Z Squared Inc.
Key statistics
from XBRL data in SEC filingsAI briefing
from the latest 10-K, 10-Q and 8-K eventsZ Squared Inc. is a holding company that, after an April 2026 merger, pivoted from biopharmaceutical development to cryptocurrency mining while retaining a majority stake in GEAR Therapeutics.
What they do
Z Squared Inc. (formerly Coeptis Therapeutics Holdings, Inc.) completed a merger with Old Z Squared, Inc. on April 24, 2026, spinning out its legacy biopharmaceutical operations (Coeptis Therapeutics, Coeptis Pharmaceuticals, SNAP Biosciences) except for GEAR Therapeutics. The company now operates a fleet of approximately 9,800 ASIC mining machines (primarily Bitmain Antminer L7 and L9 units and ElphaPex DG1+ units) acquired via an asset-for-share exchange with BSG Series CM, LLC. It also retains a majority-owned subsidiary, GEAR Therapeutics, which is focused on cell therapy platforms for cancer, autoimmune, and infectious diseases, but which CHI (the spun-out entity) holds an option to acquire.
Revenue drivers
- Cryptocurrency mining (Mining Assets) — After the Merger, the company generates revenue from mining digital assets using its ASIC mining fleet. Reported quarterly revenue was $113,771 (March 2026) and $1.6M (June 2026).
- Biopharmaceutical operations (legacy) — Prior to the spin-out, revenue was essentially zero in fiscal 2021-2024, and $1.4M in 2025. These operations were spun out in April 2026, so they are no longer part of the company.
- GEAR Therapeutics (retained) — GEAR remains a majority-owned subsidiary, but under the GEAR Option, CHI can acquire it after October 24, 2026. It is not yet a revenue contributor.
Recent performance
For the quarter ended June 30, 2026, the company reported revenue of $1.6M, up from $113,771 in the prior quarter. Annual revenue was $1.4M in 2025, compared to $0 in 2024. Net losses have persisted: net income was -$11.9M in 2025 and -$10.7M in 2024. Operating cash flow was -$8.6M in 2025 and -$6.6M in 2024. As of June 30, 2026, the company had $15.5M in cash and equivalents, total assets of $134.5M, and total liabilities of $2.0M.
Strategy
The company executed a strategic pivot from biopharmaceutical R&D to cryptocurrency mining through the April 2026 merger with Old Z Squared, Inc. The spin-out of legacy biopharmaceutical assets (except GEAR) was designed to separate the two business lines, with BSG becoming the controlling shareholder (approximately 80% ownership). The company is also subject to negative covenants on GEAR until CHI's option expires, restricting certain actions without CHI's consent. Management has not yet disclosed specific mining growth plans in the provided filings.
Risks
- Concentration and control by BSG — BSG owns approximately 80% of outstanding shares, giving it significant control over corporate actions.
- Dependence on cryptocurrency markets — Revenue now derives from mining digital assets, exposing the company to volatile prices and energy costs.
- GEAR option and spin-out risks — CHI can acquire GEAR at fair market value starting in October 2026; the company may lose that subsidiary with limited recourse.
- Carryover of biopharmaceutical risks — Although spun out, the legacy biopharmaceutical operations faced significant development and regulatory risks, which may still affect the company's history and potential liabilities.
Outlook
Management has not provided specific forward guidance in the provided filings. The company is transitioning to a mining business, and its prospects depend on the performance of the ASIC fleet and cryptocurrency market conditions. The GEAR option becomes exercisable on October 24, 2026, which could further simplify the portfolio.