SEDAR Interim Financial Statements

[
  {
    "companyName": "XTAO Inc.",
    "reportingPeriodEnd": "2025-12-31",
    "reportStatus": "Unaudited",
    "auditorName": null,
    "auditorKeyMatters": [],
    "balanceSheet": {
      "cashAndCashEquivalents": 3867435,
      "restrictedCash": 5,
      "deferredFinancingCosts": null,
      "prepayments": 14329,
      "totalCurrentAssets": 3881764,
      "digitalAssets": 13620614,
      "digitalAssetsHeldInEscrow": null,
      "totalNonCurrentAssets": 13620614,
      "totalAssets": 17502378,
      "accountsPayableAndAccruedLiabilities": 135070,
      "totalCurrentLiabilities": 135070,
      "totalLiabilities": 135070,
      "shareCapital": 28552,
      "contributedSurplus": 21225028,
      "subscriptionReceiptsSharesToBeIssued": null,
      "reserves": 8635765,
      "deficit": -12522037,
      "totalEquity": 17367308,
      "totalLiabilitiesAndEquity": 17502378,
      "cashPerShare": 0.1354,
      "workingCapitalPerShare": 0.1311
    },
    "incomeStatement": {
      "revenueStakingRewards": 228900,
      "totalRevenue": 228900,
      "digitalAssetStorage": -5814,
      "filingFees": -6071,
      "marketingAndInvestorCommunications": -7360,
      "officeCosts": -3930,
      "professionalFees": -139065,
      "shareBasedCompensation": -54120,
      "travel": -3968,
      "totalOperatingExpenses": -220328,
      "gainLossBeforeOtherItems": 8572,
      "otherIncome": 28314,
      "exchangeLossGain": -433,
      "revaluationLossOnDigitalAssets": -7087079,
      "listingExpenses": null,
      "netLossAndComprehensiveLossForThePeriod": -7050626,
      "lossPerCommonShareBasicAndFullyDiluted": -0.25,
      "weightedAverageNumberOfCommonSharesOutstanding": 28552195
    },
    "cashFlowStatement": {
      "netLossAndComprehensiveLossForThePeriod": -10930429,
      "listingExpenses": 757450,
      "shareBasedCompensation": 126106,
      "stakingRewards": -646236,
      "revaluationGainOnDigitalAssets": 10208804,
      "unrealizedExchangeGain": -2275,
      "deferredFinancingCosts": 11130,
      "prepayments": -14329,
      "accountsPayableAndAccruedLiabilities": -40415,
      "netCashAndCashEquivalentsUsedInOperatingActivities": -530194,
      "purchaseOfDigitalAssets": -6500000,
      "adriannaVenturesLiabilitiesAcquired": -217554,
      "adriannaVenturesCashAcquired": 104,
      "adriannaVenturesShareRedemption": -1898,
      "netCashAndCashEquivalentsUsedInInvestingActivities": -6719348,
      "proceedsFromPrivatePlacements": 11202936,
      "shareIssuanceCosts": -908829,
      "transactionCostsPreFundedWarrants": -179615,
      "releaseOfRestrictedCashUponListing": 999854,
      "netCashAndCashEquivalentsProvidedByFinancingActivities": 11114346,
      "changeForThePeriod": 3864804,
      "impactOfForeignExchange": 2631,
      "cashAndCashEquivalentsAtTheBeginningOfPeriod": null,
      "cashAndCashEquivalentsAtTheEndOfPeriod": 3867435,
      "cash": 259799,
      "cashEquivalents": 3607636
    },
    "investmentsAndOtherAssets": [
      {
        "type": "Digital Assets",
        "description": "TAO, USDC, USDT - held at fair value",
        "ownershipPercentage": null,
        "value": 13620614,
        "notes": "Level 2 fair value based on CoinGecko prices. Primarily TAO (Bittensor network token)."
      }
    ],
    "shareStructure": {
      "authorizedShares": "999,999,999,999 common shares, par value $0.001",
      "issuedShares": 28552195,
      "classesOfShares": ["Common shares"],
      "warrants": [
        {
          "number": 9479090,
          "exercisePrice": 0.77,
          "expiryDate": null
        }
      ],
      "options": [
        {
          "number": 200000,
          "exercisePrice": 1.0,
          "expiryDate": "2030-07-01"
        },
        {
          "number": 85000,
          "exercisePrice": 1.0,
          "expiryDate": "2030-07-21"
        },
        {
          "number": 1585000,
          "exercisePrice": 1.0,
          "expiryDate": "2035-07-21"
        }
      ],
      "rightsConvertibleInstruments": "Pre-funded warrants automatically convert to common shares, subject to Beneficial Ownership Limitation (9.99%)."
    },
    "managementCompensation": {
      "currency": "USD",
      "periods": {
        "threeMonthsEndedDec312025": {
          "professionalFees": 78333,
          "shareBasedCompensation": 47842,
          "transactionCostsPreFundedWarrants": 150000,
          "shareIssuanceCosts": null,
          "total": 276175
        },
        "nineMonthsEndedDec312025": {
          "professionalFees": 143333,
          "shareBasedCompensation": 85283,
          "transactionCostsPreFundedWarrants": 150000,
          "shareIssuanceCosts": 1477486,
          "total": 1856102
        }
      },
      "namedIndividuals": [],
      "otherRelatedPartyTransactions": [
        {
          "counterparty": "Key Management Personnel (Directors, CEO, CFO, consultants)",
          "description": "Accounts payable for professional fees and expense reimbursements",
          "amount": 33741,
          "period": "As at December 31, 2025"
        }
      ]
    },
    "subsequentEvents": []
  }
]