$TAOX

TAO Synergies Inc.

CIK:0001571934|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2026	Jun. 30, 2025	Jun. 30, 2026	Jun. 30, 2025
REVENUES:
Revenues from TAO staking	$ 88,626	$ 3,962	$ 477,400	$ 3,962
OPERATING EXPENSES:
Research and development	31,855	148,555	60,455	209,371
General and administrative	1,626,007	2,191,395	3,303,945	3,199,744
Warrant issuance costs		699,845		699,845
TOTAL OPERATING EXPENSES	1,657,862	3,039,795	3,364,400	4,108,960
OPERATING LOSS	(1,569,236)	(3,035,833)	(2,887,000)	(4,104,998)
OTHER EXPENSE:
Interest income	25,255	152,798	60,734	335,132
Unrealized loss on digital assets	(8,437,115)	(14,368)	(1,595,178)	(14,368)
Change in fair value of Yuma partnership investments	(318,870)		31,870
Change in fair value of warrant liability	6,000	(14,515,675)	0	(13,164,675)
Change in fair value of derivative liability	995,000	(103,000)	(655,000)	(182,000)
TOTAL OTHER EXPENSE	(7,729,730)	(14,480,245)	(2,157,574)	(13,025,911)
Net loss before income taxes	(9,298,966)	(17,516,078)	(5,044,574)	(17,130,909)
Provision for income taxes	0	0	0	0
Net loss	(9,298,966)	(17,516,078)	(5,044,574)	(17,130,909)
Preferred Stock dividends	201,045	102,739	404,429	204,142
Deemed dividend on Series E Warrants	4,158,000		4,158,000
Net loss attributable to common stockholders	$ (13,658,011)	$ (17,618,817)	$ (9,607,003)	$ (17,335,051)
PER SHARE DATA:
Basic loss per common share (in dollars per share)	$ (1.83)	$ (11.26)	$ (1.29)	$ (11.75)
Fully diluted loss per common share (in dollars per share)	$ (1.83)	$ (11.26)	$ (1.29)	$ (11.75)
Basic weighted average common shares outstanding (in shares)	7,472,200	1,565,200	7,470,500	1,475,500
Fully diluted weighted average common shares outstanding (in shares)	7,472,200	1,565,200	7,470,500	1,475,500

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)	3 Months Ended	6 Months Ended
	Jun. 30, 2026	Jun. 30, 2026	Jun. 30, 2025
CASH FLOW USED IN OPERATING ACTIVITIES
Net loss		$ (5,044,574)	$ (17,130,909)
Adjustments to reconcile net loss to net cash used by operating activities
Stock based compensation		318,325	585,823
Accrual of Restricted Stock Awards			387,118
Non-cash revenue from digital assets		477,400	3,962
Unrealized loss on digital assets	$ 8,437,115	1,595,178	14,368
Warrant issuance costs			699,845
Change in fair value of Yuma partnership investments	318,870	(31,870)
Change in fair value of warrant liability	(6,000)	0	13,164,675
Change in fair value of derivative liability		655,000	182,000
Consulting services paid by issuance of common stock		108,954	109,116
Consulting services paid by issuance of warrants		584,487	81,935
Depreciation expense		1,551	2,011
Change in assets and liabilities:
Decrease (increase) in prepaid expenses and other current assets		514,732	(214,421)
(Decrease) increase in accounts payable		(276,148)	3,609
(Decrease) in accrued expenses		(506,072)	(630,876)
Total adjustments		2,486,737	14,381,241
Net Cash Used in Operating Activities		(2,557,837)	(2,749,668)
CASH FLOWS USED IN INVESTING ACTIVITIES
Purchase of crypto currency			(4,500,000)
Net Cash Used in Investing Activities			(4,500,000)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from investor warrant exercises			484,326
Net proceeds from Series D Convertible Preferred Stock offering			5,114,000
Redemption of Series C Convertible Preferred Stock			(1,430,000)
Dividends on Convertible Preferred Stock		(571,377)	(205,161)
Net Cash Used in Financing Activities		(571,377)	3,963,165
NET DECREASE IN CASH AND EQUIVALENTS		(3,129,214)	(3,286,503)
CASH AND EQUIVALENTS AT BEGINNING OF PERIOD		5,497,671	17,656,221
CASH AND EQUIVALENTS AT END OF PERIOD	2,368,457	2,368,457	14,369,718
DISCLOSURES OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Accrual of Series D Convertible Preferred Stock and Warrant Issuance Costs			190,000
Warrant liability upon issuance of Series D Convertible Preferred stock			5,248,062
Reclassification of warrant liability			21,426,648
Derivative liability upon issuance of Series D Convertible Preferred stock			113,000
Reclassification of derivative liability			6,017,668
Accrual of Restricted Stock Awards Payable			387,118
Issuance of Consultant Warrants			724,230
Deemed dividend on Series E Warrants	$ 4,158,000	4,158,000
Series C Convertible Preferred Stock
DISCLOSURES OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Accretion of Convertible Preferred Stock to redemption value			3,407,659
Series C Convertible Preferred Stock conversions and redemptions			2,948,235
Series D Convertible Preferred Stock
DISCLOSURES OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Accretion of Convertible Preferred Stock to redemption value		184,630	$ 324,795
Series E Convertible Preferred Stock
DISCLOSURES OF NON-CASH INVESTING AND FINANCING ACTIVITIES:
Accretion of Convertible Preferred Stock to redemption value		$ 3,680,298

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($)	Jun. 30, 2026	Dec. 31, 2025
CURRENT ASSETS
Cash and cash equivalents	$ 2,368,457	$ 5,497,671
Digital assets	16,809,405	17,927,183
Prepaid expenses and other current assets	1,439,172	1,953,904
TOTAL CURRENT ASSETS	20,617,034	25,378,758
Fixed assets, net of accumulated depreciation	7,758	9,309
Yuma Partnership investments	478,824	446,954
TOTAL ASSETS	21,103,616	25,835,021
CURRENT LIABILITIES
Accounts payable	899,175	1,175,323
Accrued expenses	132,444	638,516
TOTAL CURRENT LIABILITIES	1,031,619	1,813,839
Warrant liability	9,000	9,000
Derivative liability	2,769,000	2,114,000
TOTAL LIABILITIES	3,809,619	3,936,839
Commitments and contingencies
STOCKHOLDERS' EQUITY
Common stock - 150,000,000 shares authorized, $0.0001 par value; 7,473,112 shares issued and outstanding as of June 30, 2026 and 7,448,343 shares issued and outstanding as of December 31, 2025.	748	746
Additional paid-in capital	94,388,864	97,242,028
Accumulated other comprehensive income	5,702	5,702
Accumulated deficit	(81,645,998)	(76,196,995)
TOTAL STOCKHOLDERS' EQUITY	12,749,316	21,051,481
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY	21,103,616	25,835,021
Series D Convertible Preferred Stock
CURRENT LIABILITIES
Convertible redeemable preferred stock, value	686,026	507,927
Series E Convertible Preferred Stock
CURRENT LIABILITIES
Convertible redeemable preferred stock, value	$ 3,858,655	$ 338,774