Cryptocurrency Strategy - The company launched a differentiated cryptocurrency treasury strategy focused on the TAO cryptocurrency, aiming for revenue generation and capital appreciation[199]. Series C Preferred Stock - During the six months ended June 30, 2025, the company settled $4,061,750 of Series C Preferred Stock through $1,430,000 of cash redemptions and conversion of $2,631,750 into 877,250 shares of Common Stock[218]. - The Series C Preferred Shares carry a dividend of 5% per annum, compounded quarterly, increasing to 15% per annum upon a Triggering Event[207]. - The company entered into a Securities Purchase Agreement on September 10, 2024, to sell 1,793 shares of Series C convertible preferred stock, convertible into up to 448,250 shares of Common Stock[204]. - The Series C Offering included warrants to acquire up to 1,250,000 shares of Common Stock[204]. - The company received Nasdaq Stockholder Approval for the Series C Preferred Shares on December 6, 2024[208]. - The Series C Preferred Stock is subject to redemption in equal quarterly installments starting October 31, 2024, at 107% of the applicable Installment Amount[206]. - The company recognized a deemed dividend of $105,722 related to cash premiums during the six months ended June 30, 2025[218]. Series D Preferred Stock - The Company entered into a Series D Private Placement, selling 5,500 shares of Series D convertible preferred stock at a stated value of $1,000 per share, convertible into up to 1,833,333 shares of Common Stock at an initial conversion price of $3.00[219]. - Holders of Series D Preferred Stock are entitled to a 5% annual dividend, compounded quarterly, which increases to 15% per annum during a Triggering Event[221]. - The Company is required to redeem the Series D Preferred Stock in equal quarterly installments starting September 30, 2025, at 107% of the applicable installment amount[220]. - The Series D Warrants are exercisable at an exercise price of $3.00 per share and expire five years from the date of issuance[229]. - The Resale Registration Statement for the Series D Conversion Shares was declared effective by the SEC on July 17, 2025[231]. Financial Performance - The Company recorded a net loss of $17,516,078 for the three months ended June 30, 2025, compared to a net loss of $1,273,309 for the same period in 2024, representing an increase in loss of 1,275.6%[240]. - Total operating expenses for the three months ended June 30, 2025, were $3,039,795, a 92.3% increase from $1,580,967 in the same period in 2024, driven by higher general and administrative expenses and warrant issuance costs[242]. - The Company generated $3,962 in staking revenue for the three months ended June 30, 2025, compared to no revenue in the same period in 2024[241]. - Net losses for the three months ended June 30, 2025, were $(17,516,078), compared to $(1,273,309) for the same period in 2024, marking a significant increase in losses[248]. - Total operating expenses for the six months ended June 30, 2025, were $4,108,960, an increase of approximately 25.6% from $3,272,461 in 2024[252]. - Other expenses totaled $(13,025,911) for the six months ended June 30, 2025, compared to other income of $1,792,453 in 2024, indicating a significant decline[256]. Cash Flow and Working Capital - Cash used in operating activities was $2,749,668 for the six months ended June 30, 2025, compared to $2,685,075 in 2024, reflecting an increase in operational cash outflows[265]. - Working capital increased to $18,816,404 as of June 30, 2025, from $16,706,587 as of December 31, 2024, primarily due to proceeds from the Series D Private Placement[260]. - The company expects its current cash and cash equivalents, along with the value of TAO tokens, totaling approximately $20.8 million, to be sufficient for projected operating requirements for at least the next 12 months[261]. - Net cash used in investing activities was $4.5 million for the six months ended June 30, 2025, compared to $1.0 million for the same period in 2024[266]. - Net cash provided by financing activities was $3,963,165 for the six months ended June 30, 2025, compared to $0 for the same period in 2024[267]. - The cash provided by financing activities in 2025 included proceeds from the Company's Series D Preferred Stock offering and investor warrants[267]. Research and Development Expenses - The Company incurred cumulative expenses of approximately $100,000 related to the Nemours Agreement for a clinical trial, with total trial costs estimated at $2 million[236]. - The Company has incurred expenses of approximately $563,000 related to the collaboration with Cleveland Clinic, with total estimated costs of approximately $2 million for the trial[238]. - Research and development expenses decreased to $148,555 for the three months ended June 30, 2025, down approximately 56.6% from $342,068 in the same period of 2024[243]. - Research and development expenses for the six months ended June 30, 2025, were $209,371, a decrease of approximately 78.0% from $951,317 in 2024[253]. General and Administrative Expenses - General and administrative expenses increased to $2,191,395 for the three months ended June 30, 2025, representing a 133.4% increase from $1,238,899 in 2024, including warrant issuance costs of approximately $700,000[245]. - General and administrative expenses for the six months ended June 30, 2025, were $3,899,589, up 68.0% from $2,321,144 in 2024[255]. Company Name Change - The company changed its name from Synaptogenix, Inc. to TAO Synergies Inc. effective June 26, 2025[199]. Strategic Initiatives - The company formed a Special Committee in December 2024 to explore strategic opportunities for enhancing shareholder value[200].
Synaptogenix(SNPX) - 2025 Q2 - Quarterly Report