General and Administrative Expenses

We incurred $3,303,945 and $3,199,744 of general and administrative expenses for the six months ended June 30, 2026 and 2025, respectively, an increase of approximately 3.3%. The six months ended June 30, 2025 results included warrant issuance costs associated with the Series D Private Placement of approximately $700,000. For the six months ended June 30, 2026, $537,081 was incurred primarily for wages, bonuses, vacation pay, severance, taxes and insurance, versus $449,791 for the six months ended June 30, 2025. The increase resulted primarily from increased compensation for the Company’s Chairman as he became Executive Chairman during the second quarter of 2025; $299,319 was incurred for legal expenses versus $400,957 for the 2025 comparable period. The higher legal fees for 2025 are based upon the Company changing its business strategy, restructuring and financing; $1,178,823 was incurred for outside operations consulting services during the six months ended June 30, 2026, versus $504,289 for the comparable period in 2025. The higher amount for the 2026 period reflects non-cash expenses associated with warrants issued to cryptocurrency experts totaling $796,612; $18,269 was incurred for travel expenses during the six months ended June 30, 2026, versus $26,328 for the comparable period in 2025 as Company officers and directors conducted due diligence for strategic investments in 2025; $238,133 was incurred for investor relations services during the six months ended June 30, 2026, versus $204,435 for the comparable period in 2025; $138,541 was incurred for professional fees associated with auditing, financial, accounting and tax advisory services during the six months ended June 30, 2026, versus $140,711 for the comparable period in 2025; $330,902 was incurred for insurance during the six months ended June 30, 2026, versus $279,934 for the comparable period in 2025. The increase is attributable to higher premiums relating to the Company’s cryptocurrency treasury strategy; $244,552 was incurred for utilities, supplies, license fees, filing costs, rent, advertising and other during the six months ended June 30, 2026, versus $220,358 for the comparable period in 2025; and $318,325 was recorded as non-cash stock options compensation expense during the six months ended June 30, 2026, versus $972,941 for the comparable period in 2025. The decrease for the current period is attributable to granting of stock options awards during the third quarter of 2025 partially offset by the issuance of stock options awards during the current quarter.

Other Income / Expense

We recognized total other expense of $2,157,574 for the six months ended June 30, 2026 as compared to other expenses of $13,025,911 for the six months ended June 30, 2025, which consisted, for the periods 2026 and 2025, of unrealized gains on digital assets, and for both 2026 and 2025, interest income on funds deposited in interest-bearing money market accounts and investments in short-term U.S. treasury bills, and changes in fair value of warrant and derivative liabilities. The decrease in interest income and unrealized gains on treasury bills totaling $274,398 is primarily attributable to the decrease in cash balances over the period and lower interest rates. The total decrease in other expense is primarily attributable to the decrease in the fair values of warrant and derivative liabilities of approximately $12.7 million and income attributable to the Yuma partnership investments of $31,870, partially offset by the unrealized loss on digital asset investments of approximately $1.6 million and the decrease in interest income as noted above.

Net Loss

We recognized a net loss of $5,044,574 and $17,130,909 for the six months ended June 30, 2026 and 2025, respectively. The decreased losses were primarily attributable to the decrease in research and development expenses and general and administrative expenses and warrant issuance costs partially offset by the decrease in other expenses.

Financial Condition, Liquidity and Capital Resources

Cash and Working Capital

Since inception, we have incurred negative cash flows from operations. As of June 30, 2026, we had working capital of $19,585,415 as compared to working capital of $23,564,919 as of December 31, 2025. The $3,979,504 decrease in working capital was primarily attributable to operating expenses of approximately $2.9 million, decrease in digital assets of approximately $1.1 million and dividends on preferred stock of approximately $600,000, partially offset by approximately $600,000 from consultant warrant issuances and approximately $61,000 of interest income.

We expect that our current cash and cash equivalents and digital assets of approximately $18.8 million will be sufficient to support our projected operating requirements for at least the next 12 months from the date of this Quarterly Report on Form 10-Q, which may include the continuing development of Bryostatin-1, our initiation and possible development of a therapeutic for MS and other possible therapeutics.