Qualigen Therapeutics, Inc.
For the period ended Sep 30, 2025. Filed Nov 14, 2025.
View on SEC.govAbout this filing
A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Sep 30, 2025 · Filed Nov 14, 2025
FFR$0.89+14.0%Stored close · as of Nov 6, 2026
What changed in Management’s Discussion and Analysis?
Read the current filingPrevious report: 10-Q
Period ended 2025-06-30; filed 2025-08-14.
0001641172-25-024213
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsCurrent report: 10-Q
Period ended 2025-09-30; filed 2025-11-14.
0001493152-25-023639
Item 2. Management’s Discussion and Analysis of Financial Condition and Results of OperationsThe baseline is this issuer’s latest earlier reporting period of the same form that was filed before the current report. A previous 10-Q is a different quarter, not a year-over-year comparison. Amendments are excluded.
Compared 127 previous paragraphs and 132 current paragraphs.
78 unchanged; 35 reworded; 19 added; 9 removed; 5 previous and 0 current paragraphs rearranged.
Tables are not compared: 5 previous and 6 current tables excluded. Dates, whitespace, punctuation and numbering changes are ignored; changes to financial figures remain significant.
A changed paragraph is not evidence that risk increased or decreased. An unchanged paragraph does not establish that risk stayed the same.
Added paragraphs (19)
Current report
Faraday Investment
Current report
In September 2025 we consummated a Subscription Agreement (the “Subscription Agreement”) with certain investors including Faraday Future Intelligent Electric Inc. (NASDAQ: FFAI)(the “Lead Investor” or “Faraday”) pursuant to which the investors purchased $41.0 million (the “Offering”) of our common stock and shares of a newly created Series B Convertible Preferred Stock, par value $0.001 per share (the “Series B Preferred Stock”). Up to $6.8 million of the net proceeds from the Offering will be used to pay existing debt and fund our existing business operations, and the balance of the cash proceeds and contributed currency will be used for the establishment of our cryptocurrency treasury operations, using AlxCrypto. AIxCrypto (AIxC) is committed to building a world-leading ecosystem that integrates Artificial Intelligence (AI) and blockchain, bridging Web2 and Web3. This ecosystem unites a decentralized protocol, distributed network, AI DePIN and EAI RWA value regeneration, and a DeAI Agent product and technology platform designed to achieve optimal trading performance. Its core products include the BesTrade DeAI Agent and the AIxC ecosystem products.
Current report
Loss on Change in Fair Value of Convertible Debt
Current report
During the three months ended September 30, 2025 we experienced $0 on voluntary conversions of convertible debt into common stock, compared to a gain of $28,000 for the three months ended September 30, 2024. No debt was converted into stock in 2025.
Current report
Gain on Settlement of Accounts Payable
Current report
There was an approximately $348,000 gain from settlements of accounts payable during the three months ended September 30, 2024, which was generated from the writing off of invoices with several vendors who had previously over billed. There was no gain from settlements of accounts payable in the three months ended September 30, 2025.
Current report
Other Income (Net)
Current report
There was approximately $7,000 in other income recorded in the three months ended September 30, 2024, as at the time bank interest was being recorded to other income. It is being recorded to interest income in the three months ended September 30, 2025.
Current report
Comparison of the Nine months ended September 30, 2025 and 2024
Current report
Interest expense decreased from $0.8 million for the nine months ended September 30, 2024 to $0.6 million for the nine months ended September 30, 2025 due to a decrease in total debt held year over year, as convertible debentures from were settled in 2024 and did not continue to accrue interest.
Current report
During the nine months ended September 30, 2025 we experienced $0 on voluntary conversions of convertible debt into common stock, compared to a gain of approximately $56,000 for the nine months ended September 30, 2024. No debt was converted into stock in 2025.
Current report
Gain on Settlement of Accounts Payable
Current report
There was an approximately $348,000 gain from settlements of accounts payable during the nine months ended September 30, 2024, which was generated from the writing off of invoices with several vendors who had previously over billed. There was no gain from settlements of accounts payable in the nine months ended September 30, 2025.
Current report
Other Income (Net)
Current report
There was approximately $9,000 in other income recorded in the nine months ended September 30, 2024, as at the time bank interest was being recorded to other income. It is being recorded to interest income in the nine months ended September 30, 2025.
Current report
From January to July 2025, we borrowed a total of $3,640,000 from nine investors as short-term borrowings, each due within six months after the date of borrowing. In July 2025, we closed a private placement transaction to raise additional funding through the sale of equity, for a net total of $4,258,000. In September 2025, we closed a subscription agreement to raise additional funding through the sale of equity for a net total of $37,700,000. While this $37.7 million of cash was received, up to $6.8 million of the net cash proceeds will be used to pay existing debt and fund our existing research and development operations, and the balance of the cash proceeds will be used for the establishment of our new cryptocurrency treasury operations, and will therefore not readily be available to fund immediate operations.
Current report
Additionally, during the nine months ended September 30, 2025, we repaid approximately $1.1 million of outstanding promissory notes.
Current report
In July 2025, we repaid three lenders $1.2 million in satisfaction of their outstanding promissory notes. The additional $0.2 million was paid as a premium to the lenders and has been recorded under interest expense.
Current report
In August 2025, we finalized the terms of the agreements with five investors for the $2.3 million in short-term promissory notes recorded in May 2025. The agreements include a due date six months from when the funding was received as well as a 30% premium due on repayment, meaning we will record an additional $690,000 in principal for the short-term promissory notes for a total due of $3.0 million. Interest expense was recorded for these premiums during the three and nine months ended September 30, 2025 in the amount of $342,231.
Removed paragraphs (9)
Previous report
During the three months ended June 30, 2025 we experienced $0.1 million of loss on issuance of convertible debt, compared to a loss of $0 for the three months ended June 30, 2024. The 2025 Convertible Note was issued in the three months ended June 30, 2025, no notes were issued in the three months ended June 30, 2024.
Previous report
During the three months ended June 30, 2025 we experienced $0 on monthly redemptions of convertible debt into common stock, compared to a loss of $62,000 for the three months ended June 30, 2024. No debt was converted into stock in 2025.
Previous report
During the three months ended June 30, 2025 we experienced $0 on voluntary conversions of convertible debt into common stock, compared to a gain of $84,000 for the three months ended June 30, 2024. No debt was converted into stock in 2025.
Previous report
Comparison of the Six Months Ended June 30, 2025 and 2024
Previous report
During the six months ended June 30, 2025 we experienced $0 on voluntary conversions of convertible debt into common stock, compared to a gain of $84,000 for the six months ended June 30, 2024. No debt was converted into stock in 2025.
Previous report
Discontinued Operations
Previous report
From January to July 2025, the Company borrowed a total of $3,640,000 from nine investors as short-term borrowings, with some due six months from the date of issuance, some due nine months from the date of borrowing, and some with an indefinite term length. Additionally, in July 2025, the Company closed a private placement transaction to raise additional funding through the sale of equity, in the total of $4,258,000. We expect these proceeds to provide liquidity for the company through calendar year end.
Previous report
The penalty would only be triggered upon nonpayment by the Company upon the Maturity Date. Therefore, we view the Penalty to be a contingent fee which would only be triggered upon the occurrence of non-payment. Under ASC 450-20, the Penalty should be viewed as a potential loss contingency which would require payment if we do not have the ability to repay the Note at the Maturity Date. Though the Company’s financial position at June 30, 2025 is insufficient to pay the principal owed, in June 2025 the Company engaged outside consultants to raise additional funding through the sale of equity, and therefore anticipates to be able to repay $0.3 million of the notes without incurring the penalty. Therefore, as of June 30, 2025, these promissory notes will be recorded in the original agreed principal amount. However, there remains a possibility due to the timing of the due date of one note, that it will not be able to be paid on time, and therefore may incur the penalty. Therefore, the penalty for this note has been accrued in the amount of $0.2 million and will be amortized over the duration of the note, with approximately $30,000 remaining to be amortized at June 30, 2025. In the three and six months ended June 30, 2025, we recorded $0.1 million and $0.2 million, respectively, in interest related to the amortization of the penalty. No interest for promissory notes was recorded in the three and six months ended June 30, 2024.
Previous report
In May 2025, we borrowed a total of $2.3 million from five investors as short term borrowings. The terms of the agreements are currently in the process of being finalized. These funds will be recorded as short term promissory notes valued at the amount of funds received.
Reworded paragraphs (35)
Previous wording
In addition, as of June 30, 2025, the Company has advanced $3,775,900 to Marizyme against which Marizyme had previously delivered its demand promissory notes to the Company of like principal amounts (the “Marizyme Note”). The Marizyme Note bears interest the rate of eighteen percent (18%) per annum. Marizyme may pre-pay all or any part of the outstanding principal or interest of the Marizyme Note at any time and from time to time, in whole or in part, without premium or penalty.
Current wording
In addition, as of September 30, 2025, we have advanced $4,066,900 to Marizyme against which Marizyme had previously delivered its demand promissory notes to us of like principal amounts (the “Marizyme Note”). The Marizyme Note bears interest the rate of eighteen percent (18%) per annum. Marizyme may pre-pay all or any part of the outstanding principal or interest of the Marizyme Note at any time and from time to time, in whole or in part, without premium or penalty.
Previous wording
As of June 30, 2025, we had advanced to Marizyme $3,775,900, against which Marizyme delivered demand promissory notes to us of like principal amounts (the “Marizyme Notes”). As of June 30, 2025, accrued interest related to the Marizyme Notes was $364,596. Interest income of $140,433 and $251,303 for the three and six months ended June 30, 2025, respectively was recognized in other income in the condensed consolidated statement of operations. As of June 30, 2024 there were no amounts due to us under the Marizyme Notes.
Current wording
As of September 30, 2025, we had advanced to Marizyme $4,066,900, against which Marizyme delivered demand promissory notes to us of like principal amounts (the “Marizyme Notes”). As of September 30, 2025, accrued interest related to the Marizyme Notes was $542,207. Interest income of $177,611 and $428,915 for the three and nine months ended September 30, 2025, respectively was recognized in other income in the condensed consolidated statement of operations.
Previous wording
Under ASC 326-20, known as the current expected credit loss (“CECL”) model, we were required to estimate credit losses expected over the life of an exposure (or pool of exposures) based on historical information, current information, and reasonable and supportable forecasts. We are unable to use our historical data to estimate losses as it has no relevant loss history to date. To determine the estimate of expected credit losses, we used a probability-weighted approach that incorporates multiple settlement scenarios, including recovery of amounts due upon an acquisition of the debtor, and recovery in different liquidation scenarios, and determines the expected recoverable amount of the loan in each scenario. This model requires management to make certain assumptions including the likelihood of each outcome, the estimated value of the debtor’s assets, and our expected claim and recovery rate on the debtor’s assets in the event of an insolvency or a liquidation proceeding. As of June 30, 2025, the estimate for expected credit losses on the Marizyme Notes is $828,000. Given the inherently uncertain nature of the debtor’s financial condition and future outcomes, actual credit losses may differ materially from this estimate. We will continue to monitor relevant events and conditions and update its assumptions and allowance as necessary.
Current wording
Under ASC 326-20, known as the current expected credit loss (“CECL”) model, we were required to estimate credit losses expected over the life of an exposure (or pool of exposures) based on historical information, current information, and reasonable and supportable forecasts. We are unable to use our historical data to estimate losses as it has no relevant loss history to date. To determine the estimate of expected credit losses, we used a probability-weighted approach that incorporates multiple settlement scenarios, including recovery of amounts due upon an acquisition of the debtor, and recovery in different liquidation scenarios, and determines the expected recoverable amount of the loan in each scenario. This model requires management to make certain assumptions including the likelihood of each outcome, the estimated value of the debtor’s assets, and our expected claim and recovery rate on the debtor’s assets in the event of an insolvency or a liquidation proceeding. As of September 30, 2025, the estimate for expected credit losses on the Marizyme Notes is $261,000. Given the inherently uncertain nature of the debtor’s financial condition and future outcomes, actual credit losses may differ materially from this estimate. We will continue to monitor relevant events and conditions and update its assumptions and allowance as necessary.
Previous wording
On June 4, 2025 we paid down $132,000 in principal at the request of Alpha. As of June 30, 2025 we reassessed the fair value of the 2025 Convertible Note at $142,069, with a gain on the change in fair value of $37,874 recorded in the three months ended June 30, 2025.
Current wording
On June 4, 2025 we paid down $132,000 in principal at the request of Alpha. As of September 30, 2025 we reassessed the fair value of the 2025 Convertible Note at $213,367, with a loss on the change in fair value of $71,298 and $33,424 recorded in the three and nine months ended September 30, 2025, respectively.
Previous wording
General and administrative expenses increased from $1.0 million for the three months ended June 30, 2024, to $1.4 million for the three months ended June 30, 2025, an increase of $0.4 million or 38%. This is primarily due to an increase in professional fees and license fees of $0.7 million as we needed more legal and accounting consultants to assist with our audit, offset by a decrease in payroll expenses of $0.3 million.
Current wording
General and administrative expenses increased from $1.1 million for the three months ended September 30, 2024, to $1.9 million for the three months ended September 30, 2025, an increase of $0.8 million or 72%. This is primarily due to an increase in professional fees of $1.3 million as we needed more legal and accounting consultants to assist with our audit, offset by a decrease in payroll expenses of $0.3 million resulting from a downsizing of our workforce and a decrease in investor relations expense of $0.2 million resulting from our no longer needing to seek additional investors in the current quarter.
Previous wording
Research and development expenses decreased from $1.1 million for the six months ended June 30, 2024, to $51,000 for the six months ended June 30, 2025, a decrease of $1.1 million or 95%. This was primarily due all research and development being slowed down in 2025, resulting in decreases in QN-302 program expenses of $275,000, a decrease in RAS program expenses of $58,000, a decrease in payroll of $26,000 and a decrease in Marizyme research expense of $700,000.
Current wording
Research and development expenses decreased from approximately $123,000 for the three months ended September 30, 2024, to approximately $105,000 for the three months ended September 30, 2025, a decrease of $18,000 million or 15%. This was primarily due to all research and development being slowed down in 2025, resulting in decreases in QN-302 clinical trail expenses of approximately $97,000 and License Fees of approximately $22,000, offset by increased billing for lab services of approximately $104,000.
Previous wording
Credit loss expense – short-term note receivable increased from $0 for the three months ended June 30, 2024, to $0.3 million for the three months ended June 30, 2025, an increase of $0.3 million or 100%. This is due to Marizyme notes first being recorded in July 2024, therefore no reserve was required for the three months ended June 30, 2024.
Current wording
Credit loss expense – short-term note receivable increased from $0 for the three months ended September 30, 2024, to $0.6 million for the three months ended September 30, 2025, an increase of $0.6 million or 100%. This is due to Marizyme notes first being recorded in July 2024, and no assessment being performed until December 31, 2024, therefore no reserve was recorded for the three months ended September 30, 2024.
Previous wording
During the three months ended June 30, 2025 and 2024, we experienced a gain of approximately $16,000 and a gain of approximately $0.5 million, respectively, on change in fair value of warrant liabilities, primarily due to changes in our stock price and expiration of warrants during the prior period, and changes in our stock price in the prior period. Typically, a decline in our stock price would result in a decline in the fair value of our warrant liabilities, generating a gain, while an increase in our stock price would result in an increase in the fair value of our warrant liabilities, generating a loss.
Current wording
During the three months ended September 30, 2025 and 2024, we experienced a loss of approximately $148,000 and a gain of approximately $1,000, respectively, on change in fair value of warrant liabilities, primarily due to changes in our stock price and expiration of warrants during the prior period, and changes in our stock price in the prior period. Typically, a decline in our stock price would result in a decline in the fair value of our warrant liabilities, generating a gain, while an increase in our stock price would result in an increase in the fair value of our warrant liabilities, generating a loss.
Previous wording
During the three months ended June 31, 2025 we experienced no change in fair value of derivative liabilities, compared to a gain of $10,000 for the three months ended June 30, 2024. We did not hold any derivative liabilities in 2025.
Current wording
During the three months ended September, 2025 we experienced no change in fair value of derivative liabilities, compared to a loss of approximately $496,000 for the three months ended September 30, 2024. We did not hold any derivative liabilities in 2025.
Previous wording
During the three months ended June 31, 2025 we experienced a $38,000 gain on change in fair value of convertible debt, compared to no change for the three months ended June 30, 2024. We did not hold any convertible debt in 2024.
Current wording
During the three months ended September 30, 2025 we experienced an approximately $198,000 loss on change in fair value of convertible debt, compared to no change for the three months ended September 30, 2024. We did not hold any convertible debt in 2024.
Previous wording
Interest expense decreased from $0.3 million for the three months ended June 30, 2024 to $0.1 million for the three months ended June 30, 2025 due to a $0.3 million decrease for to the settlement of convertible debt in 2024, offset by interest on the amortized penalty on the 2025 Convertible Note 2025 for $106,000.
Current wording
Interest expense increased from $0.4 million for the three months ended September 30, 2024 to $0.5 million for the three months ended September 30, 2025 due to a $0.4 million decrease for the settlement of convertible debentures in 2024, offset by interest on the amortized penalty on the 2025 Convertible Note and 2025 promissory notes for $0.5 million.
Previous wording
Interest income increased from $1,000 for the three months ended June 30, 2024 to $0.1 million for the three months ended June 30, 2025 due to a $0.1 million increase from the recording of interest on Marizyme notes receivable issued in 2024 and 2025.
Current wording
Interest income increased from approximately $48,000 for the three months ended September 30, 2024 to $0.2 million for the three months ended September 30, 2025 due to a $0.1 million increase from the recording of interest on Marizyme notes receivable issued in 2024 and 2025.
Previous wording
The following table summarizes our results of operations for the six months ended June 30, 2025 and 2024:
Current wording
The following table summarizes our results of operations for the nine months ended September 30, 2025 and 2024:
Previous wording
General and administrative expenses increased from $2.0 million for the six months ended June 30, 2024, to $3.9 million for the six months ended June 30, 2025, an increase of $1.8 million or 88%. This is primarily due to an increase in investor relation fees of $1.5 million as we paid consultants to help raise capital, plus $0.8 million increase in consultant fees offset by a decrease in payroll expenses of $0.7 million.
Current wording
General and administrative expenses increased from $3.2 million for the nine months ended September 30, 2024, to $5.7 million for the nine months ended September 30, 2025, an increase of $2.5 million or 78%. This is primarily due to an increase in investor relation fees of $1.2 million as we paid consultants to help raise capital, plus $2.4 million increase in consultant fees offset by a decrease in payroll expenses of $1.0 million and decrease in insurance expense of $0.2 million.
Previous wording
Research and development expenses decreased from $0.8 million for the three months ended June 30, 2024, to $18,000 for the three months ended June 30, 2025, a decrease of $0.7 million or 98%. This was primarily due to all research and development being slowed down in 2025, resulting in decreases in QN-302 program expenses of $40,000, a decrease in RAS program expenses of $30,000, a decrease in payroll of $36,000 and a decrease in Marizyme research expense of $700,000.
Current wording
Research and development expenses decreased from $1.2 million for the nine months ended September 30, 2024, to $0.2 million for the nine months ended September 30, 2025, a decrease of $0.9 million or 81%. This was primarily due to all research and development being slowed down in 2025, resulting in decreases in QN-302 program expenses of approximately $200,000 and a decrease in Marizyme research expense of $700,000.
Previous wording
Credit loss expense – short-term note receivable increased from $0 for the six months ended June 30, 2024, to $0.5 million for the six months ended June 30, 2025, an increase of $0.5 million or 100%. This is due to Marizyme notes first being recorded in July 2024, therefore no reserve was required for the six months ended June 30, 2024.
Current wording
Credit loss expense – short-term note receivable increased from $0 for the nine months ended September 30, 2024, to $0.1 million for the nine months ended September 30, 2025, an increase of $0.1 million or 100%. This is due to Marizyme notes first being recorded in July 2024, and no assessment being performed until December 31, 2024, therefore no reserve was required for the nine months ended September 30, 2024.
Previous wording
During the six months ended June 30, 2025 and 2024, we experienced a gain of approximately $55,000 and a gain of approximately $0.4 million, respectively, on change in fair value of warrant liabilities, primarily due to changes in our stock price and expiration of warrants during the prior period, and changes in our stock price in the prior period. Typically, a decline in our stock price would result in a decline in the fair value of our warrant liabilities, generating a gain, while an increase in our stock price would result in an increase in the fair value of our warrant liabilities, generating a loss.
Current wording
During the nine months ended September 30, 2025 and 2024, we experienced a loss of approximately $0.1 million and a gain of approximately $0.4 million, respectively, on change in fair value of warrant liabilities, primarily due to changes in our stock price and expiration of warrants during the prior period, and changes in our stock price in the prior period. Typically, a decline in our stock price would result in a decline in the fair value of our warrant liabilities, generating a gain, while an increase in our stock price would result in an increase in the fair value of our warrant liabilities, generating a loss.
Previous wording
During the six months ended June 31, 2025 we experienced no change in fair value of derivative liabilities, compared to a gain of $175,000 for the six months ended June 30, 2024. We did not hold any derivative liabilities in 2025.
Current wording
During the nine months ended September 30, 2025 we experienced no change in fair value of derivative liabilities, compared to a loss of approximately $321,000 for the nine months ended September 30, 2024. We did not hold any derivative liabilities in 2025.
Previous wording
During the six months ended June 31, 2025 we experienced a $38,000 gain on change in fair value of convertible debt, compared to no change for the six months ended June 30, 2024. We did not hold any convertible debt in 2024.
Current wording
During the nine months ended September 30 2025 we experienced an approximately $160,000 loss on change in fair value of convertible debt, compared to no change for the nine months ended September 30, 2024. We did not hold any convertible debt in 2024.
Previous wording
Interest income increased from $3,000 for the six months ended June 30, 2024 to $0.3 million for the six months ended June 30, 2025 due to a $0.3 million increase from the recording of interest on Marizyme notes receivable issued in 2024 and 2025.
Current wording
Interest income increased from $48,000 for the nine months ended September 30, 2024 to $0.4 million for the nine months ended September 30, 2025 due to a $0.3 million increase from the recording of interest on Marizyme notes receivable issued in 2024 and 2025.
Previous wording
During the six months ended June 30, 2024 we incurred a loss on issuance of convertible debt of approximately $358,000 due to the fair value of the 2024 Alpha Debenture and derivative liabilities exceeding the cash proceeds. During the six months ended June 30, 2025 we incurred a loss on issuance of convertible debt of approximately $92,000 due to the fair value of the 2025 Convertible Note and derivative liabilities exceeding the cash proceeds.
Current wording
During the nine months ended September 30, 2024 we incurred a loss on issuance of convertible debt of approximately $358,000 due to the fair value of the 2024 Alpha Debenture and derivative liabilities exceeding the cash proceeds. During the nine months ended September 30, 2025 we incurred a loss on issuance of convertible debt of approximately $92,000 due to the fair value of the 2025 Convertible Note and derivative liabilities exceeding the cash proceeds.
Previous wording
During the six months ended June 30, 2025 we experienced $0 on monthly redemptions of convertible debt into common stock, compared to a loss of $209,000 for the six months ended June 30, 2024. No debt was converted into stock in 2025.
Current wording
During the nine months ended September 30, 2025 we experienced $0 on monthly redemptions of convertible debt into common stock, compared to a loss of approximately $209,000 for the nine months ended September 30, 2024. No debt was converted into stock in 2025.
Previous wording
There was a $100,000 loss from discontinued operations during the three months ended June 30, 2024, which was generated from the early settlement of an escrow account from the sale of Qualigen, Inc. There was no loss from discontinued operations in the three months ended June 30, 2025 (See Note 5 - Discontinued Operations).
Current wording
There was a $100,000 loss from discontinued operations during the nine months ended September 30, 2024, which was generated from the early settlement of an escrow account from the sale of Qualigen, Inc. There was no loss from discontinued operations in the nine months ended September 30, 2025 (See Note 5 - Discontinued Operations).
Previous wording
Our financial position is weak. As of June 30, 2025 we had approximately $332,000 in cash and net accounts payable of approximately $1.4 million. We are in arrears on accounts payable to important partners. We have incurred recurring losses from operations, and have an accumulated deficit of $127.2 million at June 30, 2025. We expect to continue to incur losses subsequent to the balance sheet date of June 30, 2025. For the six months ended June 30, 2025 and year ended December 31, 2024, we used cash of $2.7 million and $6.4 million, respectively, in operations.
Current wording
Our financial position is weak. As of September 30, 2025 we had approximately $38.8 million in cash and net accounts payable of approximately $1.3 million. We are in arrears on accounts payable to important partners. We have incurred recurring losses from operations, and have an accumulated deficit of $129.6 million at September 30, 2025. We expect to continue to incur losses subsequent to the balance sheet date of September 30, 2025. For the nine months ended September 30, 2025 and year ended December 31, 2024, we used cash of $4.8 million and $6.4 million, respectively, in operations.
Previous wording
Our current liabilities at June 30, 2025 include approximately $1.4 million of accounts payable, $3.4 million of short-term debt, $0.4 million of accrued expenses and other current liabilities, and $0.2 million of warrant liabilities.
Current wording
Our current liabilities at September 30, 2025 include approximately $1.3 million of accounts payable, $3.3 million of short-term debt, and $0.4 million of warrant liabilities.
Previous wording
We expect to continue to have net losses and negative cash flow from operations, which will challenge our liquidity. These factors raise substantial doubt regarding our ability to continue as a going concern for the one-year period following the date that the financial statements in this Quarterly Report were issued.
Current wording
We expect to continue to have net losses and negative cash flow from operations, which will challenge our liquidity. While we are establishing cryptocurrency treasury operations, it is newly established and there are no guarantees it will generate revenue. These factors raise substantial doubt regarding our ability to continue as a going concern for the one-year period following the date that the financial statements in this Quarterly Report were issued.
Previous wording
On June 4, 2025 we paid down $132,000 in principal at the request of Alpha. As of June 30, 2025 we reassessed the fair value of the 2025 Convertible Note at $142,069, with a gain on the change in fair value of $37,874 recorded in the three months ended June 30, 2025.
Current wording
On June 4, 2025 the Company paid down $132,000 in principal at the request of Alpha. As of September 30, 2025 the Company reassessed the fair value of the 2025 Convertible Note at $339,736, with a loss on the change in fair value of $197,667 and $159,793 recorded in the three and nine months ended September 30, 2025, respectively.
Previous wording
During the six months ended June 30, 2025 we issued short term notes payable totaling $1.0 million for total net proceeds of $1.0 million. The notes are unsecured with a maturity date six months from the original issuance, and include a provision for a penalty in case of default totaling $1.1 million.
Current wording
During the nine months ended September 30, 2025 we issued short term notes payable totaling $1.0 million for total net proceeds of $1.0 million. The notes are unsecured with a maturity date six months from the original issuance, and include a provision for a penalty in case of default totaling $1.1 million.
Previous wording
On July 15, 2024, the Company advanced to Marizyme $1,250,000 against which Marizyme had previously delivered its demand promissory note to the Company of like principal amount dated July 12, 2024 (the “Marizyme Note”). During the six month periods ending June 30, 2025 and the year ended December 31, 2024, the Company advanced additional funds of $1.5 million and $2.3 million, respectively. The Marizyme Note bears interest the rate of eighteen percent (18%) per annum. Marizyme may pre-pay all or any part of the outstanding principal or interest of the Marizyme Note at any time and from time to time, in whole or in part, without premium or penalty.
Current wording
On July 15, 2024, the Company advanced to Marizyme $1,250,000 against which Marizyme had previously delivered its demand promissory note to the Company of like principal amount dated July 12, 2024 (the “Marizyme Note”). During the nine month periods ending September 30, 2025 and the year ended December 31, 2024, the Company advanced additional funds of $1.8 million and $2.3 million, respectively. The Marizyme Note bears interest the rate of eighteen percent (18%) per annum. Marizyme may pre-pay all or any part of the outstanding principal or interest of the Marizyme Note at any time and from time to time, in whole or in part, without premium or penalty.
Previous wording
During the six months ended June 30, 2025, operating activities used $2.7 million of cash, primarily resulting from a loss from continuing operations of $4.2 million. Cash flows from operating activities for the six months ended June 30, 2025 were positively impacted by adjustments for $0.5 million change in provision for credit losses of short-term notes receivable, $0.1 million in loss on issuance of convertible debt, a decrease in prepaid expenses of $1.2 million, and an increase in accrued expenses of $0.2 million. Cash flows from operating activities for the six months ended June 30, 2025 were negatively impacted by adjustments for a $55,000 gain on change in fair value of warrant liabilities, a $0.3 million increase in accrued interest on short-term notes receivable, a $38,000 gain on change in fair value of derivative liabilities, and a $0.2 million decrease in accounts payable.
Current wording
During the nine months ended September 30, 2025, operating activities used $4.8 million of cash, primarily resulting from a loss from continuing operations of $6.5 million. Cash flows from operating activities for the nine months ended September 30, 2025 were positively impacted by adjustments for $0.6 million in amortization of premium on promissory notes, $0.3 million of issuance of common stock to consultants, a $0.4 million loss on change in fair value of warrant liabilities, a $0.2 million loss on change in fair value of convertible debt, a $0.1 million in loss on issuance of convertible debt, and a decrease in prepaid expenses of $1.2 million. Cash flows from operating activities for the nine months ended September 30, 2025 were negatively impacted by adjustments for $99,000 change in provision for credit losses of short-term notes receivable, a $0.4 million increase in accrued interest on short-term notes receivable, a decrease in accrued expenses of $0.1 million and a $0.3 million decrease in accounts payable.
Previous wording
During the six months ended June 30, 2024, operating activities used $2.3 million of cash, primarily resulting from a loss from continuing operations of $3.5 million. Cash flows from operating activities for the six months ended June 30, 2024 were positively impacted by adjustments for $0.1 million in stock based compensation, a $0.2 loss on monthly redemptions of convertible debt into common stock, accretion of discount of $0.3 million on convertible debt, a loss on issuance of convertible debt of $0.4 million, a $0.8 million decrease in prepaid expenses, and a $0.5 million increase in accrued expenses and other current liabilities. Cash flows from operating activities for the six months ended June 30, 2024 were negatively impacted by adjustments for a $0.4 million decrease in fair value of warrant liabilities, a $0.1 million gain on voluntary conversion of convertible debt, a $0.2 million gain on change in fair value of derivative liabilities, and a $0.4 million decrease in accounts payable.
Current wording
During the nine months ended September 30, 2024, operating activities used $4.1 million of cash, primarily resulting from a loss from continuing operations of $5.3 million. Cash flows from operating activities for the nine months ended September 30, 2024 were positively impacted by adjustments for $0.1 million in stock based compensation, a $0.2 loss on monthly redemptions of convertible debt into common stock, accretion of discount of $0.5 million on convertible debt, a loss on issuance of convertible debt of $0.4 million, a $0.3 million loss on change in fair value of derivative liabilities, a $0.5 million decrease in prepaid expenses, and a $0.2 million increase in accrued expenses and other current liabilities. Cash flows from operating activities for the nine months ended September 30, 2024 were negatively impacted by adjustments for a $0.4 million decrease in fair value of warrant liabilities, a $0.1 million gain on voluntary conversion of convertible debt, a $48,000 increase in accrued interest on short-term notes receivable and a $0.6 million decrease in accounts payable.
Previous wording
During the six months ended June 30, 2025, net cash used in investing activities resulted from advances to Marizyme of $1.5 million.
Current wording
During the nine months ended September 30, 2025, net cash used in investing activities resulted from advances to Marizyme of $1.8 million.
Previous wording
During the six months ended June 30, 2024, net cash provided from investing activities resulted from $0.4 million received from settlement of an escrow account for discontinued operations.
Current wording
During the nine months ended September 30, 2024, net cash provided from investing activities totaled $900,000 resulting from $0.4 million received from settlement of an escrow account for discontinued operations netted against advances to Marizyme of $1.3 million.
Previous wording
Net cash provided by financing activities for the six months ended June 30, 2025 was $3.4 million, which resulted from the issuance of short-term debt in the amount of $3.3 million and the issuance of convertible debt in the amount of $0.2 million, offset by repayment of convertible debt of $0.1 million.
Current wording
Net cash provided by financing activities for the nine months ended September 30, 2025 was $44.2 million, which resulted from the issuance of short-term debt in the amount of $3.3 million, the issuance of convertible debt in the amount of $0.2 million, the issuance of preferred shares in the amount of $38.8 million, the issuance of common stock and warrants in the amount of $3.1 million, offset by repayment of convertible debt of $0.1 million and the repayment of promissory notes of $1 million.
Previous wording
Net cash provided by financing activities for the six months ended June 30, 2024 was approximately $1.6 million, resulting from the issuance of convertible debt in the amount of $1.5 million and proceeds from warrant exercises of $0.2 million.
Current wording
Net cash provided by financing activities for the nine months ended September 30, 2024 was approximately $4.9 million, resulting from the issuance of convertible debt in the amount of $1.5 million, the issuance of common stock and warrants in the amount of $3.1 million, proceeds from warrant exercises of $0.4 million, .
Rearranged previous paragraphs (5)
Previous report — wording carried elsewhere
Gain on Change in Fair Value of Convertible Debt
Previous report — wording carried elsewhere
Interest expense decreased from $0.4 million for the six months ended June 30, 2024 to $0.2 million for the six months ended June 30, 2025 due to a $0.4 million decrease for to the settlement of convertible debt in 2024, offset by interest on the amortized penalty on the 2025 Convertible Note 2025 for $106,000.
Previous report — wording carried elsewhere
Loss on Issuance of Convertible Debt
Previous report — wording carried elsewhere
Loss on Monthly Redemptions of Convertible Debt into Common Stock
Previous report — wording carried elsewhere
There was a $100,000 loss from discontinued operations during the six months ended June 30, 2024, which was generated from the early settlement of an escrow account from the sale of Qualigen, Inc. There was no loss from discontinued operations in the six months ended June 30, 2025 (See Note 5 - Discontinued Operations).