Eightco Holdings Inc.

ITEM 1. LEGAL PROCEEDINGS

From time to time, the Company is party to legal actions that are routine and incidental to its business. However, based upon available information and in consultation with legal counsel, management does not expect the ultimate disposition of any or a combination of these actions to have a material adverse effect on the Company’s assets, business, cash flow, condition (financial or otherwise), liquidity, prospects and/or results of operations.

As discussed in Note 7 — Accounts Receivable to the condensed consolidated financial statements included in this Quarterly Report, during the six months ended June 30, 2026, the Company’s largest customer experienced a significant deterioration in its financial condition, and the Company recognized a receivable and corresponding allowance in connection with the disposition of Company-funded inventory by the customer without authorization. The Company is engaged in ongoing discussions with the customer regarding the resolution of outstanding amounts and is evaluating alternatives to recover its economic exposure. As of the date of this Quarterly Report, no legal proceedings have been commenced by or against the Company with respect to this matter, and the Company can provide no assurance as to the ultimate outcome or timing of any recovery.