
	Number of Options	Weighted- Average Exercise Price		Weighted-Average Remaining Contractual Life (years)
Outstanding, January 1, 2025 (1)	1,955,000	$	0.75	9.5
Granted under the 2024 Incentive Plan	1,566,000	$	0.67
Cancelled	(200,001)	$	0.75

Outstanding, June 30, 2025	3,320,999	$	0.71	9.1

Exercisable as of June 30, 2025	1,002,070	$	0.73	8.3
Vested and expected to vest as of June 30, 2025	3,320,999	$	0.71	9.1

(1) The options outstanding as of December 31, 2024 were revised by 264,000 from the amount previously reported on the Annual Report on Form 10-K for the year ended December 31, 2024. The effect on stock-based compensation was immaterial.

Options to purchase 1,566,000 shares of common stock were granted during the three and six months ended June 30, 2025 at a weighted-average fair value of $0.43 per share. No options were granted during the three and six months ended June 30, 2024.

The determination of the fair value of options granted during the three and six months ended June 30, 2025 is computed using the Black-Scholes option pricing model with the following weighted-average assumptions:

Option pricing models require the input of various subjective assumptions, including the option’s expected life and the price volatility of the underlying stock. The expected stock price volatility is based on the analysis of volatilities of the Company’s selected public peer group over a period commensurate with the expected term of the options. The expected term of employee options represents the weighted-average period the options are expected to remain outstanding and was derived using the simplified method for awards that qualify for its “plain-vanilla” options. All awards that are outstanding are qualified for “plain-vanilla” options. The risk-free interest rate is based on the U.S. Treasury interest rates whose term in consistent with the expected life of the stock options. No dividend yield is included as the Company has not issued any dividends and do not anticipate issuing any dividends in the future.

The following table shows stock-based compensation expense by functional area in the condensed consolidated statements of operations and comprehensive loss for the three and six months ended June 30, 2025 and 2024:


	Three Months Ended June 30,				Six Months Ended June 30,
	2025		2024		2025		2024
Research and development	$	11,553	$	—	$	28,296	$	13,950
Selling, general and administrative	207,657		—		291,630		25,034
	$	219,210	$	—	$	319,926	$	38,984

As of June 30, 2025, the total unrecognized compensation cost related to all nonvested stock options was $930,043 and the weighted-average period over which it is expected to be recognized is 1.61 years.