v3.26.3
DERIVATIVE LIABILITY (Tables)
 6 Months Ended
Aug. 31, 2026
Derivative Liability  
SCHEDULE OF ESTIMATED FAIR VALUE OF DERIVATIVE LIABILITIES

 

Strike price  $0.004 - $0.036 
Fair value of Company common stock   $0.004 - $0.117 
Dividend yield   0.00%
Expected volatility   117.88% - 139.11% 
Risk free interest rate   3.69% - 4.15% 
Expected term (years)   0.31 -1.0 

 

The Company estimated the initial fair value of the derivative liabilities on the Series F warrants having a value of $1,459,056 using the Monte-Carlo simulation model using the following key assumptions during the six months ended August 31, 2026:

 

Strike price   $0.0004 - $0.036 
Fair value of Company common stock   $0.004 - $0.0078 
Dividend yield   0.00%
Expected volatility   167.99% - 168.1% 
Risk free interest rate   4.69% -4.77% 
Expected term (years)   10.34 - 10.42 
SCHEDULE OF CHANGES IN DERIVATIVE LIABILITIES

The changes in the derivative liabilities (Level 3 financial instruments) measured at fair value on a recurring basis for the six months ended August 31, 2026 were as follows:

 

Balance as of March 1, 2026  $- 
      
Derivative discount on convertible notes including $11,742 warrant liability   1,745,452 
Derivative discount on Preferred Series F warrants included with debt   650,000 
Derivative liability loss   1,495,130 
Balance as of August 31, 2026  $3,890,582 
SCHEDULE OF DERIVATIVE LIABILITY LOSS

For the six months ended August 31, 2026 the Company included a derivative liability loss of $1,495,130 which was comprised of the following:

 

 SCHEDULE OF DERIVATIVE LIABILITY LOSS

      
Day-one derivative liability loss   1,270,038 
Change in fair value of derivative liabilities   225,092 
Total derivative liability loss at August 31, 2026  $1,495,130