What changed in this filing

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Item 1. Business

2024-04-01 compared with 2023-03-31 · 194 added, 215 removed, 63 unchanged (87% of the section changed)

Holdings Inc.

(“Dominari”) is a holding company that, through its various subsidiaries, is engaged in financial services,

investment advising and wealth management, asset management, investment banking, the acquisition of interests in high growth industries,

and biotechnology and pharmaceutical research and development.

In addition to capital investment, Dominari provides management

support to the executive teams of its subsidiaries, helping them to operate efficiently and reduce cost under a streamlined infrastructure.

and its subsidiaries are collectively referred to herein as “Company”, “we”, “our” or “us”.

Dominari Holdings Inc.

(“Dominari”) is a holding company that, through its various subsidiaries, is engaged in wealth management, investment banking,

sales and trading and asset management.

In addition to capital investment, Dominari provides management support to the executive

teams of its subsidiaries, helping them to operate efficiently and reduce cost under a streamlined infrastructure.

Dominari and its

subsidiaries are collectively referred to herein as “Company,” “we,” “our” or “us.”

Dominari Financial Inc.

(“Dominari Financial”), our wholly-owned

financial subsidiary, is the M&A arm of Dominari and will execute the Company’s roll-up strategy in the financial sector.

roll-up strategy seeks to acquire third-party financial assets such as registered investment advisors, broker dealers, asset management

firms and fintech firms.

Our first transaction in furtherance of our financial roll-up strategy, the acquisition of 100% of a registered

broker-dealer from Fieldpoint Private Bank & Trust, was consummated on March 27, 2023.

The newly acquired dually registered broker-dealer

and investment adviser will be renamed Dominari Securities, LLC (“Dominari Securities”) and is a wholly-owned subsidiary of

(“Dominari Financial”),

Dominari Securities will provide wealth management services, asset management services, investment banking and sales

a wholly-owned subsidiary of Dominari Holdings Inc., executes the Company’s growth strategy in the financial services industry.

In addition to organic growth, Dominari Financial seeks partnership opportunities and acquisitions of third-party financial assets such

as registered investment advisors and businesses, broker dealers, asset management and fintech firms, and insurance brokers.

transaction in furtherance of our growth in the financial services industry, the acquisition of 100% of a dually-registered broker dealer

and investment advisor from Fieldpoint Private Bank & Trust (“Fieldpoint”), was consummated on March 27, 2023.

acquired dually registered broker-dealer and investment adviser was renamed Dominari Securities LLC (“Dominari Securities”)

and is a wholly-owned subsidiary of Dominari Financial.

The Company is in the process of winding down

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These biotechnology assets consist of patented technology from

leading universities and researchers, including prospective treatments for pancreatic cancer, acute myeloid leukemia and acute lymphoblastic

The Company is also developing a broad-spectrum antiviral platform, in which the lead compounds have activity in

cell-based assays against multiple viruses including Influenza virus, Ebolavirus and Marburg virus, SARS-CoV, MERS-CoV, and SARS-CoV-2,

the cause of COVID-19.

Company was founded in 1967 as Spherix Incorporated.

leading universities and researchers, including prospective treatments for pancreatic cancer, acute myeloid leukemia, SARS-CoV-2 and acute

lymphoblastic leukemia.

The Company was founded in 1967 as Spherix Incorporated.

In 2017, the Company changed its name to AIkido Pharma Inc.

From 2017 to 2022, the

Company operated as a biotechnology company with a diverse portfolio of small-molecule anticancer and antiviral therapeutics in development.

During the second half of 2022, in an effort to enhance shareholder value, the Company shifted its primary focus away from biotechnology

to a new line of business in the financial services industry.

In furtherance of this new focus, in June of 2022, the Company formed

Dominari Financial, with the purpose of making strategic acquisitions across the financial services industry.

On December 22, 2022, the

Company changed its name to Dominari Holdings Inc.

September 9, 2022, we entered into a membership interest purchase agreement (the “FPS Purchase Agreement”) with Fieldpoint

Private Bank & Trust (“Seller”), a Connecticut bank, for the purchase of its wholly owned subsidiary, Fieldpoint Private

Securities, LLC, a Connecticut limited liability company (“FPS”) and broker-dealer registered with the Financial Industry

Regulatory Authority (“FINRA”).

Pursuant to the terms of the FPS Purchase Agreement, we purchased from the Seller

100% of the membership interests in FPS (the “Membership Interests”) and, as a result thereof, will operate the newly acquired

dual registered broker-dealer and investment adviser as a wholly owned subsidiary.

The FPS Purchase Agreement provided for Dominari’s

acquisition of FPS’s Membership Interests in two closings, the first of which occurred on October 4, 2022 (the “Initial

Closing”), at which Dominari paid to the Seller $2,000,000 in consideration for a transfer by the Seller to Dominari of 20% of

the Membership Interests.

Following FINRA’s approval of the Continuing Membership Application pursuant to FINRA Rule

1017 (the “Rule 1017 Application”) on March 20, 2023, the second closing occurred on March 27, 2023 (the “Second Closing”),

at which time Dominari paid to the Seller an additional $1.00 in consideration for a transfer by the Seller to Dominari of the remaining

80% of the Membership Interests.

From 2017 to 2022, the Company operated as a biotechnology company with a

diverse portfolio of small-molecule anticancer and antiviral therapeutics in development.

During the second half of 2022, in an effort

to enhance stockholder value, the Company shifted its primary focus away from biotechnology to a new line of business in the financial

services industry.

In furtherance of this new focus, in June of 2022, the Company formed Dominari Financial Inc., with the purpose

of making strategic acquisitions across the financial services industry.

On December 22, 2022, the Company changed its name to Dominari

Holdings Inc.

On September 9, 2022, we entered into a membership

interest purchase agreement (the “FPS Purchase Agreement”) with Fieldpoint, a Connecticut bank, for the purchase of its wholly

owned subsidiary, Fieldpoint Private Securities, LLC, a Connecticut limited liability company (“FPS”) and dually-registered

broker-dealer and investment advisor registered with the Financial Industry Regulatory Authority (“FINRA”) and the Securities

and Exchange Commission (“SEC”).

Pursuant to the terms of the FPS Purchase Agreement, we purchased from Fieldpoint 100% of

the membership interests in FPS (the “Membership Interests”) and, as a result thereof, operate the newly acquired dual registered

broker-dealer and investment adviser as a wholly owned subsidiary of Dominari Financial Inc.

The FPS Purchase Agreement provided

for Dominari’s acquisition of FPS’s Membership Interests in two closings, the first of which occurred on October 4, 2022,

at which Dominari paid Fieldpoint $2,000,000 in consideration for a transfer by Fieldpoint to Dominari of 20% of the Membership Interests.

Following FINRA’s approval of the Continuing Membership Application pursuant to FINRA Rule 1017 (the “Rule 1017 Application”)

on March 20, 2023, the second closing occurred on March 27, 2023, at which time Dominari paid Fieldpoint an additional $1.4 million in consideration

for a transfer by Fieldpoint to Dominari of the remaining 80% of the Membership Interests.

Dominari Securities

plans to offer a broad range of broker-dealer and registered investment adviser services, commencing shortly after the completion of

its acquisition of FPS, which is expected to begin in April 2023, including:

Dominari Securities offers,

and plans to offer, a broad range of broker-dealer and registered investment adviser services.

Those services are discussed below and

include wealth management, investment banking, sales and trading, asset management and insurance products.

Wealth Management

Dominari Securities

plans to provide a comprehensive array of financial services to high-net-worth individuals and families, corporate executives, and public

and private businesses.

Clients will be able to choose a variety of ways to establish a relationship and conduct business, including

by establishing brokerage accounts with transaction-based pricing and/or investment advisory accounts with asset-based fee pricing.

Securities also plans to provide the following private client services:

Dominari Securities plans to offer full-service brokerage services covering investment alternatives, including exchange-traded

and over-the-counter corporate equity and debt securities, money market instruments, exchange-traded options, municipal bonds, mutual

funds, exchange-traded funds, and unit investment trusts.

Dominari Securities expects its revenue to be derived from commissions from

private clients through accounts with transaction-based pricing.

Dominari Securities will charge brokerage commissions on investment

products in accordance with a schedule which Dominari Securities plans to formulate.

Discounts will be made available to and will able

to be negotiated with customers based on transaction size and volume as well as a number of other factors.

Dominari Securities also plans to offer financial and wealth planning services which will include asset management, individual

and corporate retirement solutions, insurance and annuity products, IRAs and 401(k) plans, U.S.

stock plan services to corporate executives

and businesses, education savings programs, and trust and fiduciary services to individual and corporate clients through third-party

trust companies.

Dominari Securities, through its clearing partnerships, also intends to extend credit to its customers, collateralized by

securities and cash in the customer’s account, for a portion of the purchase price, and to receive income from interest on such extensions

of credit at interest rates derived from Dominari Securities’ posted rate as adjusted, from time to time.

Dominari Securities

also plans to offer discretionary and non-discretionary fee-based programs to provide tailored investment management solutions and services

to high-net-worth private clients, institutions and corporations and/or plans sponsored by them.

These will include, but will not be

limited to, portfolio management, manager research and due diligence through third party partners, asset allocation advice and financial

Dominari Securities plans to offer Portfolio management strategies and third-party investment management capabilities through

separately managed accounts, alternative investments and discretionary and non-discretionary portfolio management programs as well as

managed portfolios of mutual funds.

Platform support functions will include sales and marketing along with administrative services such

as trade execution, client services, records management and client reporting and performance monitoring.

Dominari Securities expects

to generate revenues through the receipt of investment advisory and transactional fees for advisory services and to also generate revenue

from fees earned through sharing arrangements with registered and private alternative investment vehicles.

Dominari Securities also expects

to earn investment advisory fees on all assets held in discretionary and non-discretionary asset-based programs.

These fees will be typically

billed monthly in advance, and will be calculated based on all fee-based assets under management balances at the end of the prior month.

Dominari Securities also expects to receive income from revenue-sharing arrangements that are derived from management and incentive fees

on alternative investments and will be calculated on a pre-determined basis with registered and private investment companies.

The Company’s

asset management services are expected to include:

Managed Accounts .

The Company plans to provide clients with fee-based programs:

(i) a unified managed account which allows multiple

investment managers, mutual funds and exchange-traded funds to be combined in a single custodial account;

and (ii) an asset review

dual contract program designed for clients seeking a direct contractual relationship with investment managers.

Discretionary

Advisory Accounts .

Dominari Securities plans to offer client-focused discretionary fee-based investment programs managed by

Dominari Securities advisors.

Non-Discretionary

Advisory Accounts .

Dominari plans to provide fee-based non-discretionary investment advisory services and consultation to clients.

Investments .

Dominari plans to offer high net worth and institutional investors the opportunity to participate in a wide range of

non-traditional investment strategies.

Strategies are expected to include single manager hedge funds, fund of funds, diversified private

equity funds and single investment late stage private equity funds.

Market Platform .

Through a collaborative effort among the firm’s business units, Dominari’s private market

platform will focus on sourcing private investments across various sectors.

Transactions are expected to cover the full spectrum of private

investments, including early stage, late stage, direct, co-investments, funds and secondary market transactions in debt, equity and hybrid

Dominari Securities provides

a comprehensive array of financial services to high-net-worth individuals and families, corporate executives, and public and private businesses.

Clients are able to choose a variety of ways to establish a relationship and conduct business, including by establishing brokerage accounts

with transaction-based pricing and/or investment advisory accounts with asset-based fee pricing.

Dominari Securities also provides the

following private client services:

Full-Service Brokerage .

Dominari Securities offers full-service brokerage services covering investment alternatives, including exchange-traded and over-the-counter

corporate equity and debt securities, money market instruments, exchange-traded options, municipal bonds, mutual funds, exchange-traded

funds, and unit investment trusts.

Wealth Planning .

Dominari Securities offers financial and wealth planning services, which include asset management, individual and corporate retirement

solutions, insurance and annuity products, IRAs and 401(k) plans, U.S.

stock plan services to corporate executives and businesses, education

savings programs, and trust and fiduciary services to individual and corporate clients through third-party trust companies.

Margin Lending .

Dominari Securities, through its clearing partnerships, extends credit to its customers, collateralized by securities and cash in the

customer’s account, for a portion of the purchase price, and receives income from interest on such extensions of credit at interest

rates derived from Dominari Securities’ posted rate as adjusted, from time to time.

Investment Banking

Dominari Securities’

investment banking division will provide strategic advisory services and capital markets products to emerging growth and middle market

The investment banking groups will focus on the consumer and retail, energy, financial institutions, healthcare, rental services,

technology, education, and transportation and logistics sectors.

investment banking division provides strategic advisory services and capital markets products to emerging growth and middle market businesses.

The investment banking groups focus on the consumer and retail, energy, financial institutions, healthcare, rental services, technology,

education, and transportation and logistics sectors.

Investment banking services include:

Dominari Securities will advise buyers and sellers on sales, divestitures, mergers, acquisitions, tender offers, privatizations,

spin-offs, joint ventures, restructurings and liability management.

Dominari Securities intends to provide dedicated senior bankers to

clients focusing throughout the financial advisory process, which combines our structuring and negotiating expertise with our industry

knowledge, extensive relationships and capital markets capabilities.

Capital Markets .

Dominari Securities will provide capital raising solutions for corporate clients through initial public offerings,

follow-on offerings, confidentially marketed public offerings, registered directs, private investments in public equity, private placements,

at-the-market offerings, and equity-linked offerings.

Financial Advisory .

Dominari Securities advises buyers and sellers on sales, divestitures, mergers, acquisitions, tender offers, privatizations, spin-offs,

joint ventures, restructurings and liability management.

Equities Capital Markets .

Dominari Securities provides capital raising solutions for corporate clients through initial public offerings, follow-on offerings, confidentially

marketed public offerings, registered directs, private investments in public equity, private placements, at-the-market offerings, and

equity-linked offerings.

Debt Capital Markets .

Dominari Securities plans to offer debt capital markets solutions for emerging growth and middle market companies.

Securities will focus on structuring and distributing public and private debt through financing transactions, including leveraged buyouts,

acquisitions, growth capital financings, recapitalizations and Chapter 11 exit financings.

Dominari Securities will also participate

in high yield debt and fixed and floating-rate senior and subordinated debt offerings.

Dominari Securities

will focus on structuring and distributing public and private debt through financing transactions, including leveraged buyouts, acquisitions,

growth capital financings, recapitalizations and Chapter 11 exit financings.

Dominari Securities expects to also participate in high yield

debt and fixed and floating-rate senior and subordinated debt offerings in the future.

Fund Placement .

Dominari Securities will provide alternative investment firms with a broad and deep portfolio of value-added services.

Services will

include bespoke strategic and tactical advisory as well as primary fundraises, co-investments and direct transactions.

Dominari Securities expects to provide alternative investment firms with a broad and deep portfolio of value-added services.

may include bespoke strategic and tactical advisory as well as primary fundraises, co-investments and direct transactions.

Debt Advisory &

Restructuring .

Dominari Securities will offer creative solutions to leveraged corporate issuers and credit investors.

Dominari Securities expects to offer creative solutions to leveraged corporate issuers and credit investors.

evaluate a full range of strategic alternatives, identify the appropriate structure and source of funds to provide our clients the ability

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Sales and Trading

We intend to provide

Dominari Securities provides

a broad range of sales and trading services to our clients.

Sales and trading services will include:

Institutional

Equity Sales and Trading .

Dominari Securities will act as an agent in the execution of its customers’ orders through our clearing

strategic partners.

Equity Derivatives and Index

Dominari Securities will offer listed equity and index options strategies for investors seeking to manage risk and

optimize returns within the equities market.

Institutional

Fixed Income Sales and Trading .

Dominari Securities will trade and in public and private debt (including sovereign debt) securities,

including investment and non-investment grade, distressed and convertible corporate securities as well as municipal securities through

our clearing partners.

In connection with both its trading and brokerage activities, Dominari Securities, through its clearing relationships, will

borrow securities to cover short sales and to complete transactions in which customers have failed to deliver securities by the required

settlement date and lend securities to other brokers and dealers for similar purposes.

Dominari Securities will earn interest on its

cash collateral provided and will pay interest on the cash collateral received less a rebate earned for lending securities.

Sales and trading services include:

Institutional Equity

Sales and Trading .

Dominari Securities acts as an agent in the execution of its customers’ orders through our strategic clearing

Equity Derivatives

and Index Options .

Dominari Securities offers listed equity and index options strategies for investors seeking to manage risk

and optimize returns within the equities market.

Institutional Fixed

Income Sales and Trading .

Dominari Securities offers trading in public and private debt (including sovereign debt) securities, including

investment and non-investment grade, distressed and convertible corporate securities through our clearing partners.

Securities Lending .

In connection with both its trading and brokerage activities, Dominari Securities, through its clearing relationships, expects to borrow

securities to cover short sales and to complete transactions in which customers have failed to deliver securities by the required settlement

date and lend securities to other brokers and dealers for similar purposes.

Dominari Securities expects to earn interest on its cash collateral

provided and pay interest on the cash collateral received less a rebate earned for lending securities.

Asset Management

Dominari Securities offers

discretionary and non-discretionary fee-based programs to provide tailored investment management solutions and services to high-net-worth

private clients, institutions and corporations and/or plans sponsored by them.

These include, but are not limited to, portfolio management,

manager research and due diligence through third party partners, asset allocation advice and financial planning.

Dominari Securities offers

portfolio management strategies and third-party investment management capabilities through separately managed accounts, alternative investments

and discretionary and non-discretionary portfolio management programs as well as managed portfolios of mutual funds.

Platform support

functions can include sales and marketing along with administrative services such as trade execution, client services, records management

and client reporting and performance monitoring.

Dominari Securities generates revenues through the receipt of investment advisory and

transactional fees for advisory services and from fees earned through sharing arrangements with registered and private alternative investment

Dominari Securities also earns investment advisory fees on assets held in discretionary and non-discretionary asset-based programs.

These fees are billed monthly in advance and are calculated based on all fee-based assets under management balances at the end of the

Dominari Securities also earns income from revenue-sharing arrangements that are derived from management and incentive fees

on alternative investments and calculates these on a pre-determined basis with registered and private investment companies.

The Company’s

asset management services include:

Separately Managed

Dominari Securities provides clients with fee-based programs:

(i) a unified managed account which allows multiple investment

managers, mutual funds and exchange-traded funds to be combined in a single custodial account;

and (ii) an asset review dual contract

program designed for clients seeking a direct contractual relationship with investment managers.

Discretionary Advisory

Dominari Securities offers client-focused discretionary fee-based investment programs managed by Dominari Securities

Non-Discretionary

Advisory Accounts .

Dominari Securities provides fee-based non-discretionary investment advisory services and consultation to clients.

Alternative Investments .

Dominari Securities offers high net worth and institutional investors the opportunity to participate in a wide range of non-traditional

investment strategies.

Strategies include single manager hedge funds, fund of funds, diversified private equity funds and single investment

late stage private equity funds.

Private Market Platform .

a collaborative effort among the Company’s business units, Dominari’s private market platform focuses on sourcing private

investments across various sectors.

Transactions are expected to cover the full spectrum of private investments, including early stage,

late stage, direct, co-investments, funds and secondary market transactions in debt, equity and hybrid securities.

Regulation in the United States

The financial services industry in which we will operate is subject

to extensive regulation.

In the U.S., the SEC is the federal agency responsible for the administration of federal securities laws.

addition, the Financial Industry Regulatory Authority, Inc.

The financial services industry in which we operate

is subject to extensive regulation.

In the U.S., the SEC is the federal agency responsible for the administration of federal securities

In addition, the Financial Industry Regulatory Authority, Inc.

(“FINRA”) is a self-regulatory organization (“SRO”)

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Broker-dealers are subject to SEC, FINRA, and

state securities regulations that cover all aspects of the securities business, including sales and trading methods, trade practices

among broker-dealers, use and safekeeping of customers’ funds and securities, capital structure and requirements, anti-money laundering

state securities regulations that cover all aspects of the securities business, including sales and trading methods, trade practices among

broker-dealers, use and safekeeping of customers’ funds and securities, capital structure and requirements, anti-money laundering

efforts, recordkeeping and the conduct of broker-dealer personnel including officers and employees (although state securities regulations

1 unchanged sentence

Registered investment advisors are subject to, among other requirements, SEC regulations concerning

marketing, transactions with affiliates, custody of client assets, disclosures to clients, conflict of interest, insider trading and

recordkeeping.

Additional legislation, changes in rules promulgated by the SEC, FINRA, and other SROs of which the broker-dealer is a

member, and state securities regulators, or changes in the interpretation or enforcement of existing laws or rules may directly affect

the operations and profitability of broker-dealers and investment advisors.

The SEC, FINRA, and state securities regulators and state

attorneys general may conduct administrative proceedings or initiate civil litigation that can result in adverse consequences for Dominari

Securities, its affiliates, including affiliated investment advisors, as well as its and their officers and employees (including, without

limitation, injunctions, censures, fines, suspensions, directives that impact business operations (including proposed expansions), membership

expulsions, or revocations of licenses and registrations).

marketing, transactions with affiliates, custody of client assets, disclosures to clients, conflict of interest, insider trading and recordkeeping.

Additional legislation, changes in rules promulgated by the SEC, FINRA, and other SROs of which the broker-dealer is a member, and state

securities regulators, or changes in the interpretation or enforcement of existing laws or rules may directly affect the operations and

profitability of broker-dealers and investment advisors.

The SEC, FINRA, and state securities regulators and state attorneys general may

conduct administrative proceedings or initiate civil litigation that can result in adverse consequences for Dominari Securities, its affiliates,

including affiliated investment advisors, as well as its and their officers and employees (including, without limitation, injunctions,

censures, fines, suspensions, directives that impact business operations (including proposed expansions), membership expulsions, or revocations

of licenses and registrations).

SEC Regulation Best Interest (“Reg BI”)

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duty when providing products and services to customers.

The SEC did not indicate an intent to pre-empt state regulation in this

area, and some of the state proposals would allow for a private right of action.

In the event out wealth management division makes recommendations

The SEC did not indicate an intent to pre-empt state regulation in this area,

and some of the state proposals would allow for a private right of action.

In the event our wealth management division makes recommendations

to retail customers, it will be required to comply with the obligations imposed under Reg BI and applicable state laws.

Regulatory Capital Requirements

Dominari Securities will be subject to financial

capital requirements that are set by regulation.

Dominari Securities is a registered broker-dealer and is required to maintain net capital

in an amount equal to SEC minimum financial requirements.

As a broker-dealer, Dominari Securities is subject to the SEC’s Uniform

Net Capital Rule (the “Net Capital Rule”).

Compliance with the Net Capital Rule could limit Dominari Securities’ operations,

such as underwriting and trading activities, and financing customers’ prime brokerage or other margin activities, in each case,

that could require the use of significant amounts of capital, limit its ability to engage in certain financing transactions, such as

repurchase agreements, and may also restrict its ability (i) to make payments of dividends, withdrawals or similar distributions or payments

to a stockholder/parent or other affiliate, (ii) to make a redemption or repurchase of shares of stock, or (iii) to make an unsecured

loan or advance to such shareholders or affiliates.

Dominari Securities is subject to financial capital

requirements that are set by regulation.

Dominari Securities is a registered broker-dealer and is required to maintain net capital in

an amount equal to SEC minimum financial requirements.

As a broker-dealer, Dominari Securities is subject to the SEC’s Uniform Net

Capital Rule 15c3-1 (the “Net Capital Rule”).

Compliance with the Net Capital Rule could limit Dominari Securities’

operations, such as underwriting and trading activities and financing customers’ prime brokerage or other margin activities, in

each case, that could require the use of significant amounts of capital, limit its ability to engage in certain financing transactions,

such as repurchase agreements, and may also restrict its ability (i) to make payments of dividends, withdrawals or similar distributions

or payments to a stockholder/parent or other affiliate, (ii) to make a redemption or repurchase of shares of stock, or (iii) to make an

unsecured loan or advance to such stockholders or affiliates.

Under the Exchange Act, state securities regulators

are not permitted to impose capital, margin, custody, financial responsibility, making and keeping records, bonding, or financial or

operational reporting requirements on registered broker-dealers that differ from, or are in addition to, the requirements in those areas

established under the Exchange Act, including the rules and regulations promulgated thereunder.

are not permitted to impose capital, margin, custody, financial responsibility, making and keeping records, bonding, or financial or operational

reporting requirements on registered broker-dealers that differ from, or are in addition to, the requirements in those areas established

under the Exchange Act, including the rules and regulations promulgated thereunder.

Regulation outside the United States

10 unchanged sentences

banking regulations and similar regulatory reform.

All aspects of our business are expected to be intensely competitive.

We will compete primarily with small to mid-size bank holding companies that engage in wealth management, investment banking and capital

markets activities as one of their lines of business and that have greater capital and resources than we do.

We will also compete against

other broker-dealers, asset managers and boutique firms.

We believe the principal factors that will drive our competitiveness in the future

will include our ability to:

All aspects of our business are, and are expected

to be, intensely competitive.

We compete primarily with small to mid-size bank holding companies that engage in wealth management, investment

banking and capital markets activities as one of their lines of business and that have greater capital and resources than we do.

also compete against other broker-dealers, asset managers and boutique firms.

We believe the principal factors that will drive our competitiveness

in the future will include our ability to:

provide differentiated insights to our clients that lead to better business outcomes;

attract, retain and

develop skilled professionals;

retain and develop skilled professionals;

deliver a competitive breadth of high-quality service offerings;

and to maintain a flat, nimble and entrepreneurial

culture built on immediacy and client service.

Cybersecurity

Cybersecurity presents

significant challenges to the business community in general, including to the financial services industry.

Increasingly, bad actors,

both domestic and international, attempt to steal personal data and/or interrupt the normal functioning of businesses through accessing

individuals' and companies' files and equipment connected to the internet.

Recent incidents have reflected the increasing sophistication

of intruders and their intent to steal personally identifiable information as well as funds and securities.

These intruders sometimes

use instructions that are seemingly from authorized parties but in fact, are from parties intent on attempting to steal.

In other instances

these intruders attempt to bypass normal safeguards and disrupt or steal significant amounts of information and then either release it

to the internet or hold it for ransom.

Regulators are increasingly requiring companies to provide heightened levels of sophisticated

Dominari Securities will maintain ongoing planning and systems to prevent any such attack from disrupting its services to clients

as well as to prevent any loss of data concerning its clients, their financial affairs, as well as Company privileged information.

of December 31, 2022, we have 7 full-time employees and 1 part-time employee, none of which are represented by a labor union or covered

by a collective bargaining agreement.

and to maintain a flat, nimble

and entrepreneurial culture built on immediacy and client service.

As of December 31, 2023, we had 26 full-time employees

and 2 part-time employees, none of which are represented by a labor union or covered by a collective bargaining agreement.

offers health insurance benefits to eligible employees.

Additional benefits offered by the Company depend on the employee position and

title, but may include a 401(k) retirement plan, short-term disability, Workers’ Compensation for qualifying illness or injury,

sick leave and paid vacation.

The Company also provides certain training for employees, such as New York State Harassment Prevention Training,

Cyber Security Awareness Training and some continuing education training.

Compared sentence by sentence after normalising whitespace, quotation marks, case and digits, so re-formatting and restated figures do not read as changed language. Wording changes appear as one removal and one addition. The current filing and the prior one are authoritative.

What changed 10-K

Item 1. Business