Fabric.AI, Inc.
FABCBusiness Summary
StableX Technologies, Inc. operates in the digital asset industry, having transitioned from electric vehicle manufacturing to a business model focused on digital asset treasury management, with a specific emphasis on acquiring crypto tokens that capitalize on the rapid growth of the stablecoin industry. The company views the stablecoin ecosystem as a rapidly growing segment of the global financial infrastructure and targets tokens associated with protocols, networks, and platforms that facilitate the issuance, transfer, custody, compliance, trading, lending, and scalability of stablecoins, an approach it describes as a "picks and shovels" strategy. The filing notes that stablecoins have demonstrated robust growth, with total market capitalization surpassing $280 billion as of mid-2025 and daily transaction volumes exceeding $10 trillion annually, and that the company's strategy assumes a three-to five-year horizon projecting five to ten times returns tied to stablecoin total value locked reaching $1 trillion by 2030.
The filing does not name specific primary competitors or provide market share data. The company's stated competitive advantages include its focus on infrastructure tokens that benefit asymmetrically from stablecoin growth, with historical data showing these tokens exhibiting 0.7–0.9 correlation coefficients with stablecoin market cap and often outperforming during expansion phases. The company's approach is intended to provide diversified, compounding returns aligned with the projected exponential expansion of stablecoins without direct exposure to stablecoin redemption risks.
The company generates revenue through capital appreciation driven by ecosystem growth, holding digital assets solely on a passive basis for treasury purposes with no current plans to stake any portion of its crypto assets. The company did not generate revenue during the year ended December 31, 2025. The company's primary customer segments are not explicitly defined in the filing, but its activities consist of digital asset treasury management and the management of marketable securities and cash resources, with limited EV re-engineering activities. The company operates as a single operating and reportable segment.
The company's investment strategy centers on acquiring digital assets (tokens) that provide essential infrastructure and enabling technologies for the stablecoin sector. Target assets include tokens representing blockchain networks, layer-1/layer-2 solutions, oracle services, interoperability bridges, exchanges, lending protocols, and compliance tools that underpin stablecoin operations. Examples include decentralized layer one tokens for issuance, decentralized tokens that create stablecoin exchanges, and decentralized lending protocols. The company has begun purchasing certain tokens including FLUID (a stablecoin swap exchange), LINK (an oracle for blockchains), INJ (a layer one token that has tools for issuing stablecoins and creating DeFi exchanges), and AAVE (a decentralized lending and borrowing platform). As of March 24, 2026, the company had purchased $1,150,000 1 of FLUID, $1,450,000 2 of INJ, $1,250,000 3 of LINK, and $250,000 4 of AAVE. The company is also considering holding U.S. dollar-denominated stablecoins for liquidity management, settlement and operational purposes.
The company's legacy electric vehicle operations have been paused, and it is re-engineering the Vanish vehicle to optimize its design and improve manufacturing efficiencies. As of December 31, 2025, the company held 11 5 granted United States patents, nine of which were granted in 2023, consisting of four design patents and seven utility patents, and had two pending patent applications on file with the USPTO. The company also owns more than 30 6 trademark registrations and pending applications. As of December 31, 2025, the company did not have any direct, full-time employees, instead engaging a network of independent contractors, consultants, and other third-party service providers.
For the fiscal year ended December 31, 2025, the company reported a net loss of approximately $21.8 million 7 compared to a net loss of $1.8 million 8 for the year ended December 31, 2024. As of December 31, 2025, the company had an accumulated deficit of approximately $139 million 9. The company did not generate revenue during the year ended December 31, 2025, compared to $63,777 10 in revenue for the year ended December 31, 2024. Operating expenses were $10,199,739 11 for 2025 compared to $12,789,809 12 for 2024. The change in fair value of warrant liability resulted in a loss of $11,627,100 13 in 2025 versus a gain of $10,956,900 14 in 2024. The change in fair value of derivative liability resulted in a gain of $2,854,000 15 in 2025 versus a gain of $6,739,000 16 in 2024. The company recorded an unrealized loss on digital assets of $2,151,001 17 in 2025.
Business Outlook
The company's primary growth vector is its multi-token investment strategy targeting the stablecoin industry. The company announced a target goal of acquiring up to $100 million 18 in crypto assets, subject to available capital, market conditions and regulatory considerations. The company plans to diversify its holdings with six to ten types of tokens representing different segments in the stablecoin infrastructure industry, including issuance, exchanges, lending, payments and oracles. The strategy assumes a three-to five-year horizon, projecting five to ten times returns tied to stablecoin total value locked reaching $1 trillion by 2030. The company intends to allocate cash proceeds from securities issuances to support ongoing operational expenses and the execution of such purchases.
A second growth vector involves forming alliances with stablecoin issuers or co-investment funds, where partners contribute capital in exchange for governance rights or revenue shares. The company also plans to continuously scan the landscape for opportunistic acquisition opportunities expected to either increase the scale of its treasury operations or help in the generation of income. The company intends to expand its treasury operations and consider additional capital raising activities, which may include the issuance of equity and equity-linked instruments such as convertible debt, in mid to late 2026.The company's operating expenses for 2025 were $10,199,739 19, and the company expects research and development expenses to increase in absolute dollars as it continues to invest in new and existing products. General and administrative expenses are expected to increase in absolute dollars as the company continues to invest in growing its business.
The company's plan of operation over the next twelve months is focused on the accumulation and management of tokens. In the initial stage (up to approximately six months), until early to mid 2026, the company plans to implement strategic initiatives to fund purchases of additional tokens, which may include conducting private placement offerings and issuing registered securities pursuant to registration statements on Form S-3 and/or Form S-1, with a focus on institutional investors. In the follow-on stage (6-12 months), the company plans to expand its treasury operations and consider additional capital raising activities. The company uses a third-party custodian, BitGo Trust Company, Inc., to store its crypto assets, with all digital assets (100%) 20 held in cold wallets.
The company's capital allocation plans include deploying capital into digital assets and marketable securities. The company purchased $4,100,000 21 in digital assets during the year ended December 31, 2025. The company intends to target $100 million 22 in crypto tokens that capitalize on the stablecoin industry. The company may also periodically sell crypto tokens for general corporate purposes, enter into additional capital raising transactions collateralized by digital asset holdings, and consider pursuing additional strategies to create income streams. The company does not provide specific R&D spending levels, capital expenditure plans, share repurchase authorization amounts, or dividend policy figures for the upcoming period.
The company faces significant headwinds including extreme price volatility in digital asset markets, which have historically experienced rapid and substantial decreases in value. The regulatory environment for digital assets, and stablecoins in particular, is rapidly evolving and subject to significant uncertainty in the United States and abroad. The company notes that the GENIUS Act, enacted in July 2025, creates a new federal regulatory framework for stablecoins but will not become effective until the earlier of January 18, 2027 or 120 days after final implementing regulations are issued, and its ultimate impact depends on how regulations are adopted and implemented. The company also faces risks related to custody, cybersecurity, and technology, as digital asset holdings are subject to theft, hacking, or loss of access due to private key mismanagement or third-party service provider failures.
The company identifies several constraints to its growth plan. The company's ability to achieve the objectives of its digital asset acquisition strategy depends in significant part on its ability to obtain equity and debt financing, which may depend on the value of its digital asset holdings, investor sentiment, and public perception of digital assets. The company may be unable to obtain such financings on favorable terms or at all. The company's digital assets holdings are less liquid than cash and cash equivalents and may not be able to serve as a source of liquidity to the same extent. The company also faces the risk that it could be deemed an "investment company" under the Investment Company Act of 1940, which would subject it to significant regulatory requirements and restrictions.
Risk Factors
The company faces material risks from its complete dependence on digital asset valuations, as a significant portion of its assets consists of digital assets and marketable securities that are subject to extreme price volatility, with the company recording an unrealized loss on digital assets of $2,151,001 23 in 2025. The company has a history of losses and has never been profitable, incurring a net loss of approximately $21.8 million 24 in 2025 and an accumulated deficit of approximately $139 million 25 as of December 31, 2025. The company's ability to execute its digital asset acquisition strategy depends on obtaining equity and debt financing, and it may be unable to obtain such financings on favorable terms or at all. The company faces significant regulatory uncertainty, including the risk of being deemed an "investment company" under the Investment Company Act of 1940, and the evolving regulatory framework for stablecoins under the GENIUS Act could impose additional compliance burdens. The company has identified a material weakness in its internal control over financial reporting, concluding that its internal control over financial reporting was not effective as of December 31, 2025 due to an inability to document, formalize, implement and revise controls, failure to document and test effective control activities, and insufficient segregation of duties.
Management Priorities
Management's message to shareholders emphasizes the strategic transition from electric vehicle manufacturing to a digital asset treasury management business model focused on the stablecoin industry. The company announced a target goal of acquiring up to $100 million 26 in crypto assets, subject to available capital, market conditions and regulatory considerations. The strategic priorities emphasized for the period ahead include: (i) implementing a multi-token investment strategy targeting six to ten diversified tokens representing different segments in the stablecoin infrastructure industry; (ii) conducting capital raising activities through private placements and registered offerings to fund additional token accumulation; and (iii) forming alliances with stablecoin issuers or co-investment funds. Management acknowledges that the company has never been profitable and expects to incur additional losses in the future, and that the company's historical operating results are not indicative of future performance due to the significant business model change.
View Source Annual Report on SEC.gov ↗
References
- [1] Item 1, Business — Tokens
- [2] Item 1, Business — Tokens
- [3] Item 1, Business — Tokens
- [4] Item 1, Business — Tokens
- [5] Item 1, Business — Intellectual Property
- [6] Item 1, Business — Trademarks
- [7] Item 1A, Risk Factors — We have a history of losses
- [8] Item 1A, Risk Factors — We have a history of losses
- [9] Item 1A, Risk Factors — We have a history of losses
- [10] Item 7, MD&A — Results of Operations
- [11] Item 7, MD&A — Results of Operations
- [12] Item 7, MD&A — Results of Operations
- [13] Item 7, MD&A — Results of Operations
- [14] Item 7, MD&A — Results of Operations
- [15] Item 7, MD&A — Results of Operations
- [16] Item 7, MD&A — Results of Operations
- [17] Item 7, MD&A — Results of Operations
- [18] Item 1, Business — Overview
- [19] Item 7, MD&A — Results of Operations
- [20] Item 1, Business — Custodial Account
- [21] Item 7, MD&A — Investing Activities
- [22] Item 7, MD&A — Liquidity and Capital Resources
- [23] Item 7, MD&A — Results of Operations
- [24] Item 1A, Risk Factors — We have a history of losses
- [25] Item 1A, Risk Factors — We have a history of losses
- [26] Item 1, Business — Overview
- [27] Item 7, MD&A — Results of Operations
- [28] Item 7, MD&A — Results of Operations
- [29] Item 7, MD&A — Results of Operations
- [30] Item 7, MD&A — Results of Operations
- [31] Item 7, MD&A — Results of Operations
- [32] Item 7, MD&A — Results of Operations
- [33] Item 7, MD&A — Results of Operations
- [34] Item 7, MD&A — Results of Operations
- [35] Item 7, MD&A — Results of Operations
- [36] Item 7, MD&A — Results of Operations
- [37] Item 7, MD&A — Results of Operations
- [38] Item 7, MD&A — Results of Operations
- [39] Item 7, MD&A — Results of Operations
- [40] Item 7, MD&A — Liquidity and Capital Resources
- [41] Item 7, MD&A — Liquidity and Capital Resources
- [42] Item 7, MD&A — Liquidity and Capital Resources
- [43] Item 7, MD&A — Liquidity and Capital Resources
- [44] Item 7, MD&A — Liquidity and Capital Resources
- [45] Item 7, MD&A — Liquidity and Capital Resources
- [46] Item 7, MD&A — Liquidity and Capital Resources
- [47] Item 7, MD&A — Summary of Cash Flows
- [48] Item 7, MD&A — Summary of Cash Flows
- [49] Item 7, MD&A — Summary of Cash Flows
- [50] Item 7, MD&A — Summary of Cash Flows
- [51] Item 7, MD&A — Summary of Cash Flows
- [52] Item 7, MD&A — Summary of Cash Flows
- [53] Item 7, MD&A — Results of Operations
- [54] Item 7, MD&A — Investing Activities
- [55] Item 7, MD&A — Financing Activities
- [56] Item 7, MD&A — Financing Activities
Analysis on 6/21/2026