The following discussion of our financial condition and results of operations should be read in conjunction with our financial statements for the years ended June 30, 2021, and June 30, 2020, together with notes thereto as included in this Annual Report on Form 10-K. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward-looking statements. Factors that could cause or contribute to such differences include but are not limited to those discussed below and elsewhere in this Annual Report, particularly in the section entitled "Risk Factors" in both this Annual Report and in the Company's registration statement. Our audited financial statements are stated in United States Dollars and are prepared in accordance with United States Generally Accepted Accounting Principles.

The Company's current operations are relatively new, and to some extent, experimental. We have not generated any significant revenue to date. We have incurred recurring losses to date. Our financial statements have been prepared assuming that we will continue as a going concern and, accordingly, do not include adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary should we be unable to continue in operation.

We expect we will require additional capital to meet our long-term operating requirements. We expect to raise additional capital through, among other things, the sale of equity or debt securities.






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RESULTS OF OPERATION

Year Ended June 30, 2022, Compared to Year Ended June 30, 2021

Our net loss for the year ended June 30, 2022, was ($1,294,198) compared to a net loss of ($467,943) during the year ended June 30, 2021. The increase in the net loss was mainly due to a substantial increase in shares and warrants issued for services, including shares and warrants issued for services performed in previous years. During the years ended June 30, 2021, , we did not generate any revenue.

During the year ended June 30, 2022, we incurred operating expenses of $1,296,364 compared to $467,943 incurred during the year ended June 30, 2021. The increase was mainly due to an increase in shares issued for services.

During the year ended June 30, 2022, we incurred interest expenses of $0, compared to $0 incurred during the year ended June 30, 2021.

LIQUIDITY AND CAPITAL RESOURCES





Year Ended June 30, 2022

As of June 30, 2022, our current assets were $57,149 and our current liabilities were $138,954 which resulted in a working capital deficit of $81,805.

As of June 30, 2022, our total liabilities were $138,954 comprised entirely of current liabilities.

Cash Flows from Operating Activities

For the year ended June 30, 2022, net cash flows used in operating activities was ($233,321) compared to net cash flows received in operating activity of $0 for the same period in 2021.

Cash Flows used by Investing Activities

For the year ended June 30, 2022, net cash flows used by investing activities was $445,500 and June 30, 2021, net cash flows used by investing activities was $0.

Cash Flows from Financing Activities

For the year ended June 30, 2022, net cash flows from financing activities were $678,925. For the year ended June 30, 2021, net cash flows provided by financing activities was $0.

PLAN OF OPERATION AND FUNDING

We expect that working capital requirements will continue to be funded through a combination of proceeds from (a) the generation of revenues through the sales of bitcoin and other cryptocurrency sales and (b) the sales of stock. Our working capital requirements are expected to increase in line with the growth of our business.

Our principal demands for liquidity are to increase business operations and for general corporate purposes. We intend to meet our liquidity requirements, including capital expenditures related to future business operations, and the expansion of our business, through cash flow provided by funds raised through proceeds from the issuance of debt or equity.





MATERIAL COMMITMENTS

The Company, through its wholly owned subsidiary Raptor Mining, has contracts with two co-location cryptocurrency mining facilities. The first one is with Ace Host, a Tampa, Florida based facility, and the second one, which commenced subsequent to June 30, 2022, is with Simple Mining LLC, a Cedar Falls, Iowa based facility. While both of these contracts are month to month, Raptor will continue to need co-location facilities to host it mining equipment.

The Company purchased approximately $90,000 of mining equipment from Simple Mining, LLC in September 2022.






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PURCHASE OF SIGNIFICANT EQUIPMENT

During the next twelve months, the Company intends to acquire between fifty (50) and one hundred and fifty (150) ASIC miners per quarter. Although pricing for ASIC miners is generally directly related to the price of bitcoin, ASIC miners as of this Annual Report cost between $7,500 and $12,000 per ASIC miner.

CRITICAL ACCOUNTING POLICIES

Our financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.

We regularly evaluate the accounting policies and estimates that we use to prepare our financial statements. A complete summary of these policies is included in the notes to our financial statements. In general, management's estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from those estimates made by management.

OFF-BALANCE SHEET ARRANGEMENTS

As of the date of this Annual Report, we do not have any off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that are material to investors.





GOING CONCERN

The independent auditors' report accompanying our June 30, 2022, and June 30, 2021, financial statements contain an explanatory paragraph expressing substantial doubt about our ability to continue as a going concern. The financial statements have been prepared "assuming that we will continue as a going concern," which contemplates that we will realize our assets and satisfy our liabilities and commitments in the ordinary course of business. We have suffered recurring losses from operations and have a working capital deficit. These factors raise substantial doubt about our ability to continue as a going concern.

RECENTLY ISSUED ACCOUNTING STANDARDS

Our financial statements and accompanying notes have been prepared in accordance with United States generally accepted accounting principles applied on a consistent basis. The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods.

We regularly evaluate the accounting policies and estimates that we use to prepare our financial statements. A complete summary of these policies is included in the notes to our financial statements. In general, management's estimates are based on historical experience, on information from third party professionals, and on various other assumptions that are believed to be reasonable under the facts and circumstances. Actual results could differ from those estimates made by management.

Management does not believe that any other recently issued, but not yet effective accounting pronouncements, if adopted, would have a material effect on the accompanying consolidated financial statements.

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