Key Highlights

● Edgemode has generated no revenue and has suspended operations pending funding.

● Cash was $16,710 at June 30, 2026, down from $248,367 at the end of 2025.

● Shares outstanding rose to 4,791,424,217 as of August 14, 2026.

● Total liabilities were $10,549,424, all current.

Edgemode, Inc. (OTC:EDGM) remains a pre-revenue company because its plan to build digital infrastructure for high-performance computing depends on funding it has not yet secured. Its quarterly report for the period ended June 30, 2026 states that it has generated no revenue and has suspended operations until adequate funding is received, with auditors and management both flagging substantial doubt about its ability to continue as a going concern.

Business and sector

Edgemode is a Nevada corporation formed in 2011. It was originally founded around blockchain transaction verification, commonly called mining, and has since shifted toward colocation and hosting for cloud computing, machine learning and artificial intelligence customers.

Its main current activity is a 50.1% owned joint venture, DC Estate Solutions, which holds leases and development sites in Spain and plans a site in Panama. In April 2025 the company acquired Synthesis Analytics Production Ltd, which its prospectus said had not generated revenue and was linked to a planned data center in Sweden. The 10-Q also records that the company is seeking rescission of its April 2025 share exchange with Adler Capital Limited.

Latest filing

The most recent filing is the Form 10-Q for the quarter ended June 30, 2026, which gives a share count as of August 14, 2026. The company reported a net loss of $3,305,136 for the second quarter, compared with $3,827,281 a year earlier. For the six months, the net loss was $9,024,203, against $24,699,362 in the same period of 2025.

The six-month figures include acquisition costs of $12,949,436, mostly non-cash option valuations tied to the joint venture, general and administrative expenses of $2,615,518 and interest expense of $2,479,112. These were partly offset by a $9,018,915 gain from the change in fair value of derivatives, which is an accounting item rather than cash income.

Financials and context

Cash stood at just $16,710 at June 30, 2026, down from $248,367 at the end of 2025. Net cash used in operating activities in the first half was $1,181,372, while financing activities provided $1,375,215. Total liabilities were $10,549,424, all current, and the stockholders' deficit was $9,000,859.

The company relies on an equity line of up to $50 million. In the first half of 2026 it sold 70,781,966 shares under that arrangement for $702,125. Shares outstanding rose to 4,791,424,217 as of August 14, 2026, compared with 2,883,802,634 in October 2025, which shows the scale of dilution for existing shareholders over ten months or so. Its October 2025 prospectus said the company needs roughly $70 million to develop its operations.

Under its amended joint venture agreement, the company's funding obligations total $11,150,000. Convertible notes, net, were $1,768,174 and related-party notes were $1,774,445.

Risks

The principal risk is funding. Management states that it has no formal plan in place to address the going concern doubt, and the company has suspended operations pending capital. Discounted equity line sales and convertible note conversions can pressure the share price and dilute existing holders further.

The earlier prospectus also highlighted customer concentration, with one customer expected to account for all hosting revenue, plus exposure to power supply, construction delays, energy prices, competition from larger data center operators and uncertain demand for hosting capacity.

Funding and the Adler Capital Rescission

Edgemode reported no revenue and a second-quarter net loss of $3,305,136, with cash of just $16,710 at June 30, 2026 and total liabilities of $10,549,424, all current. Shares outstanding rose to 4,791,424,217 as of August 14, 2026 from 2,883,802,634 in October 2025, as the company sold 70,781,966 shares under its equity line for $702,125 in the first half.

Items to track include whether the company raises capital to meet its joint venture funding obligations of $11,150,000, the outcome of the company's effort to rescind its share exchange with Adler Capital, any restart of operations in Spain or Panama, further growth in the share count, and the next quarterly filing.