[Cautionary Note Regarding Forward-Looking Statements](index=4&type=section&id=CAUTIONARY%20NOTE%20REGARDING%20FORWARD-LOOKING%20STATEMENTS) This section clarifies that the report contains forward-looking statements based on current expectations, subject to risks and uncertainties that could cause actual results to differ materially [Overview of Forward-Looking Statements](index=4&type=section&id=Overview%20of%20Forward-Looking%20Statements) This section clarifies that the report contains forward-looking statements based on current expectations, subject to risks and uncertainties that could cause actual results to differ materially - The report contains **forward-looking statements**, which are predictions based on current expectations and projections about future events and financial trends[8](index=8&type=chunk) - Forward-looking statements are identifiable by terms such as '**anticipate**,' '**believe**,' '**continue**,' '**could**,' '**depends**,' '**estimate**,' '**expects**,' '**intend**,' '**may**,' '**ongoing**,' '**plan**,' '**potential**,' '**predict**,' '**project**,' '**should**,' '**will**,' '**would**' or their negatives[8](index=8&type=chunk) [Risks and Uncertainties](index=4&type=section&id=Risks%20and%20Uncertainties) The Company's operations involve numerous risks and uncertainties, many outside its control, which could materially affect its financial results and future prospects - Operations involve **risks and uncertainties**, many outside control, that could materially affect results[9](index=9&type=chunk) - **Key risks** include projected financial position, cash burn rate, ability to continue as a **going concern**, ability to raise additional capital, ability to reverse revenue decline, intellectual property protection, reliance on third-party suppliers, competition, personnel retention, potential lawsuits, and changes in demand due to geopolitical/macroeconomic conditions[10](index=10&type=chunk)[14](index=14&type=chunk) [Part I. Financial Information](index=6&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) This section presents the Company's unaudited condensed consolidated financial statements and management's discussion and analysis [Item 1. Condensed Consolidated Financial Statements](index=6&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements) This section presents OneMedNet Corporation's unaudited condensed consolidated financial statements, including balance sheets, statements of operations, cash flows, and comprehensive explanatory notes [Unaudited Condensed Consolidated Balance Sheets](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) This table provides a snapshot of the Company's financial position at specific points in time, detailing assets, liabilities, and equity Condensed Consolidated Balance Sheets (in thousands) | Item | March 31, 2025 (in thousands) | December 31, 2024 (in thousands) | | :-------------------------------- | :------------- | :---------------- | | Cash and cash equivalents | $144 | $172 | | Investment in crypto assets – Bitcoin | $793 | $2,849 | | Total current assets | $1,631 | $3,619 | | Total assets | $1,732 | $3,727 | | Total current liabilities | $18,154 | $19,228 | | Total liabilities | $18,282 | $19,677 | | Total stockholders' deficit | $(16,550) | $(15,950) | [Unaudited Condensed Consolidated Statements of Operations](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations) This table details the Company's revenues, expenses, and net loss over specific periods, reflecting operational performance Condensed Consolidated Statements of Operations (in thousands) | Item | Three Months Ended March 31, 2025 (in thousands) | Three Months Ended March 31, 2024 (in thousands) | | :------------------------------------ | :-------------------------------- | :-------------------------------- | | Subscription revenue | $58 | $201 | | Web imaging revenue | $79 | $47 | | Total revenue | $137 | $248 | | Cost of revenue | $361 | $317 | | Gross margin | $(224) | $(69) | | Total operating expenses | $2,000 | $2,032 | | Loss from operations | $(2,224) | $(2,101) | | Total other (income) expense, net | $(322) | $8 | | Net loss | $(1,902) | $(2,109) | | Basic and diluted net loss per common share outstanding | $(0.06) | $(0.08) | [Unaudited Condensed Consolidated Statements of Changes in Stockholders' Deficit](index=8&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Changes%20in%20Stockholders'%20Deficit) This table outlines changes in the Company's equity components, including common stock, additional paid-in capital, and accumulated deficit Changes in Stockholders' Deficit (in thousands, except share data) | Item | Balance as of Dec 31, 2024 (in thousands) | Issuance of common stock (private placement) (in thousands) | Partial conversion of Yorkville Note (in thousands) | Stock-based compensation expense (in thousands) | Net loss (in thousands) | Balance as of Mar 31, 2025 (in thousands) | | :-------------------------------- | :------------------------- | :----------------------------------- | :--------------------------------- | :------------------------------- | :--------- | :------------------------- | | Common Stock Shares | 28,175,172 | 1,473,696 | 1,111,708 | - | - | 30,760,576 | | Common Stock Amount | $2 | $- | $- | $- | $- | $2 | | Additional Paid-in Capital | $86,146 | $- | $1,094 | $208 | $- | $87,448 | | Accumulated Deficit | $(101,569) | $- | $- | $- | $(1,902) | $(103,471) | | Total Stockholders' Deficit | $(15,950) | $- | $1,094 | $208 | $(1,902) | $(16,550) | Changes in Stockholders' Deficit (in thousands, except share data) | Item | Balance as of Dec 31, 2023 (in thousands) | Issuance of common stock (underwriter fee) (in thousands) | Stock-based compensation expense (in thousands) | Repurchase of common stock (in thousands) | Net loss (in thousands) | Balance as of Mar 31, 2024 (in thousands) | | :-------------------------------- | :------------------------- | :----------------------------------------- | :------------------------------- | :------------------------- | :--------- | :------------------------- | | Common Stock Shares | 23,572,232 | 277,778 | - | - | - | 23,850,010 | | Common Stock Amount | $2 | $- | $- | $- | $- | $2 | | Additional Paid-in Capital | $77,996 | $242 | $137 | $- | $- | $78,375 | | Accumulated Deficit | $(91,440) | $- | $- | $- | $(2,109) | $(93,549) | | Total Stockholders' Deficit | $(13,442) | $242 | $137 | $(529) | $(2,109) | $(15,701) | [Unaudited Condensed Consolidated Statements of Cash Flows](index=9&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This table summarizes the Company's cash inflows and outflows from operating, investing, and financing activities over specific periods Condensed Consolidated Statements of Cash Flows (in thousands) | Cash Flow Activity | Three Months Ended March 31, 2025 (in thousands) | Three Months Ended March 31, 2024 (in thousands) | | :------------------------------------ | :-------------------------------- | :-------------------------------- | | Net cash used in operating activities | $(1,948) | $(1,547) | | Net cash provided by (used in) investing activities | $1,920 | $(6) | | Net cash provided by financing activities | $- | $1,680 | | Net (decrease) increase in cash and cash equivalents | $(28) | $127 | | Cash and cash equivalents at end of period | $144 | $174 | [Notes to Unaudited Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides detailed explanations and additional information supporting the condensed consolidated financial statements [1. Description of Business](index=10&type=section&id=1.%20Description%20of%20Business) This note describes OneMedNet Corporation's core business, financial performance, going concern status, and investment in crypto assets - OneMedNet Corporation is a **healthcare software company** focused on digital medical image management, exchange, and sharing, founded in Delaware on November 20, 2015[30](index=30&type=chunk) - The Company incurred a net loss of **$1.9 million** for the three months ended March 31, 2025, and had an accumulated deficit of **$103.5 million**, raising substantial doubt about its ability to continue as a **going concern**[35](index=35&type=chunk) - Management plans to raise additional working capital through equity or debt offerings to fund operations for at least **12 months**[36](index=36&type=chunk) - The Company has invested in **Bitcoin**, a crypto asset, which is subject to high price volatility, regulatory risks, and is not insured by FDIC or SIPC[38](index=38&type=chunk)[39](index=39&type=chunk)[41](index=41&type=chunk) [2. Summary of Significant Accounting Policies](index=11&type=section&id=2.%20Summary%20of%20Significant%20Accounting%20Policies) This note outlines the significant accounting policies and recent accounting pronouncements relevant to the Company's financial reporting - The Company is an '**emerging growth company**' and has elected to use the extended transition period for complying with new or revised accounting standards[43](index=43&type=chunk) - Effective January 1, 2025, the Company retrospectively adopted **ASU 2023-07, Segment Reporting**, requiring disclosures about reportable segments' significant expenses[44](index=44&type=chunk) - The Company is evaluating the impact of **ASU 2023-09** (Improvements to Income Tax Disclosures, effective after Dec 15, 2024) and **ASU 2024-03** (Disaggregation of Income Statement Expenses, effective after Dec 15, 2026)[45](index=45&type=chunk)[46](index=46&type=chunk) [3. Segment Information](index=12&type=section&id=3.%20Segment%20Information) This note details the Company's operating segments and revenue distribution across different geographic regions - The Company operates and reports as a **single reportable segment** focused on digital medical image management, exchange, and sharing[47](index=47&type=chunk) Total Revenue by Geographic Region (in thousands) | Region | Three Months Ended March 31, 2025 (in thousands) | Three Months Ended March 31, 2024 (in thousands) | | :------------------ | :-------------------------------- | :-------------------------------- | | Americas | $119 | $177 | | Europe and Middle East | $4 | $71 | | Asia Pacific | $14 | $- | | Total | $137 | $248 | [4. Crypto Assets Held](index=12&type=section&id=4.%20Crypto%20Assets%20Held) This note provides details on the Company's investment in Bitcoin, including cost basis, fair value, and disposition activities Investment in Crypto Assets – Bitcoin (in thousands) | Item | Units | Cost Basis (in thousands) | Fair Value (in thousands) | | :---------- | :---- | :--------- | :--------- | | Bitcoin | 10 | $657 | $793 | Reconciliation of Fair Values of Bitcoin (in thousands) | Item | Bitcoin (in thousands) | | :-------------------------- | :------ | | Balance, December 31, 2024 | $2,849 | | Dispositions | $(1,394) | | Unrealized loss, net | $(662) | | Balance, March 31, 2025 | $793 | - Bitcoin dispositions of **$1.4 million** during Q1 2025, including **$0.5 million** in realized gains, were made to support operational cash requirements[50](index=50&type=chunk) [5. Convertible Debt](index=13&type=section&id=5.%20Convertible%20Debt) This note details the Company's convertible debt instruments, including PIPE Notes, shareholder loans, and the Yorkville Note, and their fair value changes - PIPE Notes, convertible into common stock, had a fair value of **$1.6 million** as of March 31, 2025, down from **$1.7 million** at December 31, 2024[51](index=51&type=chunk)[52](index=52&type=chunk) - Shareholder loans from a related party investor totaled **$1.6 million**, convertible into **2,123,312 shares** of Common Stock at **$0.7535 per share**[53](index=53&type=chunk) - The Yorkville Note, issued for **$1.35 million** cash, is convertible into Common Stock. Events of default occurred due to failure to file Form 10-Q and a resale registration statement, potentially increasing the interest rate to **18%** and making the principal immediately due[55](index=55&type=chunk) - Yorkville converted **$0.2 million**, **$0.6 million**, and **$0.2 million** of outstanding principal into **245,007**, **650,026**, and **216,675 shares** of Common Stock, respectively, in late 2024 and early 2025[57](index=57&type=chunk)[58](index=58&type=chunk)[59](index=59&type=chunk) - The Yorkville Note's fair value decreased from **$1.7 million** at December 31, 2024, to **$0.6 million** at March 31, 2025[60](index=60&type=chunk) [6. Stockholders' Deficit](index=15&type=section&id=6.%20Stockholders'%20Deficit) This note describes the Company's Standby Equity Purchase Agreement (SEPA) with Yorkville and the related derivative liability - The Company has a Standby Equity Purchase Agreement (SEPA) with Yorkville, allowing it to sell up to **$25.0 million** of Common Stock over **24 months**, subject to conditions including an effective resale shelf registration statement[61](index=61&type=chunk)[62](index=62&type=chunk) - An event of default occurred under the SEPA due to the Company's failure to file a resale registration statement for Yorkville's shares by **August 30, 2024**[66](index=66&type=chunk) - The SEPA was accounted for as a liability under **ASC 815**, with the derivative liability related to the embedded put option estimated at **$0.1 million** as of March 31, 2025, down from **$0.4 million** at December 31, 2024[67](index=67&type=chunk) [7. Net Loss per Share](index=16&type=section&id=7.%20Net%20Loss%20per%20Share) This note lists potentially dilutive securities excluded from the calculation of diluted net loss per share Potentially Dilutive Securities Excluded from Diluted Net Loss per Share | Item | Three Months Ended March 31, 2025 (shares) | Three Months Ended March 31, 2024 (shares) | | :-------------------------------- | :-------------------------------- | :-------------------------------- | | Options to purchase Common Stock | 147,000 | 147,000 | | Unvested restricted stock units | 1,912,895 | 1,708,023 | | Warrants for Common Stock | 12,364,114 | 12,181,019 | | Convertible debt | 5,468,831 | 2,799,420 | | Deferred underwriter fees | 3,174,999 | 3,174,999 | | Loan extensions | 3,274,182 | 3,274,182 | | Total | 26,342,021 | 23,284,643 | [8. Stock-Based Compensation](index=16&type=section&id=8.%20Stock-Based%20Compensation) This note details the stock-based compensation expense recognized across various categories for the reported periods Stock-Based Compensation Expense (in thousands) | Category | Three Months Ended March 31, 2025 (in thousands) | Three Months Ended March 31, 2024 (in thousands) | | :-------------------------- | :-------------------------------- | :-------------------------------- | | Cost of revenue | $3 | $4 | | General and administrative | $201 | $127 | | Sales and marketing | $1 | $2 | | Research and development | $3 | $4 | | Total stock-based compensation expense | $208 | $137 | [9. Stock Warrants](index=16&type=section&id=9.%20Stock%20Warrants) This note provides a breakdown of the Company's outstanding liability-classified and equity-classified stock warrants Warrants Outstanding | Type of Warrant | As of March 31, 2025 (warrants) | As of December 31, 2024 (warrants) | | :-------------------------- | :------------------- | :-------------------- | | Liability Classified Warrants | 681,019 | 681,019 | | Equity Classified Warrants | 13,749,939 | 13,749,939 | | Grand Total | 14,430,958 | 14,430,958 | [10. Fair Value Measurements](index=17&type=section&id=10.%20Fair%20Value%20Measurements) This note presents the fair value measurements for the Company's crypto assets, warrants, convertible debt, and derivative liabilities Assets and Liabilities Measured at Fair Value (in thousands) | Item | March 31, 2025 (Total, in thousands) | December 31, 2024 (Total, in thousands) | | :-------------------------------- | :--------------------- | :------------------------ | | Investment in crypto assets – Bitcoin | $793 | $2,849 | | Business Combination Warrants | $15 | $12 | | PIPE Warrants | $3 | $3 | | PIPE Notes | $1,601 | $1,734 | | Yorkville Note | $594 | $1,718 | | SEPA derivative liability | $110 | $434 | | Total liabilities, at fair value | $2,323 | $3,901 | - Fair value of Business Combination Warrants increased from **$12 thousand** to **$15 thousand**, while PIPE Warrants remained at **$3 thousand**, from December 31, 2024, to March 31, 2025[72](index=72&type=chunk) - The fair value of PIPE Notes decreased by **$133 thousand**, and Yorkville Note decreased by **$30 thousand** due to conversions and changes in fair value during the three months ended March 31, 2025[74](index=74&type=chunk) - The SEPA derivative liability's fair value decreased by **$324 thousand** to **$110 thousand** as of March 31, 2025, primarily due to changes in expected stock price projections[75](index=75&type=chunk) [11. Related Party Transactions](index=19&type=section&id=11.%20Related%20Party%20Transactions) This note discloses transactions with related parties, including PIPE Notes, warrants, shareholder loans, and loan extensions - Related party investors contributed **$1.0 million** of the **$1.5 million** PIPE Notes and received **63,829** of the **95,744** PIPE Warrants[76](index=76&type=chunk) Shareholder Loans Outstanding (in thousands) | Loan Type | As of March 31, 2025 (in thousands) | As of December 31, 2024 (in thousands) | | :-------------------------- | :------------------- | :-------------------- | | Shareholder loans – nonconvertible | $654 | $654 | | Shareholder loans – convertible | $1,600 | $1,600 | | Accrued interest | $78 | $65 | | Total loan – related party | $2,332 | $2,319 | - Loan extensions to related parties totaling **$3.0 million** remain outstanding as of March 31, 2025, pending the effectiveness of a registration statement for conversion into common stock[78](index=78&type=chunk) [12. Commitments and Contingencies](index=19&type=section&id=12.%20Commitments%20and%20Contingencies) This note outlines the Company's lease commitments and confirms the absence of material legal proceedings - The Company has a month-to-month lease for **$530 per month**, incurring **$2 thousand** in rent expense for the three months ended March 31, 2025 and 2024[79](index=79&type=chunk) - The Company was not subject to any material legal proceedings during the three months ended March 31, 2025 and 2024[80](index=80&type=chunk) [13. Subsequent Events](index=19&type=section&id=13.%20Subsequent%20Events) This note reports on significant events that occurred after the balance sheet date, specifically equity sales to related party investors - Between April and May 2025, the Company issued and sold **1,904,762 shares** of Common Stock to two related party investors for approximately **$0.8 million** in gross proceeds[82](index=82&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=20&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's perspective on the Company's financial condition, results of operations, liquidity, and capital resources for the three months ended March 31, 2025 [Company Overview](index=20&type=section&id=Company%20Overview) This section provides an overview of OneMedNet's business, focusing on its digital medical image management and exchange solutions - OneMedNet provides solutions for digital medical image management, exchange, and sharing, primarily through its **iRWD™ solution** for secure de-identification, search, and curation of clinical image archives[85](index=85&type=chunk) - The Company's revenue streams are **iRWD** (Real World Data) for regulatory-grade imaging and clinical data, and **BEAM**, a medical imaging exchange platform[86](index=86&type=chunk) [Key Components of Consolidated Statements of Operations](index=20&type=section&id=Key%20Components%20of%20Consolidated%20Statements%20of%20Operations) This section explains the recognition methods for iRWD and BEAM revenue, along with the components of cost of revenue and other income/expenses - **iRWD revenue** is recognized on a fixed-fee basis upon data delivery, while **BEAM revenue** is subscription-based and recognized ratably over the contract period[86](index=86&type=chunk) - Cost of revenue includes hosting, labor, and data costs[88](index=88&type=chunk) - Other (income) expenses, net, primarily includes changes in fair value of PIPE Notes, Yorkville Note, warrants, Bitcoin holdings, and SEPA derivative liability[94](index=94&type=chunk)[95](index=95&type=chunk) [Results of Operations](index=22&type=section&id=Results%20of%20Operations) This section analyzes the Company's financial performance, including revenue, cost of revenue, operating expenses, and net loss, for the reported periods Consolidated Statements of Operations Data (in thousands) | Item | March 31, 2025 (in thousands) | March 31, 2024 (in thousands) | Change ($ in thousands) | Change (%) | | :------------------------------------ | :------------- | :------------- | :--------- | :--------- | | Total revenue | $137 | $248 | $(111) | -45% | | Cost of revenue | $361 | $317 | $44 | 14% | | Gross margin | $(224) | $(69) | $(155) | 225% | | Total operating expenses | $2,000 | $2,032 | $(32) | -2% | | Loss from operations | $(2,224) | $(2,101) | $(123) | 6% | | Total other (income) expense, net | $(322) | $8 | $(330) | -4,125% | | Net loss | $(1,902) | $(2,109) | $207 | -10% | - Total revenue decreased by **45%** (**$111 thousand**) primarily due to a **71% decrease** in subscription revenue from the planned discontinuation of the BEAM platform, partially offset by a **68% increase** in web imaging revenue due to enhanced focus on iRWD sales[99](index=99&type=chunk) - Cost of revenue as a percentage of revenue increased by **136%** (from **128% to 264%**) due to lower subscription revenue from BEAM discontinuation and higher iRWD data/personnel costs[100](index=100&type=chunk) - Sales and marketing expense increased by **27%** (**$61 thousand**) due to increased headcount, while research and development expense decreased by **22%** (**$97 thousand**) due to reduced personnel and software/hosting costs as resources shifted to iRWD sales growth[102](index=102&type=chunk)[103](index=103&type=chunk) - The Company recognized a **$662 thousand** change in fair value of crypto assets (Bitcoin) and a **$531 thousand** realized gain on sale of Bitcoin for the three months ended March 31, 2025, as it began investing in Bitcoin in Q3 2024[108](index=108&type=chunk)[109](index=109&type=chunk) [Liquidity and Capital Resources](index=24&type=section&id=Liquidity%20and%20Capital%20Resources) This section discusses the Company's sources and uses of cash, its ability to meet short-term obligations, and plans for future funding - Principal sources of liquidity as of March 31, 2025, were proceeds from related party investors, private placement transactions, and customer cash receipts[111](index=111&type=chunk) Net Cash Provided by (Used in) Activities (in thousands) | Activity | Three Months Ended March 31, 2025 (in thousands) | Three Months Ended March 31, 2024 (in thousands) | | :-------------------------- | :-------------------------------- | :-------------------------------- | | Operating activities | $(1,948) | $(1,547) | | Investing activities | $1,920 | $(6) | | Financing activities | $- | $1,680 | - Net cash provided by investing activities was **$1.9 million** in Q1 2025, primarily from **$1.9 million** in Bitcoin sales, compared to **$6 thousand** used in Q1 2024[115](index=115&type=chunk) - The Company did not engage in financing activities in Q1 2025, whereas in Q1 2024, it received **$1.7 million** from shareholder loans and a revolving line of credit[116](index=116&type=chunk) - Management believes current cash and cash equivalents are insufficient for the next **12 months**, raising substantial doubt about the Company's ability to continue as a **going concern**, and plans to raise additional funds through debt and equity offerings[117](index=117&type=chunk) Current and Long-Term Material Cash Requirements as of March 31, 2025 (in thousands) | Obligation | Total (in thousands) | Less than 1 year (in thousands) | | :-------------------------------- | :------ | :--------------- | | Accounts payable & accrued expenses | $6,870 | $6,870 | | Loan extensions | $2,992 | $2,992 | | Deferred underwriter fee payable | $3,262 | $3,262 | | Loan, related party | $2,332 | $2,332 | | PIPE Notes | $1,601 | $1,601 | | Yorkville Note | $594 | $594 | | Total | $17,651 | $17,651 | [Critical Accounting Policies and Estimates](index=26&type=section&id=Critical%20Accounting%20Policies%20and%20Estimates) This section highlights the Company's reliance on estimates and judgments in financial reporting and notes no material changes to policies - The Company's financial statements rely on estimates, assumptions, and judgments that can significantly impact reported revenue, results of operations, and balance sheet values[120](index=120&type=chunk) - No material changes to critical accounting policies and estimates were reported through March 31, 2025, compared to those discussed in the Form 10-K[121](index=121&type=chunk) [Recently Issued and Adopted Accounting Pronouncements](index=26&type=section&id=Recently%20Issued%20and%20Adopted%20Accounting%20Pronouncements) This section refers to Note 2 for details on recently issued accounting pronouncements and their potential impact on the Company - A description of recently issued accounting pronouncements that may potentially impact the Company's financial position and results of operations is disclosed in **Note 2** to the condensed consolidated financial statements[122](index=122&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=26&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) As a smaller reporting company, OneMedNet Corporation is not required to provide quantitative and qualitative disclosures about market risk - The Company is a **smaller reporting company** and is not required to provide quantitative and qualitative disclosures about market risk[123](index=123&type=chunk) [Item 4. Controls and Procedures](index=26&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were ineffective as of March 31, 2025, due to material weaknesses in internal controls over financial reporting - As of March 31, 2025, disclosure controls and procedures were **ineffective** due to **material weaknesses** in internal controls over financial reporting[124](index=124&type=chunk) - Material weaknesses include issues with user access/segregation of duties, lack of a formalized control environment, errors in accounting for non-routine transactions, and insufficient record keeping, partly due to the Business Combination and limited accounting staff[125](index=125&type=chunk) - No material changes in internal control over financial reporting occurred during the three months ended March 31, 2025[126](index=126&type=chunk) [Part II. Other Information](index=27&type=section&id=PART%20II.%20OTHER%20INFORMATION) This section provides additional information not covered in the financial statements, including legal proceedings, risk factors, and equity sales [Item 1. Legal Proceedings](index=27&type=section&id=Item%201.%20Legal%20Proceedings) The Company is not currently party to any legal proceedings that would materially adversely affect its business or financial condition - The Company is not currently involved in any **material legal proceedings** that would adversely affect its business, operating results, financial condition, or cash flows[128](index=128&type=chunk) [Item 1A. Risk Factors](index=27&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the Company's Form 10-K and other public filings - No **material changes** to risk factors have occurred since those disclosed in the Form 10-K and other public filings[129](index=129&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=27&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The Company did not have any unregistered sales of equity securities not previously reported in a Form 8-K during the three months ended March 31, 2025 - No unregistered sales of equity securities not previously reported in a Form 8-K occurred during the three months ended March 31, 2025[130](index=130&type=chunk) [Item 3. Defaults Upon Senior Securities](index=27&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) The Company reported no defaults upon senior securities during the period - There were no defaults upon senior securities[130](index=130&type=chunk) [Item 4. Mine Safety Disclosures](index=27&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the Company - Mine Safety Disclosures are not applicable to the Company[131](index=131&type=chunk) [Item 5. Other Information](index=27&type=section&id=Item%205.%20Other%20Information) No director or officer adopted or terminated a Rule 10b5-1 or non-Rule 10b5-1 trading arrangement during the three months ended March 31, 2025 - No director or officer adopted or terminated a **Rule 10b5-1** or non-Rule 10b5-1 trading arrangement during the three months ended March 31, 2025[132](index=132&type=chunk) [Item 6. Exhibits](index=28&type=section&id=Item%206.%20Exhibits) This section lists the documents filed as exhibits to the Quarterly Report on Form 10-Q, including corporate governance documents and certifications - Exhibits include the Third Amended and Restated Certificate of Incorporation, Amended and Restated Bylaws, CEO and CFO certifications (**31.1, 31.2, 32.1, 32.2**), and Inline XBRL Taxonomy Extension documents[133](index=133&type=chunk) [Signatures](index=29&type=section&id=SIGNATURES) This section contains the official signatures certifying the accuracy and completeness of the report [Report Signatures](index=29&type=section&id=Report%20Signatures) The report was duly signed on behalf of OneMedNet Corporation by Robert Golden, Chief Financial Officer, on May 14, 2025 - The report was signed by **Robert Golden**, Chief Financial Officer, on behalf of OneMedNet Corporation on **May 14, 2025**[137](index=137&type=chunk)[138](index=138&type=chunk)

Core Insights - OneMedNet Corporation has expanded its capabilities within the Datavant Connect platform to enhance healthcare data discovery, analytics, and partner assessment processes, emphasizing the importance of secure and scalable data solutions in healthcare innovation [1][4] - The healthcare industry is generating vast amounts of health-related data, which is often fragmented and siloed, creating challenges in accessibility and usability [2][5] - OneMedNet will utilize AWS Clean Rooms to provide secure collaboration environments for data partner assessment, enhancing data security and privacy without direct data movement [3][4] Company Overview - OneMedNet is a leader in providing regulatory-grade imaging Real-World Data (iRWD), leveraging over 1,400 healthcare sites to unlock the potential of healthcare data [5] - The company’s iRWD™ platform supports various sectors, including rare diseases, oncology, and cardiology, delivering insights that drive innovation in patient care and healthcare disruption [5][6] - Beyond healthcare, OneMedNet's AI technology anonymizes data for other industries such as finance and retail, enabling secure data sharing and project de-risking [6]

Core Insights - HealthVerity has integrated OneMedNet's regulatory-grade imaging Real-World Data (iRWD) into its HealthVerity Marketplace, enhancing the availability of advanced imaging data for life sciences research [1][3] - The integration includes data from over 1,400 healthcare systems and provider sites, encompassing more than 121 million clinical exams from 31 million unique patients, providing valuable insights beyond structured data [2][4] - This collaboration aims to improve the depth of real-world data available to clients, facilitating informed clinical development and commercialization decisions [3][4] Company Overview - HealthVerity is a leader in privacy-protected real-world data exchange, transforming how healthcare and life sciences organizations connect and analyze disparate patient data [4] - OneMedNet Corporation specializes in unlocking the value of regulatory-grade imaging real-world data through its iRWD platform, ensuring secure and privacy-compliant access to extensive imaging datasets [5]

Core Insights - OneMedNet has formed a strategic partnership with Protege to provide real-time access to multimodal patient data for AI developers and researchers, enhancing the development of AI solutions in healthcare [1][2][5] - The collaboration aims to improve the precision and relevance of AI models, ultimately enhancing patient outcomes and driving medical breakthroughs [2][5] - OneMedNet's data includes deep clinical information beyond traditional electronic health records, such as medical imaging and various diagnostic modalities, ensuring a comprehensive dataset for AI applications [3][7] Company Overview - OneMedNet is a leader in AI-powered Real-World Data, utilizing over 1,400 healthcare sites through its iRWD™ platform to provide valuable insights for drugmakers and medical device innovators [7] - The company focuses on delivering precision insights across various medical fields, including rare diseases, oncology, and cardiology, aiming to redefine patient care [7] - Protege serves as a platform for AI training data, facilitating compliant data exchange and supporting the creation of thoughtful AI solutions [6]

Core Insights - OneMedNet has partnered with Datavant to enhance access to tokenized, purpose-built data for life sciences and medical research, leveraging a network of 31 million patients and over 121 million clinical studies [1][2] - The integration of OneMedNet's patient tokens into Datavant's ecosystem allows for easier discovery and access to Real-World Data, improving longitudinal data visibility and connectivity for researchers [2][3] - This collaboration emphasizes OneMedNet's leadership in medical innovation through AI and robust platforms, aiming to accelerate evidence-based solutions while ensuring data privacy [3] Company Overview - OneMedNet is transforming the utilization of Real-World Data (RWD) through its iRWD™ platform, which taps into over 1,400 healthcare sites, providing insights that drive innovation in drug development and patient care [4] - The company also applies its proprietary AI to anonymize data for various industries, including finance and retail, showcasing its versatility beyond healthcare [5]

Core Insights - OneMedNet Corporation has appointed Dr. Kenneth Alleyne to its Board of Directors, where he will serve as Chair of the Audit Committee, leveraging his extensive expertise in healthcare, insurance, investment, and corporate governance [1][4] Company Overview - OneMedNet is a leading Real World Data platform that utilizes AI-driven de-identification, aiming to revolutionize the use of healthcare data from over 1,400 healthcare sites through its iRWD™ platform [5] - The company focuses on delivering precision insights that enhance patient care and drive innovation in drug development and medical devices [5] Dr. Kenneth Alleyne's Background - Dr. Alleyne is a board-certified orthopedic surgeon with a specialization in sports medicine and has significant experience in the insurance sector, having co-founded healthcare firms that focus on Medicaid and Medicare Advantage [2] - He has served as a seed investor and founding chief medical officer of VirtualHealth, which manages over 10 million lives, and co-founded Fizio Health, an AI-powered remote physical therapy solution [2] Strategic Implications - Dr. Alleyne's appointment is expected to enhance OneMedNet's iRWD™ platform, providing innovative solutions for the orthopedics sector and empowering insurance companies with actionable insights and cost savings [4]

Core Insights - OneMedNet Corporation has regained compliance with Nasdaq Listing Rule 5550(b)(2) after its market value exceeded $35 million for 10 consecutive business days, clearing all listing deficiency notices from Nasdaq [1][2] - The company aims to focus on revenue growth and business operations in 2025, leveraging its position in the growing Real World Data market [2] Company Overview - OneMedNet provides innovative solutions that manage diverse clinical data types, including electronic health records, ECGs, EEGs, prescriptions, physician notes, laboratory results, and medical imaging through its proprietary iRWD™ platform [3][4] - The iRWD™ network comprises over 1,400 healthcare system and provider sites, enabling secure management and curation of clinical data for research opportunities in drug, medical device, and imaging/diagnostic AI development [3] Strategic Developments - The company is expanding its product offerings, including data masking solutions and subscription-based services for healthcare and real-world data solutions [5] - Key appointments include Bob Golden as Chief Financial Officer and new hires in business development and marketing to enhance commercial presence with Life Science organizations [5] - OneMedNet has raised approximately $6.4 million in private placements to improve liquidity and is implementing a Bitcoin treasury management strategy [5]

Core Points - OneMedNet Corporation has regained compliance with Nasdaq Listing Rule 5550(b)(2) after its market value exceeded $35 million for 10 consecutive business days, clearing all listing deficiency notices from Nasdaq [1][2] - The company aims to focus on revenue growth and business operations in 2025, leveraging its position in the growing Real World Data market [2] Company Overview - OneMedNet provides innovative solutions that manage diverse clinical data types, including electronic health records, medical imaging, and laboratory results, through its proprietary iRWD™ platform [3][4] - The iRWD™ network comprises over 1,400 healthcare system and provider sites, enabling secure de-identification and curation of clinical data for research opportunities [3] Strategic Developments - The company has expanded its product offerings to include data masking solutions and subscription-based services for healthcare and real-world data solutions [6] - Key appointments include Bob Golden as Chief Financial Officer and new hires in business development and marketing to enhance commercial presence [6] - OneMedNet has raised approximately $6.4 million in private placements to improve liquidity and is implementing a Bitcoin treasury management strategy [6]

Core Insights - OneMedNet Corporation has regained compliance with Nasdaq Listing Rule 5550(a)(2) after its common stock closed at $1.00 or greater for 10 consecutive business days [1][2] - The company is positioned to capitalize on the growing Real World Data market, aiming for a significant market share [2] Company Overview - OneMedNet provides innovative solutions that leverage Real-World Data (RWD) from over 1,400 healthcare systems and provider sites through its proprietary iRWD™ platform [3] - The platform manages diverse clinical data types, including electronic health records, ECGs, EEGs, prescriptions, physician notes, laboratory results, and medical imaging [3] Strategic Developments - The company has made several strategic moves, including appointing a new Chief Financial Officer and hiring a Director of Business Development and a Vice President of Marketing to enhance its commercial presence [5] - OneMedNet has signed an agreement with Bayer's AI Innovation Platform to further its capabilities in the market [5] - The company is enhancing its data de-identification and curation services using Generative AI and deploying a new indexing tool, OMNi, to improve data searching and indexing [5] Financial Position - OneMedNet has improved its liquidity by raising approximately $6.4 million through private placements with Off the Chain Capital and an affiliate of Discovery Capital Management [5] - The company is also implementing a Bitcoin treasury management strategy [5]

Core Viewpoint - OneMedNet Corporation has regained compliance with Nasdaq Listing Rule 5250(c)(1) by filing its periodic reports for the fiscal quarters ended March 31, June 30, and September 30, 2024, allowing the company to focus on business growth moving forward [1][6]. Company Developments - The company has appointed Bob Golden as interim Chief Financial Officer to enhance financial reporting processes and has hired Margaret Nash as Director of Business Development and Michael Wong as Vice President of Marketing to strengthen its commercial presence [6]. - OneMedNet has raised approximately $6.4 million in private placements to improve liquidity and is implementing a Bitcoin treasury management strategy [6]. - The company has refreshed its Board of Directors with three new members who possess relevant industry and financial expertise [6]. Strategic Initiatives - OneMedNet's platform addresses diverse clinical requirements across various domains, including rare diseases, central nervous system disorders, oncology, cardiology, and women's health, aiming to enhance patient outcomes and drive healthcare innovation [4]. - The company is enhancing its Data De-Identification and curation service using Generative AI and deploying its 2.0 generation indexer, OMNi, to improve data searching and indexing efficiency [6]. - OneMedNet is positioned to capitalize on the growing Real World Data market, leveraging its proprietary iRWD™ platform that manages diverse clinical data types from over 1,400 healthcare system and provider sites [9][10].