---
schema_version: "secwatch.filing_event.v1"
accession: "0001493152-23-007448"
form_type: "8-K"
ticker: "CRCW"
cik: "0001688126"
company_name: "Crypto Co"
filed_at: "2023-03-13T23:59:59+00:00"
generated_at: "2026-06-18T04:34:08.134131+00:00"
event_type: "debt"
sentiment: "negative"
materiality_score: 0.6
calibrated_materiality_score: 0.6
confidence: "high"
source: SEC EDGAR
---

# Crypto Co. issues $54K convertible note with 65% discount conversion; extends other debt

## Summary
- Borrowed $54,250 from 1800 Diagonal Lending via convertible note due March 2024, 10% interest (22% default).
- Conversion price set at 65% of lowest 10-day VWAP before conversion, subject to 4.99% ownership cap.
- Prepayment penalties escalate from 115% to 125% over 180 days; after that, mutual consent required.
- Extended maturity of AJB Capital and Efrat Investments notes to Jan 2024; amended warrants to $0.50 and issued new prefunded warrants.
- Note is secured by a significant asset disposal restriction and contains standard events of default.

## SEC filing metadata
- accession: 0001493152-23-007448
- form_type: 8-K
- ticker: CRCW
- cik: 0001688126
- company_name: Crypto Co
- filed_at: 2023-03-13T23:59:59+00:00
- event_type: debt
- sentiment: negative
- materiality_score: 0.6
- calibrated_materiality_score: 0.6
- confidence: high
- sec_items: 1.01, 2.03, 3.02
- EDGAR index: https://www.sec.gov/Archives/edgar/data/1688126/000149315223007448/0001493152-23-007448-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/1688126/000149315223007448/form8-k.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0001493152-23-007448
- JSON: https://secwatch.observer/filing/0001493152-23-007448.json
- Plain text: https://secwatch.observer/filing/0001493152-23-007448.txt

## Key facts
- Material Agreements
  Crypto Co entered into Maturity Extension Agreement with AJB Capital Investments with AJB Capital Investments, LLC valued at extended maturity date of promissory note from May 2022 to January 15, 2024, amended exercise price (effective 2023-03-13).
  - Action: entry
  - Counterparty: AJB Capital Investments, LLC
  - Value: extended maturity date of promissory note from May 2022 to January 15, 2024, amended exercise price
  - Effective: 2023-03-13
  source text: Separate from the entry into the SPA with Diagonal, effective March 13, 2023, the Company and AJB Capital Investments, LLC (“AJB”) entered into an agreement whereby, among other things, AJB agreed to extend the maturity date of the promissory note issued to AJB in May 2022 to January 15, 2024, and with all accrued and unpaid interest and principal to be due at maturity.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1688126/000149315223007448/0001493152-23-007448-index.htm
- Material Agreements
  Crypto Co entered into Securities Purchase Agreement with 1800 Diagonal Lending, LLC valued at principal amount $54,250 convertible promissory note, 10% interest, default interest 22%, conversion (effective 2023-03-07).
  - Action: entry
  - Agreement: credit facility
  - Counterparty: 1800 Diagonal Lending, LLC
  - Value: principal amount $54,250 convertible promissory note, 10% interest, default interest 22%, conversion
  - Effective: 2023-03-07
  source text: Effective March 7, 2023, The Crypto Company (the “Company”) borrowed funds pursuant to a Securities Purchase Agreement (the “SPA”) entered into with 1800 Diagonal Lending, LLC (“Diagonal”), and Diagonal purchased a convertible promissory note (the “Note”) from the Company in the aggregate principal amount of $54,250.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1688126/000149315223007448/0001493152-23-007448-index.htm
- Material Agreements
  Crypto Co entered into Maturity Extension Agreement with Efrat Investments with Efrat Investments, LLC valued at extended maturity date of promissory note from April 2022 to January 15, 2024, amended exercise pric (effective 2023-03-13).
  - Action: entry
  - Counterparty: Efrat Investments, LLC
  - Value: extended maturity date of promissory note from April 2022 to January 15, 2024, amended exercise pric
  - Effective: 2023-03-13
  source text: Additionally, effective March 13, 2023, the Company and Efrat Investments, LLC (“Efrat”) entered into an agreement whereby, among other things, Efrat agreed to extend the maturity date of the promissory note issued to Efrat in April 2022 to January 15, 2024, and with all accrued and unpaid interest and principal to be due at maturity.
  evidence_url: https://www.sec.gov/Archives/edgar/data/1688126/000149315223007448/0001493152-23-007448-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.