▸ Material weaknesses could materially and adversely affect our operations, financial condition, reputation and stock price.· · · · · ● 1 ▸ Our failure to timely file our annual report on Form 10-K for the year ended December 31, 2025 has made us ineligible to use a Form S-3 to register the offer and sale of securities, which could adversely affect our ability to raise future capital.· · · · · ● 1 ▸ Our business could be adversely affected by trade tariffs or other trade barriers.· · · · ● ● 2 ▸ Scrutiny and evolving expectations from customers, regulators, investors, and other stakeholders with respect to our environmental, social and governance practices may impose additional costs on us or expose us to new or additional risks.· · · · ● ● 2 ▸ Our failure to comply with applicable privacy, data protection and information security laws or related contractual obligations could subject us to significant liability and negatively impact our financial position and results of operation.· · ● ● ● ● 4 ▸ The impact of the Russian invasion of Ukraine, and the US-Iran war,and the international community’s response have created substantial political and economic disruption, uncertainty, and risk.· ● ● ● ● ● 5 rw ▸ We are subject to risks and uncertainties associated with the continued growth of our international operations, which may harm our business.· ● ● ● ● ● 5 ▸ If we fail to comply with the continued listing requirements of The Nasdaq Stock Market, our Common Stock may be delisted and the price of our Common Stock and our ability to access the capital markets could be negatively impacted.· · · · ● · 1 ▸ Legal, regulatory or market measures to address climate change may materially and adversely affect our future results of operations and financial condition.· · · · ● · 1 ▸ The delayed filing of this annual report has made us currently ineligible to use a registration statement on Form S-3 to register the offer and sale of securities, which could adversely affect our ability to raise future capital.· · · ● · · 1 ▸ The restatement of our previously issued financial statements has been time-consuming and expensive and could expose us to additional risks that could materially adversely affect our financial position, results of operations and cash flows.· · · ● · · 1 ▸ New climate disclosure rules adopted by the SEC, may increase our costs and litigation risks, which could materially and adversely affect our future results of operations and financial condition.· · ● ● · · 2 rw ▸ Any of these factors could significantly harm our business, operating results, financial condition or prospects.· ● ● · · · 2 ▸ Our failure to maintain appropriate environmental, social, and governance ("ESG") practices and disclosures could result in reputational harm, a loss of customer and investor confidence, and adverse business and financial results.· ● ● ● · · 3 ▸ If we fail to adequately manage our resources, it could have a severe negative impact on our financial results or stock price.● ● ● ● · · 4 ▸ The availability of a substantial number of shares of our common stock for public sale may cause the price of our common stock to decline.● · · · · · 1 ▸ The outbreak of COVID-19 has and may continue to have a negative impact on our business, sales, results of operations and financial condition.● ● · · · · 2 rw ▸ We face inherent product liability or other liability risks that could result in large claims against us.● ● · · · · 2 ▸ We may experience difficulties in completing the integration of the operations, personnel and assets of PistolStar which we acquired in June 2020.● · · · · · 1 ▸ Although we have made significant sales of our products throughout Asia and Africa in prior years, we have not been able to consistently enforce our contract rights and collect all receivables which has resulted in material write-offs.● ● ● ● ● ● 6 ▸ An active trading market for our common stock may not be sustained.● ● ● ● ● ● 6 ▸ group BUSINESS AND FINANCIAL RISKS● ● ● ● ● ● 6 ▸ Because we do not expect to pay dividends for the foreseeable future, investors seeking cash dividends should not purchase our shares of common stock.● ● ● ● ● ● 6 ▸ Biometric technology is a relatively new approach to Internet security, which must be accepted in order for our WEB-key solution to generate significant revenue.● ● ● ● ● ● 6 rw ▸ Historically, we have not generated significant revenue and have sustained substantial operating losses.● ● ● ● ● ● 6 rw ▸ If we are unable to effectively protect our intellectual property rights on a worldwide basis, we may not be successful in the international expansion of our business.● ● ● ● ● ● 6 ▸ Our biometric technology has yet to gain widespread market acceptance and we do not know how large of a market will develop for our technology.● ● ● ● ● ● 6 ▸ Our business could be negatively impacted by security threats, including cybersecurity threats, ransomware, and other disruptions.● ● ● ● ● ● 6 ▸ Our software products maycontain defects which will make it more difficult for us to establish and maintain customers.● ● ● ● ● ● 6 ▸ Provisions of our certificate of incorporation, bylaws and Delaware law may make a contested takeover of our Company more difficult.● ● ● ● ● ● 6 ▸ group RISKS RELATED TO OUR COMMON STOCK● ● ● ● ● ● 6 ▸ Risks related to acquisition financing.● ● ● ● ● ● 6 ▸ The market for our solutions is still developing and if the biometrics industry adopts standards or a platform different from our standards or platform, our competitive position would be negatively affected.● ● ● ● ● ● 6 ▸ The trading price of our common stock may be volatile.● ● ● ● ● ● 6 ▸ There is a scarcity of and competition for acquisition opportunities.● ● ● ● ● ● 6 ▸ To the extent we make any material acquisitions, our earningsmaybe adversely affected by non-cash charges relating to the amortization of intangible assets.● ● ● ● ● ● 6 rw ▸ We cannot assure you that the intellectual property protection for our core technology provides a sustainable competitive advantage or barrier to entry against our competitors.● ● ● ● ● ● 6 ▸ We face intense competition and maynot have the financial and human resources necessary to keep up with rapid technological changes, which mayresult in our technology becoming obsolete.● ● ● ● ● ● 6 ▸ We have issued a substantial number of warrants exercisable into shares of our common stock which could result in substantial dilution to the ownership interests of our existing stockholders.● ● ● ● ● ● 6 rw ▸ We may be subject to claims with respect to the infringement of intellectual property rights of others, which could result in substantial costs and diversion of our financial and management resources.● ● ● ● ● ● 6 ▸ We may experience difficulties in integrating the operations, personnel and assets of any business we acquire which may disrupt our business, dilute stockholder value, and adversely affect our operating results.● ● ● ● ● ● 6 ▸ We may need to raise additional funds in the future through issuances of securities and such additional funding may be dilutive to stockholders or impose operational restrictions.● ● ● ● ● ● 6 ▸ We maynot achieve profitability if we are unable to maintain, improve our offerings.● ● ● ● ● ● 6 
