completed pursuant to which
holders of Shares are permitted to sell, tender or exchange their shares for other securities, cash or property and has been accepted
by the holders of 50% or more of the outstanding Shares, (iv) the Company, directly or indirectly, in one or more related transactions
effects any reclassification, reorganization or recapitalization of the Shares or any compulsory share exchange pursuant to which the
Shares are effectively converted into or exchanged for other securities, cash or property, or (v) the Company, directly or indirectly,
in one or more related transactions consummates a stock or share purchase agreement or other business combination (including, without
limitation, a reorganization, recapitalization, spin-off, merger or scheme of arrangement) with another Person or group of Persons whereby
such other Person or group acquires more than 50% of the outstanding Shares (not including any Shares held by the other Person or other
Persons making or party to, or associated or affiliated with the other Persons making or party to, such stock or share purchase agreement
or other business combination) (each a "Fundamental Transaction"), then, upon any subsequent exercise of this Warrant,
the Holder shall have the right to receive, for each Warrant Share that would have been issuable upon such exercise immediately prior
to the occurrence of such Fundamental Transaction, at the option of the Holder, the number of Shares of the successor or acquiring corporation
or of the Company, if it is the surviving corporation, and any additional consideration (the "Alternate Consideration")
receivable as a result of such Fundamental Transaction by a holder of the number of Shares for which this Warrant is exercisable immediately
prior to such Fundamental Transaction. For purposes of any such exercise, the determination of the Exercise Price shall be appropriately
adjusted to apply to such Alternate Consideration based on the amount of Alternate Consideration issuable in respect of one Share in
such Fundamental Transaction, and the Company shall apportion the Exercise Price among the Alternate Consideration in a reasonable manner
reflecting the relative value of any different components of the Alternate Consideration. If holders
of Shares are given any choice as to the securities, cash or property to be received in a Fundamental Transaction, then the Holder shall
be given the same choice as to the Alternate Consideration it receives upon any exercise of this Warrant following such Fundamental Transaction.
The Company shall cause any successor entity in a Fundamental Transaction in which the Company is not the survivor (the "Successor
Entity") to assume in writing all of the obligations of the Company under this Warrant in accordance with the provisions of
this Section 3(e) pursuant to written agreements in form and substance reasonably satisfactory to the Holder and approved by the Holder
(without unreasonable delay) prior to such Fundamental Transaction and shall, at the option of the Holder, deliver to the Holder in exchange
for this Warrant a security of the Successor Entity evidenced by a written instrument substantially similar in form and substance to
this Warrant which is exercisable for a corresponding number of shares of capital stock of such Successor Entity (or its parent entity)
equivalent to the Shares acquirable and receivable upon exercise of this Warrant (without regard to any limitations on the exercise of
this Warrant) prior to such Fundamental Transaction, and with an exercise price which applies the exercise price hereunder to such shares
of capital stock (but taking into account the relative value of the Shares pursuant to such Fundamental Transaction and the value of
such shares of capital stock, such number of shares of capital stock and such exercise price being for the purpose of protecting the
economic value of this Warrant immediately prior to the consummation of such Fundamental Transaction), and which is
reasonably satisfactory in form and substance to the Holder. Upon the occurrence of any such Fundamental Transaction, the Successor
Entity shall succeed to, and be substituted for (so that from and after the date of such Fundamental Transaction, the provisions of this
Warrant referring to the "Company" shall refer instead to the Successor Entity), and may exercise every right and power of
the Company and shall assume all of the obligations of the Company under this Warrant with the same effect as if such Successor Entity
had been named as the Company herein.

 

 

 

 

    	 	28	 

     

    

 

c)         Calculations.
All calculations under this Section 3 shall be made to the nearest cent or the nearest 1/lOOth of a share, as the case may be. For purposes
of this Section 3, the number of Shares deemed to be issued and outstanding as of a given date shall be the sum of the number of Shares
(excluding treasury shares,_ if any) issued and outstanding.

 

d)         Voluntary
Adjustment By Company. Subject to the rules and regulations of the Trading Market, the Company may at any time during the term of
this Warrant, subject to the prior written consent of the Holder, reduce the then current Exercise Price to any amount and for any period
of time deemed appropriate by the board of directors of the Company.

 

Section 4.         Transfer of Warrant.

 

a)         Transferability.
Subject to compliance with any applicable securities laws, this Warrant and all rights hereunder are transferable, in
whole or in part, upon surrender of this Warrant at the principal office of the Company or
its designated agent, together with a written assignment of this Warrant substantially in the form
attached hereto duly executed by the Holder. Upon such surrender and, if required, such payment, the Company shall execute and deliver
a new Warrant or Warrants in the name of the assignee or assignees, as applicable, and in the denomination or denominations specified
in such instrument of assignment, and shall issue to the assignor a new Warrant evidencing the portion of this Warrant not so assigned,
and this Warrant shall promptly be cancelled. The Warrant, if properly assigned in accordance herewith,
may be exercised by a new holder for the purchase of Warrant Shares without having a new Warrant issued.

 

b)         New
Warrants. This Warrant may be divided or combined with other Warrants upon presentation hereof at the aforesaid office of the Company,
together with a written notice specifying the names and denominations in which new Warrants are to be issued, signed by the Holder or
its agent or attorney. Subject to compliance with Section 4(a), as to any transfer which may be involved in such division or combination,
the Company shall execute and deliver a new Warrant or Warrants in exchange for the Warrant or Warrants to be divided or combined in
accordance with such notice. All Warrants issued on transfers or exchanges shall be dated the Initial Exercise Date and shall be identical
with this Warrant except as to the number of Warrant Shares issuable pursuant thereto.

 

c)         Warrant
Register. The Company shall register this Warrant, upon records to be maintained by the Company for that purpose (the "Warrant
Register"), in the name of the record Holder hereof from time to time. The Company may deem and treat the registered Holder
of this Warrant as the absolute owner hereof for the purpose of any exercise hereof or any distribution to the Holder, and for all other
purposes, absent actual notice to the contrary.

 

d)        Transfer
Restrictions. If, at the time
of the surrender of this Warrant in connection with any transfer of this Warrant, the transfer of this Warrant shall not be eligible
for resale without volume or manner-of-sale restrictions or current public information requirements pursuant to Rule 144, the Company
may require, as a condition of allowing such transfer, that the Holder or transferee of this Warrant, as the case may be, provide to
the Company an opinion of counsel selected by the Holder or transferee and reasonably acceptable to the Company, the form and substance
of which opinion shall be reasonably satisfactory to the Company, to the effect that such transfer does not require registration of such
transferred Securities under the Securities Act.

 

e)         Representation
by the Holder. The Holder, by the acceptance hereof, represents and warrants that it is acquiring this Warrant and, upon any exercise
hereof, will acquire the Warrant Shares issuable upon such exercise, for its own account and not with a view to or for distributing or
reselling such Warrant Shares or any part thereof in violation of the Securities Act or any applicable state securities law, except pursuant
to sales registered or exempted under the Securities Act.

 

Section 5.        Miscellaneous.

 

a)         No Rights as Stockholder Until Exercise; No Settlement in Cash. This Warrant does not entitle the Holder to any voting rights,
dividends or other rights as a stockholder of the Company prior to the exercise hereof as set forth in Section 2(d)(i), except as expressly
set forth in Section 3.

 

b)         Loss, Theft, Destruction or Mutilation of Warrant. The Company covenants that upon receipt by the Company of evidence reasonably
satisfactory to it of the loss, theft, destruction or mutilation of this Warrant or any stock certificate relating to the Warrant Shares,
and in case of loss, theft or destruction, of indemnity or security reasonably satisfactory to it (which, in the case of the Warrant,
shall not include the posting of any bond), and upon surrender and cancellation of such Warrant or stock certificate, if mutilated, the
Company will make and deliver a new Warrant or stock certificate of like tenor and dated as of such cancellation, in lieu of such Warrant
or stock certificate.

 

 

 

    	 	29	 

     

    

 

c)         Saturdays, Sundays, Holidays, etc. If the
last or appointed day for the taking of any action or the expiration of any right required or granted herein shall not be a Business
Day, then, such action may be taken or such right may be exercised on the next succeeding Business Day.

 

d)        Authorized
Shares. The Company covenants that, during the period the Warrant is outstanding, it will reserve from its authorized and unissued
Shares a sufficient number of shares to provide for the issuance of the Warrant Shares upon the exercise of any purchase rights under
this Warrant. The Company further covenants that its issuance of this Warrant shall constitute full authority to its officers who are
charged with the duty of issuing the necessary Warrant Shares upon the exercise of the purchase rights under this Warrant. The Company
will take all such reasonable action as may be necessary to assure that such Warrant Shares may be issued as provided herein without
violation of any applicable law or regulation, or of any requirements of any Trading Market upon which the Shares may be listed. The
Company covenants that all Warrant Shares which may be issued upon the exercise of the purchase rights represented by this Warrant will,
upon exercise of the purchase rights represented by this Warrant and payment for such Warrant Shares in accordance herewith, be duly
authorized, validly issued, fully paid and nonassessable and free from all taxes, liens and charges created by the Company in respect
of the issue thereof.

 

e)         Jurisdiction. This Warrant shall be governed by and construed and enforced in accordance with the laws of the State of Texas,
without giving effect to conflict of laws principles thereof. The Company hereby agrees that any action, proceeding or claim against it
arising out of, or relating in any way to this Warrant shall be brought and enforced in Travis County, Texas, or in the federal courts
located therein, and irrevocably submits to such jurisdiction, which jurisdiction shall be exclusive. The Company hereby waives any objection
to such exclusive jurisdiction and that such courts represent an inconvenient forum.

 

f)         Restrictions. The Holder acknowledges that the Warrant Shares acquired upon the exercise of this Warrant, if not registered,
will have restrictions upon resale imposed by state and federal securities laws.

 

g)        Nonwaiver
and Expenses. No course of dealing or any delay or failure to exercise any right hereunder on the part of Holder shall operate as
a waiver of such right or otherwise prejudice the Holder's rights, powers or remedies. Without limiting any other provision of this Warrant,
if the Company willfully and knowingly fails to comply with any provision of this Warrant, which
results in any material damages to the Holder, the Company shall pay to the Holder such amounts as shall be sufficient to cover any costs
and expenses including, but not limited to, reasonable attorneys' fees, including those of appellate proceedings, incurred by the Holder
in collecting any amounts due pursuant hereto or in otherwise enforcing any of its rights, powers
or remedies hereunder.

 

h)        Notices.
Any notices, consents, waivers or other document or communications required or permitted to be given or delivered under the terms of
this Warrant must be in writing and will be deemed to have been delivered: (i) upon receipt, if delivered
personally; (ii) when sent, if sent by e-mail (provided that such sent e-mail is kept on file (whether electronically or otherwise) by
the sending party and the sending party does not receive an automatically generated message from the recipient's e-mail server that such
e-mail could not be delivered to such recipient) and (iii) if sent by overnight courier service, one (1) Trading Day after deposit with
an overnight courier service with next day delivery specified, in each case, properly addressed to the party to receive the same. If
notice is given by email, a copy of such notice shall be dispatched no later than the next business day by first class mail, postage
prepaid. The addresses and e-mail addresses for such communications shall be:

 

If
to the Company:

 

Volcon, Inc

3267 Bee Caves Road, 107-322

Austin, TX 78746

 

If
to a Holder, to its address or e-mail address set forth herein or on the books and records of the Company.

 

 

 

    	 	30	 

     

    

 

Or, in each
of the above instances, to such other address or e-mail address and/or to the attention of such other Person as the recipient party has
specified by written notice given to each other party at least five (5) days prior to the effectiveness of such change. Written confirmation
of receipt (A) given by the recipient of such notice, consent, waiver or other communication, or (B) provided by an overnight courier
service, shall be rebuttable evidence of personal service in accordance with clause (i) or (iii)
above, respectively. A copy of the e-mail transmission containing the time, date and recipient e-mail address shall be rebuttable
evidence of receipt by e mail in accordance with clause (ii) above.

 

i)          Limitation
of Liability. No provision hereof, in the absence of any affirmative action by the Holder to exercise this Warrant to purchase Warrant
Shares, and no enumeration herein of the rights or privileges of the Holder, shall give rise to any liability of the Holder for the purchase
price of any Shares or as a stockholder of the Company, whether such liability is asserted by the Company or by creditors of the Company.

 

j)          Remedies.
The Holder, in addition to being entitled to exercise all rights granted by law, including recovery of damages, will be entitled
to specific performance of its rights under this Warrant. The Company agrees that monetary damages would not be adequate compensation
for any loss incurred by reason of a breach by it of the provisions of this Warrant and hereby agrees to waive and not to assert the
defense in any action for specific performance that a remedy at law would be adequate.

 

k)         Successors and Assigns. Subject to applicable securities laws, this Warrant and the rights and obligations evidenced hereby
shall inure to the benefit of and be binding upon the successors and permitted assigns of the Company and the successors and permitted
assigns of Holder. The provisions of this Warrant are intended to be for the benefit of any Holder from time to time of this Warrant and
shall be enforceable by the Holder or holder of Warrant Shares.

 

l)          Amendment. This Warrant may be modified or amended or the provisions hereof waived with the written consent of the Company
and the Holder.

 

m)        Severability.
Wherever possible, each provision of this Warrant shall be interpreted in such manner as to be effective and valid under applicable law,
but if any provision of this Warrant shall be prohibited by or invalid under applicable law, such provision shall be ineffective to the
extent of such prohibition or invalidity, without invalidating the remainder of such provisions or the remaining provisions of this Warrant.

 

n)        Headings.
The headings used in this Warrant are for the convenience of reference only and shall not, for any purpose, be deemed a part of this
Warrant.

 

********************

 

 

(Signature Page Follows)

 

 

 

 

    	 	31	 

     

    

 

IN WITNESS WHEREOF, the Company has
caused this Warrant to be executed by its officer thereunto duly authorized as of the date first above indicated.

 

 

SIGNATURES

Pursuant
to the requirements of the Securities Exchange Act of 1934, the Registrant has duly
caused this report to be signed on its behalf by the undersigned, hereunto duly
authorized.

 

	 	VOLCON, INC.
	 	 
	 	By: 	/s/ Christian Okonsky
	 	 	Name: Christian Okonsky
Title: Chairman

 

 

 

 

 

 

    	 	32	 

     

    

 

NOTICE OF EXERCISE

 

TO: VOLCON, INC.

 

(1)   The
undersigned hereby elects to purchase ___________ Warrant Shares of the Company pursuant to the terms of the attached Warrant (only
if exercised in full), and tenders herewith payment of the exercise price in full, together with all applicable transfer taxes, if
any.

 

 (2) Payment shall take the form of (check applicable box):

 

[  ]
in lawful money of the United States; or

 

[  ] if permitted the cancellation of such number of Warrant Shares as is necessary, in accordance
with the formula set forth in subsection 2(c), to exercise this Warrant with respect to the maximum number of Warrant Shares purchasable
pursuant to the cashless exercise procedure set forth in subsection 2(c).

 

(3)  
Please issue said Warrant Shares in the name of the undersigned or in such other name as is specified below:

 

_____________________________

 

The Warrant
Shares shall be delivered to the following DWAC Account Number (if eligible):

 

_____________________________

_____________________________

_____________________________

 

 

(4)     
Accredited Investor. The undersigned is an "accredited investor" as defined in Regulation D promulgated under
the Securities Act of 1933, as amended.

 

[SIGNATURE OF HOLDER]

 

Name of Investing
Entity ____________________________________________________________

Signature
of Authorized Signatory of Investing Entity: _____________________________________

Name of Authorized
Signatory: _______________________________________________________

Title of
Authorized Signatory: ________________________________________________________

Date: __________________________________________________________________________

 

 

 

 

    	 	33	 

     

    

EXHIBIT
B

 

ASSIGNMENT FORM

 

(To assign
the foregoing Warrant, execute this form and supply required information. Do not use this form to purchase shares.)

 

FOR VALUE
RECEIVED, the foregoing Warrant and all rights evidenced thereby are hereby assigned to

 

	Name:	__________________________________
	 	(Please Print)
	 	 
	Address:	__________________________________
	 	(Please Print)
	 	 
	Phone Number:	__________________________________
	 	 
	Email Address:	__________________________________
	 	 
	Dated: ___________________ __, ____	 
	 	 
	Holder’s Signature: __________________________	 
	 	 
	Holder’s Address: ___________________________	 
	 	 

 

 

 

 

 

 

    	 	34Exhibit 10.1

 
	 	Doc. No.: 202212PDN16

 
	 	Delivered To:

 

STOCK
PURCHASE AGREEMENT

(Non-U.S.
Purchaser)

 

FOR

 

PROFESSIONAL
DIVERSITY NETWORK, INC.

 

CONFIDENTIAL
DOCUMENT: By receiving and signing this Stock Purchase Agreement, the recipient acknowledges and agrees that (i) all of the information
contained herein is confidential and shall not be disclosed to any third party; provided, however, that this confidentiality obligation
shall not apply to any such information that (a) is part of the public knowledge or literature or (b) becomes part of the public knowledge
or literature (other than by reason of a breach of this provision), (ii) the information contained in this document may constitute “material
non-public information” within the meaning of the United States federal securities laws and, accordingly, except as contemplated
by this document, the recipient shall not buy, sell or trade the securities of the Company (as defined below) or make recommendations
to other person(s) under circumstances in which it is reasonably foreseeable that such person(s) are likely to buy, sell or trade the
Company’s securities until the earlier of (1) one day after the Company publically discloses the completion of the transactions
contemplated by this Stock Purchase Agreement or (2) the Company informs you that the transactions contemplated by this Stock Purchase
Agreement have been terminated, (iii) the recipient will not reproduce this document, in whole or in part; (iv) if the recipient does
not wish to pursue an investment in the Company, it will return this document to the Company or destroy this document as soon as practicable,
together with any other material relating to the Company which the recipient may have received from the Company; and (iv) any proposed
actions by the recipient which are inconsistent in any manner with the foregoing agreements will require the prior written consent of
the Company.

 

STATUS
UNDER UNITED STATES SECURITIES LAWS: The Shares referred to herein have not been registered under the U.S. Securities Act of 1933, as
amended (the “Securities Act”), or any other securities laws, and may not be offered or sold in the United States or to U.S.
persons (as such term is defined in Regulation S under the Securities Act, which includes a resident of the United States holding a “Green
Card” or other forms of residency) unless such securities are registered under the Securities Act or an exemption from the registration
requirements of the Securities Act is available. Any representation to the contrary is a criminal offense. No transfer of the Shares
shall be valid or effective unless (a) such transfer is made pursuant to an effective registration statement under the Securities Act
and in compliance with any applicable securities laws, or (b) the Holder shall deliver to the Company an opinion of counsel in form and
substance reasonably acceptable to the Company that such proposed transfer is exempt from the registration requirements of the Securities
Act and of any applicable securities laws, whether pursuant to the provisions of Regulation S promulgated under the Securities Act or
otherwise. Hedging transactions involving shares of the Company’s Common Stock are prohibited, unless such transactions are conducted
in compliance with the Securities Act. Any person acting contrary to the foregoing restrictions may place such person and the Company
in violation of United States or other securities laws. 

 

HONG
KONG WARNING: The contents of this document have not been reviewed by any regulatory authority in Hong Kong or the United Kingdom. You
are advised to exercise caution in relation to the offer. If you are in any doubt about any of the contents of this document, you should
obtain independent professional advice.

 

香港警告:
本文件内容并未被香港或英国有关管理机构审阅.
建议读者在处理此私募要约时谨慎从事.
如您对本文件任何内容有任何疑问, 您应该自己寻找独立的专业咨询.

 

    	 

     

    

 

SUBSCRIPTION
INSTRUCTIONS

 

	1.	Disclosure;
                                            Access to information. The Investor has been furnished with all materials relating to the
                                            business, finances and operations of the Company and materials relating to the offer and
                                            sale of the Securities that have been reasonably requested by the Investor, including, without
                                            limitation, the SEC Reports (as defined below). The Investor understands that its investment
                                            in the Securities involves a high degree of risk. The Investor (i) is able to bear the economic
                                            risk of an investment in the Securities including a total loss, (ii) has such knowledge and
                                            experience in financial and business matters that it is capable of evaluating the merits
                                            and risks of the proposed investment in the Securities and (iii) has had an opportunity to
                                            ask questions of and receive answers from the officers of the Company concerning the financial
                                            condition and business of the Company and others matters related to an investment in the
                                            Securities. Neither such inquiries nor any other due diligence investigations conducted by
                                            the Investor or its representatives shall modify, amend or affect the Investor’s right
                                            to rely on the Company’s representations and warranties contained in Section 3 below.
                                            The Investor has sought such accounting, legal and tax advice as it has considered necessary
                                            to make an informed investment decision with respect to its acquisition of the Securities.

 

	2.	Please
                                            read this Stock Purchase Agreement, which includes and incorporates by reference the attached
                                            Terms and Conditions for Purchase of Shares (Annex I).

 

	3.	If
                                            you wish to subscribe for the purchase of the Shares, please complete and execute this document
                                            and submit your cash payment, as follows:

 

		(a)	Insert
                                            the number of Shares that you wish to purchase, as well as the aggregate purchase price,
                                            on the signature page of this Stock Purchase Agreement.

 

		(b)	Fully
                                            execute the signature page of this Stock Purchase Agreement.

 

		(c)	Fully
                                            complete the “Stock Certificate Information” and “Purchaser Information”
                                            immediately following the signature page.

 

		(d)	Send
                                            the foregoing executed documents to the Company at the following address:

 

Professional
Diversity Network, Inc.

Attention:
Mr. Adam He

55
E. Monroe Street, Suite 2120

Chicago,
Illinois 60603

United
States of America

 

Note
Regarding Electronic Transmissions: A subscription is not complete until original documents with original signatures are
received. Please send all original documents via courier to the address set forth above, even if you also elect to electronically
transmit documents.

 

Please
send your cash payment equal to the aggregate purchase price indicated on the signature page of this Stock Purchase Agreement via wire
transfer as indicated on Page 5 hereof.

 

	4.	Once
                                            submitted, a subscription may not be revoked, cancelled or terminated by the Purchaser.

 

	5.	The
                                            Company expects to complete the closing of the purchase and sale of the Shares with Purchasers
                                            on December 16, 2022 (the “Closing Date”), if you wish to subscribe for the purchase
                                            of the Shares as described in this Stock Purchase Agreement, you should submit the documents
                                            described above, together with your cash payment, as soon as possible. The Company may in
                                            its discretion elect to extend the offering period beyond the Closing Date, but the Closing
                                            Date reflects the Company’s current expectations. Note that the Company may, in its
                                            sole discretion, determine at any time not to proceed with the offering, in which event your
                                            subscription funds will be returned to you, without interest.

 

	6.	The
                                            Purchaser’s subscription to purchase the Shares specified in this Stock Purchase Agreement
                                            shall not be effective until such time as it is accepted by the Company. The subscription
                                            proceeds will be held by the Company pending acceptance of this Stock Purchase Agreement
                                            by the Company. In the event that the Purchaser’s subscription is not accepted by the
                                            Company, the Company will promptly return the aggregate purchase price submitted by the Purchaser,
                                            without interest, to the address indicated below under “Purchaser Information.”

 

    	2

    	 

    

 

WIRE
TRANSFER INSTRUCTIONS

 

Please
send your cash payment equal to the aggregate purchase price indicated on the signature page of this Stock Purchase Agreement via wire
transfer as indicated below.

 

[INTENTIONALLY
OMITTED]

 

    	3

    	 

    

 

	To:	Professional Diversity Network, Inc.
	 	55 E. Monroe Street, Suite 2120
	 	Chicago, Illinois 60603

 
	From:	The Undersigned Purchaser

 

The
undersigned (the “Purchaser”), hereby confirms its agreement with you as follows:

 

1. This
Stock Purchase Agreement (the “Agreement”) is made as of the date set forth below between Professional Diversity Network,
Inc., a Delaware corporation (the “Company”), and the Purchaser.

 

2. The
Company has authorized the sale and issuance to one or more purchasers in a private placement (the “Offering”) of 2,325,581
shares of common stock (the “Shares”), US$ 0.01 par value per share (“Common Stock”), subject to the terms and
conditions herein.

3. The
Company and the Purchaser agree that the Purchaser will purchase from the Company and the Company will issue and sell to the Purchaser
the number of Shares set forth on the signature page of this Agreement at a per Share purchase price equal to (i) 80% multiplied by (ii)
the average closing price of the Common Stock for the five (5) trading days immediately prior to the Closing Date, rounded down to the
nearest whole share (the “Purchase Price”). The Company will determine the date upon which subscriptions (if any) will be
accepted. Upon acceptance of your subscription, and receipt of the aggregate Purchase Price, the Company shall register the Shares issued
to you in your name on the Company’s books and records. Promptly following the Closing Date and if you so request, the Company
intends to furnish you with a certificate representing the Shares that have been issued to you.

 

4. The
Purchaser hereby acknowledges that it has received, read and is familiar with this Agreement (consisting of these “Subscription
Pages” and Annex I) and has received, read and is familiar with the Company’s reports as filed with the SEC (except to the
extent that the information in such filings is deemed furnished, and not filed, pursuant to securities laws and regulations) (the “SEC
Reports”), including without limitation the “Risk Factors” set forth under the caption “Item 1A. Risk Factors”
commencing on the recent Form 10-K. Purchaser acknowledges that certain statements contained in the SEC Reports constitute “Forward-Looking
Statements,” as referenced under the caption “Forward-Looking Statements” set forth under the heading “Special
Note Regarding Forward-Looking Statements” in the Form 10-K and, as described therein, Purchaser acknowledges that the Company’s
actual results could differ materially from those anticipated in these forward-looking statements as a result of various factors, including
the risk factors described under the caption “Risk Factors” and elsewhere in the Form 10-K. The Purchaser acknowledges that
its investment in the Shares are subject to the risk factors set forth in the Form 10-K, as well as the SEC Reports.

 

5. The
Purchaser hereby represents and warrants to the Company as follows:

 

(a) The
Purchaser is not a “U.S. person” (as such term is defined in Regulation S under the Securities Act, which includes a resident
of the United States holding a “Green Card” or other forms of residency), and is not acting for the account or benefit of
a “U.S. person.”

 

    	4

    	 

    

 

(b) The
Purchaser will not offer, sell, or otherwise transfer the common stock sold in this offering to a “U.S. person” (as such
term is defined in Regulation S under the Securities Act, which includes a resident of the United States holding a “Green Card”
or other forms of residency) of the United States within six month period from the date of purchase (the “distribution compliance
period”), unless the transferee certifies that it is not a “U.S. person” (including a resident of the United States
holding a “Green Card” or other forms of residency) of the United States and agree to resell only in accordance with Regulation
S and not to engage in any hedging transactions. Note that the distribution compliance period may last for one year in the event the
Company ceases to be a reporting company or ceases to be current in its SEC reporting.

 

(c) The
Purchaser has adequate means of providing for Purchaser’s current needs and any unexpected needs in the future even without the
funds that Purchaser might invest pursuant to this Agreement. The Purchaser neither has nor anticipates any need to sell the Shares in
the foreseeable future. The Purchaser is able to bear the economic risks of this investment, is able to hold the Shares for an indefinite
period of time, and has a sufficient net worth to sustain a loss of the entire investment in the Shares in the event that such a loss
occurs. The Purchaser’s commitment in the Shares and other non-marketable investments will not be a disproportionate part of Purchaser’s
net worth.

 

(d) The
Purchaser, either alone or with one or more of its representatives, has such knowledge and experience in financial and business matters
that the Purchaser is capable of evaluating the merits and risks of an investment in the Company.

 

(e) The
Purchaser confirms that, if requested by Purchaser, all documents, records and books pertaining to this proposed investment in the Company
have been made available to the Purchaser and his advisors, and they have made such examinations of the foregoing as the Purchaser and
his advisors have deemed necessary in connection with such investment in the Company.

 

(f) The
Purchaser has had an opportunity to ask questions of and receive answers from the officers of the Company concerning the terms and conditions
of this investment, and such officers of the Company have answered all such questions to the full satisfaction of the Purchaser.

 

(g) The
Shares will be acquired for the Purchaser’s own account for investment, and not for the account of any other person nor with a
view to resell, distribute, or participate in any distribution of the Shares in a manner which would require the registration of the
Shares under the U.S. Securities Act of 1933, as amended (the “Securities Act”), or any applicable state securities laws.

 

(h) The
Purchaser understands that no U.S. or other securities administrator has made any finding or determination relating to the merits or
fairness of an investment in the Shares, and no such securities administrator has or will recommend or endorse any offering of the Shares.

 

(i) It
has been called to the Purchaser’s attention, both in this Agreement and by those individuals with whom the Purchaser has dealt
in connection with investing in the Company, that the Purchaser’s investment in the Company is a speculative investment and involves
a degree of risk which might result in the loss of the Purchaser’s entire investment. The Purchaser acknowledges that the Company
has made available to the Purchaser or the Purchaser’s representative(s) the opportunity to obtain additional information with
which to evaluate the merits and risks of this investment. By reason of the Purchaser’s business and financial experience, the
Purchaser has acquired the capacity to protect the Purchaser’s interest in investments of this nature. In reaching the conclusion
that the Purchaser desires to acquire the Shares, the Purchaser has carefully evaluated its financial resources and investment position
and the risks associated with this investment.

 

    	5

    	 

    

 

(j) In
making the Purchaser’s investment decision, the Purchaser has relied solely upon its review of the Company’s filings with
the SEC, as well as any investigations of the Company made by the Purchaser and the Purchaser’s representatives, if any. The Purchaser
has received no representations from the Company or its principals, officer or directors.

 

(k) No
representations have been made to the Purchaser concerning projected results, expected yields or any other prospective information concerning
operation of the Company.

 

(l) The
Purchaser, if an individual, is a bona fide citizen and resident of the country set forth in the “Purchaser Information”
section of this Agreement, and the addressees set forth in the “Purchaser Information” section of this Agreement are the
true and correct business and home addresses of the Purchaser. The address set forth in the “Purchaser Information section of this
Agreement is the true and correct business address of the Purchaser.

 

(m) Purchaser
was not located in the United States at the time that (i) any offer to purchase the Shares was made to the Purchaser, and (ii) the buy
order for the Shares was made.

 

6. The
Purchaser hereby acknowledges and agrees to the following:

 

(a) Each
certificate representing Shares issued to the Purchaser shall be stamped or otherwise imprinted with a legend in substantially the following
form:

 

“The
shares of Common Stock represented by this certificate have not been registered under the U.S. Securities Act of 1933, as amended (the
“Securities Act”), or any other securities laws. No transfer of the shares represented by this certificate shall be valid
or effective unless (a) such transfer is made pursuant to an effective registration statement under the Securities Act and in compliance
with any applicable securities laws, or (b) the Holder shall deliver to the Company an opinion of counsel in form and substance reasonably
acceptable to the Company that such proposed transfer is exempt from the registration requirements of the Securities Act and of any applicable
securities laws, whether pursuant to the provisions of Regulation S promulgated under the Securities Act or otherwise. Hedging transactions
involving shares of the Common Stock of the Company are prohibited, unless such transactions are conducted in compliance with the Securities
Act.”

 

(b) The
Purchaser will not resell any of the Shares except (i) in accordance with the provisions of Regulation S, (ii) pursuant to registration
under the Securities Act, or (iii) pursuant to an available exemption from registration.

 

(c) The
Purchaser will not engage in hedging transactions with regard to the Shares unless such transactions are conducted in compliance with
the Securities Act.

 

7. The
Company hereby agrees and covenants with the Purchaser that the Company will not register any transfer of the Shares except to the extent
required by the law of any country other than the United States, unless such transfer is made (i) in accordance with the provisions of
Regulation S, (ii) pursuant to registration under the Securities Act, or (iii) pursuant to an available exemption from registration.

 

Please
confirm that the foregoing correctly sets forth the agreement between us by signing in the space provided below for that purpose.

 

[Purchaser’s
Signature and Information Pages Follow]

 

    	6

    	 

    

 

IN
WITNESS WHEREOF, this Stock Purchase Agreement is entered into by the undersigned Purchaser and the Company as of the date indicated
below.

 

	“PURCHASER”	 
	 	 
	By:	                       	 
	Print Name: Hongjun Chen	 

 

Estimated
Closing Date: December 16, 2022

 

Number
of Shares Subscribed For: 2,325,581

 

	Aggregate
  Purchase Price:	$1,000,000	 

 

ENGLISH
LANGUAGE NOTE TO PURCHASER: This Agreement, including Annex I attached hereto, is set forth exclusively in the English language. The
Purchaser acknowledges and agrees that either alone or with the Purchaser’s advisors, that it fully understands the contents of
these documents and also the contents of the Company’s SEC Reports (as referenced in Section 4 above).

 

CHINESE
NOTE TO PURCHASER 致认购者: 本协议,包括附件I,
只有英文版本。认购者承认并同意其本人或在其顾问人员的协助下对本协议文件以及本公司向美国证监会提交的报告(如上述第四节所提及的)完全理解。

 

	AGREED AND ACCEPTED:	 
	PROFESSIONAL DIVERSITY NETWORK, INC.	 
	 	 
	By:	 	 
	Title:	 Chief Executive Officer	 
	Date:	December 16, 2022	 

 

    	7

    	 

    

 

STOCK
CERTIFICATE INFORMATION

 

Purchaser:
Unless an alternative name is provided below, the Company will issue the Shares to be issued to you upon acceptance of your
subscription in the name shown on the signature page of this Agreement:

 

	The
    exact name that your Shares are to be registered in.	Hongjun
    Chen

 

PURCHASER
INFORMATION

 

The
purpose of the following is to assure the Company that each Purchaser will meet applicable suitability requirements under relevant securities
laws. The information supplied by you below will be used by the Company in determining whether you meet such criteria, and reliance upon
applicable exemptions from registration is based in part on the information herein supplied.

 

By
providing the following information, you are representing to the Company that such information is true and correct and you are authorizing
the Company to provide such information to such parties as the Company deems appropriate in order to ensure that the offer and sale of
the Shares will not result in a violation of applicable securities laws, that you otherwise satisfy the suitability standards applicable
to Purchasers of the Shares. All potential Purchasers must provide the information requested below. Please print or type your responses
and attach additional sheets of paper if necessary to complete your answers to any item.

 

	Name:	Hongjun Chen
	Business Address:	 
	 	(Number and Street)

 

	(City)	(Country)	(Postal
    Code)
	 	 	 
	Telephone
    Number:  

 

	Resident Address:	 
	 	(Number and Street)

 

	(City)	(Country)	(Postal
    Code)

 
	Telephone Number:	(    )	 

 
	Age: ______________	Citizenship:	 

 

    	8

    	 

    

 

ANNEX
I

 

TERMS
AND CONDITIONS FOR PURCHASE OF SHARES

 

1. AGREEMENT
TO SELL AND PURCHASE THE SHARES; SUBSCRIPTION DATE.

 

1.1 PURCHASE
AND SALE. At the Closing (as defined in Section 2.1), the Company will sell and issue to the Purchaser, and the Purchaser will purchase
and acquire from the Company, upon the terms and conditions hereinafter set forth, the number of Shares as referenced on the subscription
pages to which these Terms and Conditions for Purchase of Shares are attached as Annex I (the “Subscription Pages”), all
at the purchase price set forth on such Subscription Pages.

 

1.2 OTHER
PURCHASERS. As part of the Offering, the Company may enter into substantially this same form of Stock Purchase Agreement with other purchasers
(the “Other Purchasers”). The Purchaser and the Other Purchasers (if any) are hereinafter sometimes collectively referred
to as the “Purchasers,” and this Agreement and the Stock Purchase Agreements executed by the Other Purchasers are hereinafter
sometimes collectively referred to as the “Agreements.”

 

2. DELIVERY
OF SHARES AT CLOSING.

 

The
completion of the purchase and sale of the Shares (the “Closing”) shall occur at the offices of Professional Diversity Network,
Inc. at 10:00 am on December 16, 2022 (the “Closing Date”). At the Closing, the Company shall accept those subscriptions
for Shares as it may in its discretion determine and shall register the Shares issued to you in your name on the Company’s books
and records. Promptly following the Closing, the Company intends to furnish you with a certificate disclosing the Shares that have been
issued to you.

 

3. REPRESENTATIONS,
WARRANTIES AND COVENANTS OF THE PURCHASER.

 

3.1 PURCHASER
ACKNOWLEDGEMENT. The Purchaser, for itself only, represents and warrants to, and covenants with, the Company that: (a) the Purchaser
understands that the Shares are “restricted securities” and have not been registered under the Securities Act or under applicable
state securities or blue sky laws and Purchaser is acquiring the number of Shares set forth on the Subscription Pages in the ordinary
course of its business and for its own account for investment only, and not with a view to, or for sale in connection with, any distribution
thereof, nor with the intention of distributing or reselling same; (b) the Purchaser will not, directly or indirectly, offer, sell, pledge,
transfer or otherwise dispose of (or solicit any offers to buy, purchase or otherwise acquire or take a pledge of) any of the Shares
except in compliance with the Securities Act and other applicable securities laws and the respective rules and regulations promulgated
thereunder; (c) the Purchaser has answered all questions on the Subscription Pages and the answers thereto are true and correct as of
the date hereof and will be true and correct as of the Closing Date and the related information may be relied upon by the Company; and
(d) the Purchaser has, in connection with its decision to purchase the number of Shares set forth on the Subscription Pages, relied only
upon information set forth in the SEC Reports. Purchaser understands that the issuance of the Shares to the Purchaser has not been registered
under the Securities Act, or registered or qualified under any other securities laws in reliance on specific exemptions therefrom, which
exemptions may depend upon, among other things, the bona fide nature of the Purchaser’s investment intent as expressed herein.

 

    	9

    	 

    

 

3.2 POWER
AND AUTHORITY. The Purchaser further represents and warrants to, and covenants with, the Company that (i) the Purchaser has the capacity
to enter into this Agreement and to consummate the transactions contemplated hereby and has taken all necessary action to authorize the
execution, delivery and performance of this Agreement, and (ii) this Agreement constitutes a valid and binding obligation of the Purchaser
enforceable against the Purchaser in accordance with its terms, except as enforceability may be limited by applicable bankruptcy, insolvency,
reorganization, moratorium or similar laws affecting creditors’ and contracting parties’ rights generally and except as enforceability
may be subject to general principles of equity (regardless of whether such enforceability is considered in a proceeding in equity or
at law).

 

3.3 NO
DISPOSITIONS. The Purchaser represents and warrants that it will not offer, sell, or otherwise transfer the common stock sold in this
offering to a “U.S. person” (as such term is defined in Regulation S under the Securities Act, which includes a resident
of the United States holding a “Green Card” or other forms of residency) within a six month period from the date of purchase
(the “distribution compliance period”) unless the transferee certifies that it is not a “U.S. person” (including
a resident of the United States holding a “Green Card” or other forms of residency) of the United States and agree to resell
only in accordance with Regulation S. Further, the Purchaser will not engage in any hedging or other transaction which is designed to
or could reasonably be expected to lead to or result in a disposition of common stock of the Company by the Purchaser or any other person
or entity. Such prohibited hedging or other transactions would include, without limitation, effecting any short sale or having in effect
any short position (whether or not such sale or position is against the box and regardless of when such position was entered into) or
any purchase, sale or grant of any right (including, without limitation, any put or call option) with respect to the common stock of
the Company or with respect to any security (other than a broad-based market basket or index) that includes, relates to or derives any
significant part of its value from the common stock of the Company. Note that the distribution compliance period may last for one year
in the event the Company ceases to be a reporting company or ceases to be current in its SEC reporting.

 

3.4 NO
TAX OR LEGAL ADVICE. The Purchaser understands that nothing in this Agreement, or any other materials presented to the Purchaser in connection
with the purchase and sale of Shares constitutes legal, tax or investment advice. The Purchaser has consulted such legal, tax and investment
advisors as it, in its sole discretion, has deemed necessary or appropriate in connection with its purchase of Shares.

 

    	10

    	 

    

 

4. SHELF
REGISTRATION AND RELATED MATTERS

 

4.1 SHELF
REGISTRATION. No later than 45 days after the later of (a) the Closing Date and (b) the date on which the Company files with the U.S.
Securities and Exchange Commission (the “Commission”) its Annual Report on Form 10-K for the year ended December 31, 2022,
the Company shall file with the Commission a registration statement (the “Shelf Registration Statement”) under the
Securities Act to permit the public resale of all the Shares purchased hereunder by the Purchasers (such Shares, together with any securities
issued or issuable with respect to such Shares by way of dividend or distribution or in connection with any reorganization, recapitalization,
stock split or reverse stock split, the “Registrable Securities”) from time to time as permitted by Rule 415 under the Securities
Act and shall use commercially reasonable efforts to cause such Registration Statement to become or be declared effective as soon as
practicable after the filing thereof but in any event no later than 90 days after the later of the dates specified in clauses (a) and
(b) of this sentence. Following the effective date of the Shelf Registration Statement, the Company shall notify the Purchaser of the
effectiveness of such Registration Statement.

 

4.2. The
Shelf Registration Statement shall be on Form S-3 or, if Form S-3 is not then available to Company, on Form S-1 or such other form of
registration statement as is then available to effect a registration for resale of the Registrable Securities and shall contain a prospectus
in such form as to permit any Purchaser to sell its Registrable Securities pursuant to Rule 415 under the Securities Act (or any successor
or similar rule adopted by the Commission then in effect) at any time beginning on the effective date for such Registration Statement.
The Shelf Registration Statement shall provide for the resale pursuant to any method or combination of methods legally available to the
Purchasers and requested by the holders of the majority of Registrable Securities (the “Majority Holders”); provided, however,
that in no event shall the Company be required to take any action not expressly contemplated herein to facilitate an underwritten offering
of Registrable Securities pursuant to the Shelf Registration Statement.

 

4.3 The
Company shall use commercially reasonable efforts to cause the Shelf Registration Statement to remain effective, and to be supplemented
and amended to the extent necessary to ensure that the Shelf Registration Statement is available for the resale of all the Registrable
Securities by the Purchasers, until the expiration of the Required Effectiveness Period. The “Required Effectiveness Period”
for each Purchaser shall mean the period commencing on the date the Shelf Registration Statement becomes effective and ending on the
earliest of (a) the date all Registrable Securities have been sold by such Purchaser, (b) the date all Registrable Securities becomes
eligible for resale by such Purchaser without restriction and without volume limitations or the need for current public information pursuant
to any section of Rule 144 under the Securities Act (or any similar rule then in effect), and (c) the second anniversary of the Closing
Date.

 

4.4 The
Company shall promptly notify each Purchaser, at any time when a prospectus relating to Registrable Securities covered by the Shelf Registration
Statement is required to be delivered under the Securities Act, upon discovery that, or upon the happening of any event as a result of
which, the prospectus included in the Shelf Registration Statement, as then in effect, includes an untrue statement of a material fact
or omits to state any material fact required to be stated therein or necessary to make the statements therein not misleading in the light
of the circumstances under which they were made, and at the request of any such Purchaser promptly prepare and furnish to such Purchaser
a reasonable number of copies of a supplement to or an amendment of such prospectus as may be necessary so that, as thereafter delivered
to the purchasers of such securities, such prospectus shall not include an untrue statement of a material fact or omit to state a material
fact required to be stated therein or necessary to make the statements therein not misleading in the light of the circumstances under
which they were made.

 

    	11

    	 

    

 

4.5 Each
Purchaser agrees by acquisition of Registrable Securities that upon receipt of any notice from the Company of the happening of any event
of the kind described in Section 4.4 of this Annex I, such Purchaser will forthwith discontinue such Purchaser’s disposition
of Registrable Securities pursuant to the Shelf Registration Statement until such Purchaser’s receipt of the copies of the supplemented
or amended prospectus contemplated by Section 4.4 of this Annex I as filed with the Commission or until it is advised in writing
by the Company that the use of such Registration Statement may be resumed, and, if so directed by the Company, will deliver to the Company
(at the Company’s expense) all copies, other than permanent file copies, then in such Holder’s possession of the prospectus
relating to such Registrable Securities current at the time of receipt of such notice. The Company may provide appropriate stop orders
to enforce the provisions of this Section 4.5.

 

4.6 Notwithstanding
any other provision of this Section 4, the Company shall have no obligation to include Registrable Securities of a Purchaser in the Shelf
Registration Statement if such Purchaser has failed to timely furnish such information that the Company determines, after consultation
with its counsel, is reasonably required in order for the Shelf Registration Statement or any prospectus supplement, as applicable, to
comply with the Securities Act.

 

4.7 ‎Notwithstanding
any other provision of this Section 4, the Company may (a) delay ‎filing or effectiveness of the Shelf Registration Statement (or
any amendment ‎thereto) or (b) suspend the Purchasers’ use of any prospectus that is a part of the ‎Shelf Registration
Statement upon written notice to each Purchaser whose ‎Registrable Securities are included in such Shelf Registration Statement ‎‎(provided
that in no event shall such notice contain any material non-public ‎information regarding the Company) (in which event each such
Purchaser shall ‎immediately discontinue sales of Registrable Securities pursuant to the Shelf ‎Registration Statement but may
settle any then-contracted sales of Registrable ‎Securities), in each case for a period of up to 60 days, if the Company’s
Board of ‎Directors determines in good faith (i) that such delay or suspension is in the best ‎interest of the Company and its
stockholders because it would materially interfere with a ‎pending transaction involving the Company (including a pending securities
offering by ‎the Company or any proposed financing, acquisition, merger, tender offer, business ‎combination, corporate reorganization,
consolidation or other significant ‎transaction involving the Company), (B) that, in the absence of such delay or ‎suspension,
the Company would be unable to comply with applicable securities laws or ‎‎(C) that, in the absence of such delay or suspension,
the Company would be required to ‎disclose material information that the Company has a bona fide business purpose for ‎preserving
as confidential (any such period, including any period under Section 4.5 of this Annex I, a “Suspension Period”);
provided, however, that the Company may exercise ‎its rights under this Section 4.7 only twice in any twelve-month period ‎and
in no event shall any Suspension Periods collectively exceed an aggregate of ‎‎120 days in any twelve-month period. The date
specified in clause (c) of the ‎definition of “Required Effectiveness Period” in Section 4.3 of this Annex I shall
be extended by ‎the number of days during any Suspension Period. The Company shall promptly notify ‎the Purchasers when the Purchasers
may recommence sales under the Shelf ‎Registration Statement.‎

 

4.8 Each
Purchaser agrees not to effect any public sale or distribution of Registrable Securities ‎for a period of up to 60 days following
completion of an underwritten offering of equity ‎securities by the Company; provided that (a) the Company gives written notice to
such Purchaser of the ‎date of the commencement and termination of such period with respect to any such ‎underwritten offering
and (ii) the duration of the foregoing restrictions shall be no longer ‎than the duration of the shortest restriction generally imposed
by the underwriters of ‎such underwritten offering on the Company or on the officers or directors or any other ‎shareholder of
the Company on whom a restriction is imposed; provided further, that this ‎Section 4.8 shall not apply to any Purchaser that, together
with such Purchaser’s ‎Affiliates, holds less than 5% of the outstanding shares of the Company’s Common Stock.‎

 

    	12

    	 

    

 

5. SURVIVAL
OF REPRESENTATIONS, WARRANTIES AND AGREEMENTS.

 

Notwithstanding
any investigation made by any party to this Agreement, all covenants, agreements, representations and warranties made by the Purchaser
herein shall survive the execution of this Agreement, the delivery to the Purchaser of the Shares being purchased and the payment therefor.

 

6. NOTICES.

 

All
notices, requests, consents and other communications hereunder shall be in writing, shall be mailed (A) if within domestic United States
by first-class registered or certified airmail, or nationally recognized overnight express courier, postage prepaid, or by facsimile,
or (B) if delivered to or from a location outside the United States, by International Federal Express (or comparable service) or facsimile
or email, and shall be deemed given (i) if delivered by first-class registered or certified mail domestic, three business days after
so mailed, (ii) if delivered by nationally recognized overnight carrier, one (1) business day after so mailed, (iii) if delivered by
International Federal Express (or comparable service), two (2) business days after so mailed, (iv) if delivered by facsimile or email,
upon electric confirmation of receipt and shall be delivered as addressed as follows:

 

(a)    if to the Company, to:

 

Professional Diversity Network, Inc.

55 E. Monroe Street, Suite 2120

Chicago, Illinois 60603

Attn: Adam He

Email: adamhe@ipdnusa.com

 

(b) if
to the Purchaser, at its address on the signature page hereto, or at such other address or addresses as may have been furnished to the
Company in writing.

 

7. CHANGES.

 

This
Agreement may not be modified or amended except pursuant to an instrument in writing signed by the Company and the Purchasers that have
executed Agreements for the purchase of a majority of the Shares sold or to be sold in the Offering.

 

8. LANGUAGE.

 

This
Agreement (including the Subscription Pages) is set forth in the English language, which shall control over any versions of this Agreement
in any other language. Either party may at its own expense prepare versions of this Agreement and the other Transaction Documents in
any other language that are deemed necessary, advisable or appropriate.

 

    	13

    	 

    

 

9. HEADINGS.

 

The
headings of the various sections of this Agreement have been inserted for convenience of reference only and shall not be deemed to be
part of this Agreement.

 

10. SEVERABILITY.

 

In
case any provision contained in this Agreement should be invalid, illegal or unenforceable in any respect, the validity, legality and
enforceability of the remaining provisions contained herein shall not in any way be affected or impaired thereby.

 

11. GOVERNING
LAW.

 

This
Agreement shall be governed by, and construed in accordance with, the internal laws of the State of Delaware, without giving effect to
the principles of conflicts of law.

 

12. FORUM
SELECTION.

 

The
Company and Purchasers agree that any dispute, controversy of claim arising out of or relating to this Agreement, or the breach, termination
or invalidity hereof shall be subject to the exclusive jurisdiction and venue of the federal and state courts located in the United States,
and the Company and the Purchasers do hereby consent to the personal and exclusive jurisdiction of these courts.

 

13. FEES
AND EXPENSES.

 

Each
party hereto shall be solely responsible for the fees and expenses incurred by such party in connection with the Offering.

 

14. COUNTERPARTS.

 

This
Agreement may be executed in two or more counterparts, each of which shall constitute an original, but all of which, when taken together,
shall constitute but one instrument, and shall become effective when one or more counterparts have been signed by each party hereto and
delivered to the other parties.

 

15. CONFIDENTIAL
DISCLOSURE AGREEMENT.

 

Notwithstanding
any provision of this Agreement to the contrary, the confidentiality provision contained on the cover page of this document shall remain
in full force and effect in accordance with its terms following the execution of this Agreement and the consummation of the transactions
contemplated hereby; provided, that the confidentiality obligations set forth in any such confidential disclosure agreement shall not
apply to any information that is part of the public knowledge or literature (other than by reason of a breach of such confidential disclosure
agreement).

 

    	14

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