Risk Factors Update Summary

• Private placement in October 2023 raised approximately $92 million in gross proceeds.
• Net losses decreased from $96 million in 2022 to $7 million in 2023.
• Potential delisting from Nasdaq due to bid price non-compliance could impact stock price and market access.
• Market valuation does not reflect shares issuable upon exercise of warrants, impacting dilution.
• Stockholders' equity decreased from $103 million to $92 million.
• Failure to comply with Nasdaq listing requirements may lead to delisting, reducing stock visibility and liquidity.
• Institutions may be swept into receivership, with no direct exposure to impacted institutions. This could affect liquidity.
• Issuing common stock or convertible securities could lead to additional dilution, impacting stock price.
• Cash, cash equivalents, and investments increased from $125 million to $135 million.
• Changes in patent law could impact patent prosecution and litigation, affecting intellectual property protection.
• Uncertainty remains over liquidity concerns in the financial services industry, impacting business unpredictably.
• Recent private placement included sale of warrants, affecting potential dilution and stock value.
• The company may need to share trade secrets with partners in high-risk countries, increasing vulnerability.