DOMH

New in FY2025

• Business Risks Our business is subject to significant credit risk in connection with the execution, settlement and financing of various customer and principal securities and derivative transactions.
• In the normal course of our businesses, we are involved in the execution, settlement and financing of various customer and principal securities and derivative transactions.
• These activities are transacted on a cash, margin or delivery-versus-payment basis and are subject to the risk of counterparty or customer nonperformance.
• Even when transactions are collateralized by the underlying security or other securities, we still face the risks associated with changes in the market value of the collateral through settlement date or during the time when margin is extended and collateral has not been secured or the counterparty defaults before collateral or margin can be adjusted.
• We may also incur credit risk in our derivative transactions to the extent such transactions result in uncollateralized credit exposure to our counterparties.
• We seek to control the risk associated with these transactions by establishing and monitoring credit limits and by monitoring collateral and transaction levels daily.
• We may require counterparties to deposit additional collateral or return collateral pledged.
• In certain circumstances, we may, under industry regulations, purchase the underlying securities in the market and seek reimbursement for any losses from the counterparty.
• However, there can be no assurances that our risk controls will effectively mitigate or eliminate these risks.
• We are exposed to significant market risk and our principal transactions and investments expose us to risk of loss.
• Market risk generally represents the risk that values of assets and liabilities or revenues will be adversely affected by changes in market conditions.
• Market risk is inherent in the financial instruments associated with our operations and activities, including trading account assets and liabilities, loans, securities, short-term borrowings, corporate debt and derivatives.
• Market conditions that change from time to time, thereby exposing us to market risk, include fluctuations in interest rates, equity prices, relative exchange rates, and price deterioration or changes in value due to changes in market perception or actual credit quality of an issuer.
• In addition, disruptions in the liquidity or transparency of the financial markets may result in our inability to sell, syndicate or realize the value of security positions, thereby leading to increased concentrations.
• The inability to reduce our positions in specific securities may not only increase the market and credit risks associated with such positions, but also increase capital requirements, which could have an adverse effect on our business, results of operations, financial condition and liquidity.
• From time to time, we may engage in a large block trade in a single security or maintain large position concentrations in a single security, securities of a single issuer, securities of issuers engaged in a specific industry or securities from issuers located in a particular country or region.
• In general, because our inventory is marked to market on a daily basis, any adverse price movement in these securities could result in a reduction of our revenues and profits.
• In addition, we may engage in hedging transactions that if not successful, could result in losses.
• Increased market volatility may also impact our revenues as transaction activity in our investment banking and capital markets sales and trading businesses can be negatively impacted in a volatile market environment.
• Refer to Management’s Discussion and Analysis of Financial Condition and Results of Operations-Risk Management within Part II, Item 7. of this Annual Report on Form 10-K for additional discussion.
• Financing and advisory services engagements are transactional in nature and do not generally provide for subsequent engagements.
• Even though we work to represent our clients at every stage of their lifecycle, we are typically retained on a short-term, engagement-by-engagement basis in connection with specific advisory or capital markets transactions.
• As a consequence, the timing of when fees are earned varies, and, therefore, our financial results from advisory and capital markets activities may experience volatility quarter to quarter based on equity market conditions as well as the macroeconomic business cycle more broadly.
• In particular, our revenues related to advisory transactions tend to be more unpredictable from quarter to quarter due to the one-time nature of the transaction and the size of the fee.
• As a result, high levels of revenue in one quarter will not necessarily be predictive of continued high levels of revenue in any subsequent period.
• If we are unable to generate a substantial number of new engagements and generate fees from the successful completion of those transactions, our business and results of operations could be adversely affected.
• Because we have a limited operating history to evaluate our company, the likelihood of our success must be considered in light of the problems, expenses, difficulties, complications and delays frequently encountered by an early-stage financial services company.
• We have incurred operating losses in the past and may not consistently achieve profitability in the future.
• Our net loss attributable to common stockholders for the year ended December 31, 2025 was $22.4 million.
• Our accumulated deficit was $268.1 million as of December 31, 2025.
• Our ability to operate profitably depends upon our ability to generate revenue from our financial products and services.
• We do not know if we will continue to generate significant revenue from such financial services and products.
• Even though our revenue may continue to increase, we expect to incur additional losses while we grow and expand our business.
• Our failure to sustain consistent profitability could negatively impact the market price of our common stock.
• Our assessment, testing and evaluation of the design and operating effectiveness of our internal control over financial reporting resulted in our conclusion that, as of December 31, 2025, our internal control over financial reporting was not effective, as described further in Item 9A of this Form 10-K for the fiscal year ended December 31, 2025.
• Our valuation methodologies for certain assets can be subjective, and the fair value of assets established pursuant to such subjective methodologies is uncertain and may never be realized.
• There are no readily ascertainable market prices for a substantial majority of illiquid investments held by us and our investment vehicles.
• When determining fair values of investments, we use the last reported market price as of the applicable statement of financial condition date for investments that have readily observable market prices.
• When an investment does not have a readily available market price, the fair value of the investment represents the value, as determined by us in good faith, at which the investment could be sold in an orderly disposition over a reasonable period of time between willing parties other than in a forced or liquidation sale.
• There is no single standard for determining fair value in good faith, and in many cases fair value is best expressed as a range of fair values from which a single estimate may be derived.

and 108 more.

Gone since FY2024

• Business Risks Because we have a limited operating history to evaluate our company, the likelihood of our success must be considered in light of the problems, expenses, difficulties, complications and delays frequently encountered by an early-stage financial services company.
• We continue to incur operating losses and may not achieve profitability.
• Our net loss for the year ended December 31, 2024 was $14.7 million.
• Our accumulated deficit was $223.4 million as of December 31, 2024.
• Our ability to become profitable depends upon our ability to generate revenue from our financial products and services.
• We do not know when, or if, we will generate significant revenue from such financial services and products.
• Even though our revenue may increase, we expect to incur significant additional losses while we grow and expand our business.
• We cannot predict if and when we will achieve profitability.
• Our failure to achieve and sustain profitability could negatively impact the market price of our common stock.
• Our assessment, testing and evaluation of the design and operating effectiveness of our internal control over financial reporting resulted in our conclusion that, as of December 31, 2024, our internal control over financial reporting was not effective, as described further in Item 9A of this Form 10-K for the fiscal year ended December 31, 2024.
• As a market maker and dealer, the Company may own large positions in specific securities, and these undiversified holdings concentrate the risk of market fluctuations and may result in greater losses than would be the case if the Company’s holdings were more diversified.
• Concentration of risk may reduce revenues or result in losses in our market-making, investing, underwriting, including block trading, and lending businesses in the event of unfavorable market movements, or when market conditions are more favorable for our competitors.
• Several of our subsidiaries, particularly our broker-dealer subsidiary, are subject to regulations that limit or restrict dividend payments or reduce the availability of the flow of funds from those subsidiaries to us.
• In addition, our broker-dealer subsidiaries subsidiary are subject to restrictions on their ability to lend or transact with affiliates and are required to maintain minimum regulatory capital requirements.
• Consequently, these regulations often serve to limit the Company’s activities, including through net capital, customer protection and market conduct requirements, including those relating to principal trading.
• Our Bitcoin investment strategy may expose us to various risks associated with Bitcoin.
• Our Bitcoin investment strategy may expose us to various risks associated with Bitcoin, including the following.
• Bitcoin is a highly volatile asset that has traded below $38,000 per bitcoin and above $108,000 per bitcoin on Coinbase during 2024.
• The trading price of bitcoin was significantly lower during prior periods, and such decline may occur again in the future.
• Bitcoin ETFs may not pay dividends and we may only be able to generate cash from our Bitcoin ETF holdings if we sell our bitcoin ETF holdings or implement strategies to create income streams.
• Even if we pursue any such strategies, we may be unable to create income streams or otherwise generate cash from our Bitcoin ETF holdings, and any such strategies may subject us to additional risks.
• This Bitcoin ETF investment strategy has not been tested.
• Although we believe Bitcoin, due to its limited supply, has the potential to serve as a hedge against inflation in the long term, the short-term price of Bitcoin declined in recent periods during which the inflation rate increased.
• Some investors and other market participants may disagree with our Bitcoin ETF investment strategy or actions we undertake to implement it.
• If Bitcoin prices were to decrease or our Bitcoin ETF investment strategy otherwise proves unsuccessful, our financial condition, results of operations, and the market price of our common stock may be adversely impacted.
• Bitcoin and other digital assets are relatively novel and are subject to significant uncertainty, which could adversely impact their price.
• The application of state and federal securities laws and other laws and regulations to digital assets is unclear in certain respects, and it is possible that regulators in the United States or foreign countries may interpret or apply existing laws and regulations in a manner that adversely affects the price of Bitcoin.
• Moreover, the risks of engaging in a Bitcoin ETF investment strategy are relatively novel and have created, and could continue to create, complications due to the lack of experience that third parties have with companies engaging in such a strategy, such as increased costs of director and officer liability insurance or the potential inability to obtain such coverage on acceptable terms in the future.
• The growth of the digital assets industry in general, and the use and acceptance of Bitcoin in particular, may also impact the price of Bitcoin and is subject to a high degree of uncertainty.
• The pace of worldwide growth in the adoption and use of Bitcoin may depend, for instance, on public familiarity with digital assets, ease of buying, accessing or gaining exposure to Bitcoin, institutional demand for Bitcoin as an investment asset, the participation of traditional financial institutions in the digital assets industry, consumer demand for Bitcoin as a means of payment, and the availability and popularity of alternatives to Bitcoin.
• Even if growth in Bitcoin adoption occurs in the near or medium-term, there is no assurance that Bitcoin usage will continue to grow over the long-term.
• Risks Associated with the Company’s Common Stock Our common stock may be delisted from The Nasdaq Capital Market if we fail to comply with continued listing standards.
• Our common stock is currently traded on The Nasdaq Capital Market (“Nasdaq”), under the symbol “DOMH.” If we fail to meet any of the continued listing standards of Nasdaq, our common stock could be delisted from Nasdaq.
• From January 1, 2024 through December 31, 2024, the closing share price of our common stock (on a split-adjusted basis) ranged from a high of $3.14 to a low of $0.90.
• Because of their significant stock ownership, some of our executive officers and directors will be able to exert control over us and our significant corporate decisions.
• Our executive officers, directors and their affiliates own or control, in the aggregate, beneficially own approximately 34.52% of our outstanding common stock as of December 31, 2024.
• On February 11, 2025, we declared a special cash dividend on our common stock and pursuant to the terms of certain common stock purchase warrants issued in our recently completed financings (on an as-exercised basis) of $0.32 per share, which was paid on March 3, 2025, to shareholders and certain warrant holders of record as of the close of business on February 24, 2025.