NOTE 4. CAPITALIZED SOFTWARE COSTS

The Company’s capitalized software consists of internally developed software and software development costs capitalized in accordance with ASC 985-20, Costs of Software to Be Sold, Leased, or Marketed, and ASC 350-40, Internal-Use Software. The estimated useful life of the Company’s capitalized software is three (3) years, and amortization is recognized on a straight-line basis over such estimated useful life commencing when the underlying software is placed in service.

As of March 31, 2026, and December 31, 2025, the unamortized balance of capitalized software, including capitalized software of the Company’s subsidiaries, was $1,578,353 and $1,480,246, respectively. During the three months ended March 31, 2026, the Company capitalized $98,107 of software development costs. No software amortization expense was recognized during the three months ended March 31, 2026, or 2025, as the underlying software assets had not yet been placed in service.

A substantial portion of the $1,578,353 capitalized software balance as of March 31, 2026 relates to (i) software assets added in connection with, or shortly after, the acquisition of Alchemy International Ltd. (the change of control of which was approved on October 29, 2025, and which closed on November 11, 2025), and (ii) the ongoing development of the Condor Investing and Trading App. As of March 31, 2026, the related software assets had not yet been placed in service, and accordingly, the Company has not commenced amortization. Amortization will be recognized on a straight-line basis over the estimated three (3) year useful life upon the date each underlying software asset is placed in service.

The Company has estimated aggregate amortization expense for each of the succeeding fiscal years based on the estimated three (3) year useful life of the underlying software assets, commencing in the fiscal period in which such assets are placed in service.