9. STOCK OPTIONS AND WARRANTS

STOCK OPTIONS

During the nine months ended June 30, 2026 and 2025, the Company granted no new stock options.

During the same period, 1,022 stock options were forfeited or expired as a result of employee terminations, expiration of option terms, or performance conditions not being met.

WARRANTS

The Company has issued warrants to purchase shares of Common Stock in connection with equity financings and convertible note transactions. The following disclosures summarize warrant issuances, exercises, and outstanding balances for the periods presented.

All share and per-share amounts, including exercise prices and number of warrants, have been retroactively adjusted to reflect the Reverse Stock Split on December 5, 2025.

Significant warrant transactions

On April 27, 2024, the Company entered into a convertible note and warrant purchase agreement with certain investors, pursuant to which the Company issued warrants to purchase shares of Common Stock. On October 18, 2024, holders of such warrants exercised a portion of the warrants on a cashless basis, resulting in the issuance of 55,973 shares of Common Stock. No cash proceeds were received in connection with the cashless exercise.

On January 16, 2025 and January 17, 2025, the Company issued an aggregate of 1,282,051 warrants to purchase Common Stock at an exercise price of $7.80 per share. These warrants had a contractual term of two years and were fully exercised on October 29, 2025.

On February 11, 2026, the Company entered into a convertible note and warrant purchase agreement (the “February Purchase Agreement”) with certain investors (the “February Investors”). On February 13, 2026, the Company completed the initial closing under the February Purchase Agreement (the “February Initial Closing”) and issued convertible promissory notes in the aggregate principal amount of $1,600,000 (the “February Notes”) and related warrants to purchase shares of Common Stock (the “February Warrants”) to the February Investors. On March 21, 2026, the Company entered into an Amended and Restated Convertible Note and Warrant Purchase Agreement (the “February A&R Purchase Agreement”) with the February Investors, which amended and restated the February Purchase Agreement. The amended and restated February Warrants (the “February A&R Warrants”) became exercisable only upon stockholder approval and could be exercised for cash only at an exercise price of $0.015 per share. On May 30, 2026, the February A&R Warrants were exercised in full, and the Company issued 16,000,000 shares of Common Stock upon such exercise.

On June 17, 2026, the Company entered into securities purchase agreements (collectively, the “June Purchase Agreements”) with certain non-U.S. investors (collectively, the “June Investors”), pursuant to which the Company agreed to issue and sell, in one or more closings, units of the Company’s securities (the “June Units”). Each June Unit consisted of one share of the Common Stock and one warrant to purchase one share of Common Stock (a “June Warrant” and, collectively, the “June Warrants”), at a purchase price of $0.015 per June Unit.

On June 23, 2026, the Company issued and sold an aggregate of 900,000,000 June Units to the June Investors for aggregate consideration of approximately $13.5 million, payable in Bitcoin (the “June Initial Closing”). Accordingly, at the June Initial Closing, the Company issued an aggregate of 900,000,000 shares of Common Stock and June Warrants to purchase an aggregate of 900,000,000 shares of Common Stock. The June Warrants issued at the June Initial Closing were subsequently exercised in full, and the Company issued an additional 900,000,000 shares of Common Stock upon such exercise. As a result of the June Initial Closing and the exercise of the June Warrants issued in connection therewith, the Company issued an aggregate of 1,800,000,000 shares of Common Stock.

The following table summarizes warrant activity for the nine months ended June 30, 2026:

(Retroactively adjusted for Reverse Stock Split)

 SCHEDULE OF WARRANT ACTIVITY

Reverse Stock Split

On December 2, 2025, the Company filed a Certificate of Change to its Articles of Incorporation with the Secretary of State of the State of Nevada to effect a 1-for-20 Reverse Stock Split of its issued and outstanding Common Stock, which became effective on December 5, 2025. All share and per-share data included in these financial statements have been retroactively adjusted to reflect the Reverse Stock Split.