What changed in this filing

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Item 1. Business

2024-10-22 compared with 2022-08-17 · 564 added, 945 removed, 87 unchanged (95% of the section changed)

(together with

its consolidated subsidiaries (unless the context otherwise requires), referred to herein as “Document Security Systems,”

“DSS,” “we,” “us,” “our” or the “Company”) currently operates nine

distinct business lines operate around the globe with primary operations in North America and Asia.

The nine divisions

(together with its consolidated subsidiaries (unless the context otherwise requires), referred to herein as “DSS,”

“we,” “us,” “our” or the “Company”, currently operates five distinct business lines

operate around the globe with primary operations in North America and Asia.

The six divisions are:

Biotechnology,

and Investment Management,

Transformation,

of these business lines are in various stages of development, growth, and income generation.

Because of these varying degrees of business

cycle growth, including the size of the revenues and assets acquired, the Company currently financially reports only on five of these

operating segments.

and Investment Management, and

Direct Marketing,

Each of these business lines are in various

stages of development, growth, and income generation.

Due to these variations in the business cycle, including differences in revenue

and assets acquired, the company is currently reporting financial information for five of these operating segments:

Biotechnology,

1 unchanged sentence

and Investment Management

the other divisions grow and start generating material operations and revenue, those operating segments will be added to our financial

segmental reporting .

divisions, their business lines, subsidiaries, and operating territories:

Product Packaging:

The Company’s consumer packaging and security printing business is led by its wholly owned subsidiary, Premier Packaging Corporation,

As the other divisions grow and start

generating material operations and revenue, those operating segments will be added to our financial segmental reporting .

Our divisions, their business lines,

subsidiaries, and operating territories:

The Company’s consumer packaging and security printing business is led by its wholly owned subsidiary, Premier

Packaging Corporation, Inc.

(“Premier”), a New York corporation.

Premier operates in the paper board and fiber based folding carton, consumer product

packaging, and document security printing markets.

It markets, manufactures, and sells sophisticated custom folding cartons, mailers,

photo sleeves and complex 3-dimensional direct mail solutions.

Premier is currently located in its new facility in Rochester, NY, and

primarily serves the US market.

Premier operates in the paper board and fiber based

folding carton, consumer product packaging, and document security printing markets.

It markets, manufactures, and sells sophisticated

custom folding cartons, mailers, photo sleeves and complex 3-dimensional direct mail solutions.

Premier is currently located in its

new facility in Rochester, NY, and primarily serves the US market.

Biotechnology:

(“Biotech”) Biotechnology, a science-driven industry sector that uses living

organisms and molecular biology to produce healthcare-related products, progressed on multiple

fronts in 2021.

This business line was created to invest in or acquire companies in the BioHealth

and BioMedical fields, including businesses focused on the advancement of drug discovery

and prevention, inhibition, and treatment of neurological, oncological, and immune related

This division is also targeting unmet, urgent medical needs, and is developing

open-air defense initiatives, which curb transmission of air-borne infectious diseases, such

as tuberculosis and influenza.

We had a productive year including key patent awards, the

advancement of key programs, the release of positive study results, and several projects

now in global licensing discussions.

Assets of this group are organized under the holding

company, DSS BioHealth Security, Inc.

Its subsidiaries are currently operating in Houston,

TX and Rochester, NY.

The group also has a research facility in Winter Haven, Florida.

(“Direct”) Led by the holding corporation, Decentralized Sharing

Systems, Inc.

(“Decentralized” provides services to assist companies in the emerging

growth “Gig” business model of peer-to-peer decentralized sharing marketplaces).

Direct specializes in marketing and distributing its products and services through its subsidiary

and partner network, using the popular gig economic marketing strategy as a form of direct

Direct’s products include, among other things, nutritional and personal

care products sold throughout North America, Asia Pacific, Middle East, and Eastern Europe.

Over the past 12 months, Direct has made substantial investments in acquiring marketing software,

product opportunities, and operational capabilities in this marketplace.

Additionally, it

has developed an independent contractor sales force and affiliate marketing program.

also made substantial investments into other direct marketing companies, including a December

2021 increased investment and controlling interest in Sharing Services Global (OTCQB:

with nearly 60 percent ownership.

The SHRG platform leverages the capabilities and expertise

of various companies that market and sell products direct to the consumer and generated over

$41 million in total revenue in 2021.

Currently, Direct and SHRG operate offices in USA,

Canada, Hong Kong, Singapore, S.

Korea, Australia, New Zealand, Malaysia, and Singapore.

Decentralized sharing systems’ mission is to become the leading direct sales platform

for training, development, and empowerment of leaders on a global scale to achieve maximum

human and economic potential.

American Pacific Bancorp (“APB”), is organized for the purposes

of being a financial network holding company, focused on acquiring equity positions in (i)

undervalued commercial bank(s), bank holding companies and nonbanking licensed financial

companies operating in the United States, South East Asia, Taiwan, Japan and South Korea,

and (ii) companies engaged in—nonbanking activities closely related to banking, including

loan syndication services, mortgage banking, trust and escrow services, banking technology,

loan servicing, equipment leasing, problem asset management, SPAC (special purpose acquisition

company) consulting services, and advisory capital raising services.

From this financial

platform, the Company shall provide an integrated suite of financial services for businesses

that shall include commercial business lines of credit, land development financing, inventory

financing, third party loan servicing, and services that address the financial needs of the

world Gig Economy.

(“Biotech”) Biotechnology, a science-driven industry sector that uses living organisms and molecular biology to produce

healthcare-related products, progressed on multiple fronts in 2021.

This business line was created to invest in or acquire companies

in the BioHealth and BioMedical fields, including businesses focused on the advancement of drug discovery and prevention, inhibition,

and treatment of neurological, oncological, and immune related diseases.

This division is also targeting unmet, urgent medical needs,

and is developing open-air defense initiatives, which curb transmission of air-borne infectious diseases, such as tuberculosis and

We had a productive year including key patent awards, the advancement of key programs, the release of positive study results,

and several projects now in global licensing discussions.

Assets of this group are organized under the holding company, DSS BioHealth

Security, Inc.

Its subsidiaries are currently operating in Houston, TX and Rochester, NY.

The group also has a research facility

in Winter Haven, Florida.

American Pacific Bancorp, Inc.

(“APB”) represents our banking and financing

business line.

During 2023, APB issued more than $14 million in new loans, and over $4 million in renewal loan to customers with

strong credit quality across a diverse portfolio of businesses.

Looking ahead, to better meet the needs of the current financial

market, the company is looking to transition away from certain industries like direct marketing and focus more on growing its inventory

/ equipment loan portfolio as well as engaging in more specialized areas of lending like broker/dealer loans.

We will continue to

monitor our managed loan portfolio of more than $22 million, which earns 1.25% annually in service charges, and explore future opportunities.

Importantly, the equity portfolio as a bank holding company is anticipated to remain relatively stable, regardless of stock market

fluctuations.

and Investment Management:

In 2021, DSS expanded its DSS Securities, Inc.

business through

its wholly owned subsidiary DSS Financial Management Inc.’s launch of Liquid Value

Asset Management Limited (“LVAM”), a fund management company domiciled in Hong

LVAM’s algorithmic trading includes short- and long-term trades while offering

the unique attribute of being able to liquidate the portfolio into cash within minutes under

normal market conditions.

LVAM is positioned as a prime vehicle for private and institutional

investors seeking a highly liquid investment fund with extremely attractive risk adjusted

returns relative to the volatility and unpredictability of the markets.

We have also expanded

with strategic investments in three broker dealers;

WestPark Capital, BMICI, and Sentinel

Additionally, we have become the RIA for DSS AmericaFirst Quantitative Funds (DSS

In 2023, DSS continued our strategic investments in three broker dealers;

WestPark Capital, BMI Capital

Investments, and Sentinel Brokers Company, Inc.

Additionally, we have become the Registered Investment Advisor (“RIA”) for DSS AmericaFirst Quantitative Funds (DSS

AmericaFirst) family.

This group of businesses is led by its holding company, DSS Securities,

Inc., (“DSS Securities”) and the group is currently headquartered in Houston,

Texas, with operations in Chicago, Illinois, Sacramento, California, Los Angeles, California,

and New York, NY.

Also in this segment is the Company’s real estate investment trust

(“REIT”), organized for the purposes of acquiring hospitals and other acute or

post-acute care centers from leading clinical operators with dominant market share in secondary

and tertiary markets, and leasing each property to a single operator under a triple-net lease.

The REIT was formed to originate, acquire, and lease a credit-centric portfolio of licensed

medical real estate.

This group is headquartered in Houston, Texas.

Trading”) This Division was established to develop and/or

acquire assets and investments in the securities trading and/or funds management arena.

Trading, in partnership with recognized global leaders in alternative trading systems, intends

to own and operate in the US a single or multiple vertical digital asset exchanges for securities,

tokenized assets, utility tokens, and cryptocurrency via an alternative trading platform

using blockchain technology.

The scope of services within this section is planned to include

asset issuance and allocation (securities and cryptocurrency), FPO, IPO, ITO, PPO, and UTO

listings on a primary market(s), asset digitization/tokenization (securities, currency, and

cryptocurrency), and the listing and trading of digital assets (securities and cryptocurrency)

on a secondary market(s).

This group of businesses is led by its holding company, DSS Securities, Inc., (“DSS Securities”)

and the group is currently headquartered in Houston, Texas, with operations in Chicago, Illinois, Sacramento, California, Los Angeles,

California, and New York, NY.

Also in this segment is the Company’s real estate investment trusts (“REITs”), organized

for the purposes of acquiring hospitals and other acute or post-acute care centers from leading clinical operators with dominant

market share in secondary and tertiary markets, and leasing each property to a single operator under a triple-net lease.

was formed to originate, acquire, and lease a credit-centric portfolio of licensed medical real estate.

This group is headquartered

in Houston, Texas.

Trading”) This Division was established to develop and/or acquire assets and investments in the securities

trading and/or funds management arena.

Trading, in partnership with recognized global leaders in alternative trading systems,

intends to obtain a broker-dealer license and launch an Alternative Trading System (“ATS”).

The ATS, focusing on financial

market inefficiencies, will utilize a blockchain based financial market infrastructure (‘FMI’) that will trade digital

asset securities exempt from registration, or ‘private securities’.

The digital FMI will allow for T+0 settlement, which

USX believes can be used to attract liquidity.

The platform will generate trading liquidity for the ‘middle’ market –

companies that are seeking to raise under $150M USD, can pursue private placements, which have lower compliance costs that public

USX Holdings Company, Inc.

(“USX”), a subsidiary of

the DSS Blockchain, Inc., is a joint venture between the GSX Group, Coinstreet Partners and

and is comprised of 3 key subsidiary segments that include USX Securities, Inc.

(an Alternative Trading System or ATS), USX Digital, Inc.

(a Money Service Business or MSB)

and dedicated digital assets Broker Dealer.

This joint venture is currently in the planning

Trading division is currently headquartered in Houston, TX.

Transformation:

(“Digital”) This Division was established to be a Preferred

Technology Partner and Application Development Solution for mid cap brands in various industries

including the direct selling and affiliate marketing sector.

Digital improves marketing,

communications and operations processes with custom software development and implementation.

Digital utilizes data to determine the most effective technological tools such as cognitive

systems, predictive analytics, cloud-based applications, and online collaborative platforms

to build custom applications that automate and improve the everyday needs of the industries

Digital Transformation is currently headquartered in Hong Kong.

(“Secure Living”) This Division has developed a plan for fully sustainable,

secure, connected, and healthy living communities with homes incorporating advanced technology,

energy efficiency, and quality of life living environments both for new construction and

renovations for single and multi-family residential housing.

Secure Living is currently working

with several land development partners throughout the U.S.

to develop entire fully sustainable,

healthy living single-family subdivisions.

Secure Living is currently headquartered in Houston,

(“Energy”) This group was established to help lead the Company’s

future in the clean energy business that focuses on environmentally responsible and sustainable

Alset Energy, Inc, the holding company for this group, and its wholly owned subsidiary,

Alset Solar, Inc., pursue utility-scale solar farms to serve US regional power grids and

to provide underutilized properties with small microgrids for independent energy.

to solar farms, solar battery banks, and residential energy creation and storage, Alset Energy

also identifies alternative energy opportunities for investment and development.

is to be a powerful force in the mitigation of the negative effects of climate change by

reducing air pollution and expanding access to clean energy for all, while contributing to

global economic well-being.

Alset Energy is currently headquartered in Houston, Texas and

seeking market opportunities in the US sunbelt areas, but specifically in Texas, Arizona,

New Mexico, and Florida.

following is a summary of the DSS reported transactions and investments since January 2021 that reflect the active advancements

and investments in these business lines:

January 14, 2021, DSS announced its wholly owned subsidiary Impact BioMedical, Inc.

BioMedical”) received notice of allowance from the U.S.

Patent and Trademark Office (“USPTO”) for a [method/composition]

patent for its proprietary 3F Biofragrance.

3F Biofragrance is a unique formulation of specialized ingredients (e.g.

terpenes) from botanical

sources with demonstrated effect as an insect repellent and an antimicrobial.

The latest patent allowance (U.S.

Patent Application No.:

16/593,693) provides intellectual property protection for the method of use of 3F Biofragrance as an insect repellent.

3F Biofragrance

repellent contains botanical ingredients that mosquitoes avoid.

This can be utilized as a stand-alone repellent or as an additive in

detergents, lotions, shampoo, and other substances to provide mosquito protection.

January 19, 2021, Impact BioMedical entered into an investment and distribution agreement with Nano9

Labs, LLC (“Nano9”), an R&D and contract manufacturing company specializing in the development of nano-sized nutraceutical

products and ingredients.

Nano9’s proprietary three-stage process enables the creation of nano particles out of ingredients that

traditionally have low to no bioavailability.

Founded in 2018, and after two years of improving its technology, Nano9 launched its first

product to market in the spring of 2020.

Currently Nano9 produces products for 16 companies in four countries.

January 19, 2021, DSS announced the pricing of an upsized underwritten public offering with gross proceeds

to the Company expected to be approximately $24.0 million, before deducting underwriting discounts and commissions and other estimated

offering expenses payable by the Company.

The public offering equates to 6,666,666 shares of the Company’s common stock at a price

of $3.60 per share.

The Company intends to use the net proceeds from this offering, together with their existing cash, to fund the development

and growth of new business lines, acquisition opportunities, and general corporate and working capital needs.

January 28, 2021, DSS announced the underwriter of its previously announced public offering of 6,666,666

common shares, has exercised its full over-allotment option to purchase an additional 1,000,000 common shares of the Company.

to the public in the offering was $3.60 per share and the gross proceeds to the Company from the exercise of the over-allotment option

were $3,600,000 before deducting underwriting discounts and commissions and other estimated offering expenses.

The total gross proceeds,

including the full exercise of the over-allotment option, will be approximately $27.6 million from the public offering.

February 04, 2021, DSS announced the pricing of an upsized underwritten public offering with gross

proceeds to the Company expected to be approximately $34.5 million, before deducting underwriting discounts and commissions and other

estimated offering expenses payable by the Company.

The public offering equates to 12,319,346 shares of the Company’s common stock

at a price of $2.80 per share.

The Company intends to use the net proceeds from this offering, together with their existing cash, to

fund the development and growth of new business lines, acquisition opportunities, and general corporate and working capital needs.

Company has also granted the underwriters a 45-day option to purchase up to an additional 15% of shares of common stock offered in the

public offering to cover over-allotments, if any, which would increase the total gross proceeds of the offering to approximately $39.7

million, if exercised in full.

February 08, 2021, DSS announced it entered a joint venture (“JV”) with Coinstreet Partners

(“Coinstreet”), a global decentralized digital investment banking group and digital asset financial service firm, and GSX

Group (“GSX”), a global digital exchange ecosystem for the issuance, trading, and settlement of tokenized securities, using

its proprietary blockchain solution.

This JV collaboration forms a unique partnership of three key leaders in their field, combining

traditional capital market experience, Fintech innovations, and business networks from three continents, North America, Europe, and Asia,

to capitalize on unique digital asset opportunities.

The newly formed JV will first pursue a digital securities exchange license in the

Moving forward, this JV will be the key operational company building and operating a digital securities exchange that utilizes the

GSX STACS blockchain technology, serving corporate issuers and investors in the sector.

This JV is currently in the planning stages.

February 09, 2021, DSS announced the closing of an upsized underwritten public offering with gross

proceeds to the Company of approximately $34.5 million as well as the simultaneous exercise of the underwriter’s over-allotment

option for additional gross proceeds of approximately $5.2 million.

The Company expects to receive total gross proceeds of approximately

$39.7 million, before deducting underwriting discounts and commissions and other estimated offering expenses payable by the Company.

The Company issued 14,167,247 shares of common stock at a price of $2.80 per share.

The Company intends to use the net proceeds from

this offering, together with existing cash, to fund the development and growth of new business lines, acquisition opportunities, and

general corporate and working capital needs.

February 25, 2021, DSS

announced the expansion of its DSS Securities, Inc.

business through an equity interest in WestPark Capital, Inc.(“WestPark”)

and an investment in BMI Capital International LLC (“BMI”).

DSS executed two separate transactions designed to grow its DSS

Securities division, signing a binding note and stock exchange letter of intent to own 7.5% of the issued and outstanding shares of WestPark

and acquiring 24.9% of BMI through a purchase agreement.

WestPark is a full-service investment banking and securities brokerage firm

which serves the needs of both private and public companies worldwide, as well as individual and institutional investors.

BMI is a private

investment bank specializing in corporate finance advising, raising equity, and venture services, providing a global “one-stop”

corporate consultancy to listed companies.

From corporate finance to professional valuation, corporate communications to event management,

BMI services companies in the US, Hong Kong, Singapore, Taiwan, Japan, Canada, and Australia.

March 01, 2021, DSS announced an increased investment in Sharing Services Global Corporation (OTCQB:

SHRG) (“Sharing Services”), a publicly traded company dedicated to maximizing shareholder value through the acquisition and

development of innovative companies, products, and technologies in the direct selling industry, through a $30 million convertible promissory

Prior to this convertible promissory note investment, DSS owned 37% of the outstanding shares of Sharing Services.

Sharing Services

generated $98.4 million in revenue and $5.6 million net income in the trailing 12-month period ended September 30, 2020.

March 15, 2021, the Company, through one of its subsidiaries, entered into a Stock Purchase Agreement

(the “Vivacitas Agreement #1”) with Vivacitas Oncology Inc.

(“Vivacitas”), to purchase 500,000 shares of its

common stock at the per share price of $1.00, with an option to purchase 1,500,000 additional shares at the per share price of $1.00.

March 16, 2021, American Medical REIT, Inc.

received loan proceeds in the amount of approximately $110,000

under the Paycheck Protection Program (“PPP”) with a fixed rate of 1% and a 60-month maturity term.

The PPP, established

as part of the Coronavirus Aid, Relief and Economic Security Act (“CARES Act”), provides for loans to qualifying businesses

for amounts up to 2.5 times of the average monthly payroll expenses of the qualifying business.

These funds were used for payroll, benefits,

rent, mortgage interest, and utilities.

April 1, 2021, the Company entered into an additional stock purchase agreement with Vivacitas (“Vivacitas

Agreement #2”), whereas Vivacities wished to employee the service of the Chief Business Officer of Impact BioMedical, and in return

for the services of this individual, Vivacitas shall issue to the Company, the aggregate purchase price for the Class A Common Shares

of Vivacitas at the value of $1.00 per share shall be $120,000 to be paid in twelve (12) equal monthly installments for the period between

April 1, 2021 and March 31, 2022.

As of December 31, 2021, the Company has received 90,000 Common A Shares of Vivacitas.

April 5, 2021, Decentralized Sharing Systems, Inc., a subsidiary of the Company entered into a convertible

promissory note (“SHRG Note”) with Sharing Services Global Corporation (“SHRG”), a company registered in the

state of Nevada.

The Company loaned the principal sum of $30,000,000, with interest at a rate of 8%, and shall be due and payable in

full on demand by the Company, or if the demand is not sooner made, April 5, 2024.

The interest shall be prepaid annually in cash or

Class A Common Shares.

April 07, 2021, DSS announced the launch of Alset Solar, Inc.

(“Alset Solar”).

was formed to pursue development of utility-scale solar farms, providing a clean energy future to polluted or underutilized properties

to supplement the power grid or provide small microgrids for independent energy.

Alset Solar is a wholly owned subsidiary of Alset Energy,

(“Alset Energy”), the Company’s holding company for its energy group projects.

Alset Energy is headquartered in

Houston, Texas and is initially seeking market opportunities in the US sunbelt areas, including Texas, Arizona, New Mexico, and Florida.

April 08, 2021, DSS announced DSS BioMedical International, Inc.

(“DSS BioMedical”), a

subsidiary of Impact BioMedical, Inc., a wholly owned subsidiary of the Company, completed an equity investment in Vivacitas Oncology,

(“Vivacitas”), a clinical-stage company focused on difficult to treat cancers.

Vivacitas was co-founded in 2015 by Dr.

Joseph Rubinfeld and Infusion51a with an eye toward redesigning well-known chemotherapies that have already been demonstrated to have

beneficial effects, but which may also possess potency, toxicity, stability, and/or pharmacokinetic issues that limit their use.

to the impressive asset acquisition track record is Vivacitas’ partnership with International Infusion Advisors, LLC via its investment

arm, Infusion 51A, a relationship that is anchored in a common mission - to develop disruptive technologies aimed at improving the quality

of life of cancer patients.

As part of its equity investment in Vivacitas, DSS Biomedical received the right to appoint two members to

the board of directors of Vivacitas.

Separately, DSS BioMedical acquired Impact Oncology Pte Ltd (“Impact Oncology”) from

Alset EHome International Limited, Inc.

The principal assets of Impact Oncology consist of equity in Vivacitas.

April 21, 2021, DSS announced its wholly owned subsidiary, Premier Packaging Corporation (“Premier”),

would move its operations into a new 105,000 square-foot facility to meet growing customer demand.

Premier expects to be operational

in the new space, located in the Town of Henrietta, NY, approximately 15 miles from its current operations in Victor, NY, by the end

of 2021 (Premier relocated to this location in March 2022).

Empire State Development is assisting Premier by providing

up to $700,000 in Excelsior Tax Credits in exchange for job creation commitments, with additional assistance commitments to support continued

growth from Monroe County and Greater Rochester Enterprise.

May 7, 2021, the Company completed the sale of 100% of the capital stock of DSS Digital Inc.

Digital”), the Company’s wholly owned subsidiary, which researched, developed, marketed, and sold the Company’s digital

products worldwide.

Based on the magnitude of DSS Digital’s historical revenue to the Company and because the Company has exited

the brand authentication services, functional anti-counterfeiting technology and technologies to satisfy commercial and consumer product

needs for branding, intelligent packaging, and marketing, this sale represented a significant strategic shift that has a material effect

on the Company’s operations and financial results.

May 11, 2021, DSS announced Proof Authentication Corporation (“Proof”) signed a purchase

agreement pursuant to which Proof acquired 100% of the outstanding shares of DSS Digital, Inc., a wholly owned subsidiary of the Company

and a leader in innovative anti-counterfeit, authentication, and brand protection solutions.

Under the terms of the agreement, DSS will

retain and sell to certain key customers through a non-exclusive license granted by Proof to DSS, while continuing to use the innovative

anti-counterfeiting technology on consumer packaging for authentication and consumer engagement purposes under the Company’s Premier

Packaging Corp.

The terms of the deal with Proof include upfront cash and an earn-out provision that provides for potential

payments to DSS based on the achievement of certain revenue targets.

May 14, 2021, DSS Pure Air, Inc.

a subsidiary of the Company entered into a convertible promissory

note (“Puradigm Note”) with Puradigm, LLC (“Puradigm”), a company registered in the state of Texas.

Note has an aggregate principal balance up to $5,000,000, to be funded at request of Puradigm.

May 19, 2021, DSS announced the launch of DSS PureAir, Inc.

(“DSS PureAir”), the Company’s

new wholly owned subsidiary targeting commercial and residential air purification markets, following a significant investment into Puradigm

LLC, a manufacturer of proactive air and surface purification solutions that have proven to be safe, scalable and provide 24/7 protection

to all indoor environments.

Puradigm’s patented, scalable purification products actively and safely purify both air and surfaces

They can be customized for indoor spaces of all sizes, including homes, offices, schools, restaurants, gyms, hospitals,

assisted living facilities, food processing facilities and more, and include free standing, wall mounted, HVAC and personal protection

Puradigm’s proactive technology has been shown to be effective against a wide variety of pathogens, including SARS-CoV-2,

coli, MRSA, Listeria, C.

difficile, staph, and many more.

It is the most validated purifier on the market.

May 20, 2021, Premier Packaging entered into master loan and security agreement (“BOA Note”)

with Bank of America, N.A.

(“BOA”) to secure financing in an amount not to exceed $3,700,000 to purchase a new Heidelberg

XL 106-7+L printing press.

The aggregate principal balance outstanding under the BOA Note shall bear interest at a variable rate on or

before the loan closing.

At closing, the interest rate shall be fixed for the duration of the Loan.

As of December 31, 2021, the

outstanding principal on the BOA Note was $3,339,000 and had an interest rate of 3.35%.

May 24, 2021, DSS announced the further expansion of its DSS Securities, Inc.

business through an acquisition

of 24.9% of Sentinel Brokers Company, Inc.

(“Sentinel”), a FINRA-registered broker-dealer.

Terms of the agreement include

the option to acquire an additional 50.1% of Sentinel.

Sentinel primarily operates as a financial intermediary, facilitating institutional

trading of municipal and corporate bonds as well as preferred stock.

DSS Securities completed its acquisition of 24.9% of Sentinel through

its wholly owned subsidiary, Sentinel Brokers, LLC.

June 14, 2021, DSS announced the pricing of an underwritten public offering with gross proceeds to

the Company expected to be approximately $43.5 million, before deducting underwriting discounts and commissions and other estimated offering

expenses payable by the Company.

The public offering equates to 29,000,000 shares of the Company’s common stock at a price of $1.50

The Company intends to use the net proceeds from this offering, together with their existing cash, to fund the development

and growth of new business lines, acquisition opportunities, and general corporate and working capital needs.

The Company has also granted

the underwriters a 45-day option to purchase up to an additional 15% of shares of common stock offered in the public offering to cover

over-allotments, if any, which would increase the total gross proceeds of the offering to approximately $50.0 million, if exercised in

June 16, 2021, DSS announced its wholly owned subsidiary Impact BioMedical, Inc.

(“Impact BioMedical”)

received notice of issuance (US 10,966,424) from the U.S.

Patent and Trademark Office (“USPTO”) for 3FDB, a Functional Fragrance

Formulation (3F) technology that increases the effectiveness of current mosquito repellants through a delightfully fragrant compound

derived from botanical oils.

3FDB is an efficacy booster for existing mosquito repellants such as DEET, Picaridin, and IR3535, among

The booster incapacitates two of the three receptors that mosquitos use to find sources of nutrition, in this case, that source

June 17, 2021, DSS announced the closing of an underwritten public offering as well as the simultaneous

exercise of the underwriter’s over-allotment option for total gross proceeds to the Company of $50.025 million, before deducting

underwriting discounts and commissions and other estimated offering expenses payable by the Company.

The Company issued 29,000,000 shares

of the Company’s common stock and 4,350,000 additional shares from the exercise of the underwriter’s option at the public

offering price of $1.50 per share.

The Company intends to use the net proceeds from this offering, together with their existing cash,

to fund the development and growth of new business lines, acquisition opportunities, and general corporate and working capital needs.

June 18, 2021, DSS Securities, entered into a stock purchase agreement with AMRE to acquire 264,525

Class A Common Shares of AMRE at a per share price of $10, for a total consideration of $2,645,250.

The additional 264,525 Class A Common

Shares acquired increases the Company’s total equity interest in AMRE to approximately 93%.

June 18, 2021, AMRE Shelton, LLC., (“AMRE Shelton”) a subsidiary of AMRE, financed the

purchase of a 40,000 square foot, 2.0 story, Class A+ multi-tenant medical office building located on a 13.62-acre site in Shelton, Connecticut

for the purchase price of $7,150,000.

June 30, 2021 , DSS announced the further expansion of its DSS Securities, Inc.

business through its

wholly owned subsidiary DSS Financial Management Inc.’s launch of Liquid Value Asset Management Limited (“LVAM”), a

fund management company domiciled in Hong Kong.

LVAM’s algorithmic trading includes short- and long-term trades while offering

the unique attribute of being able to liquidate the portfolio into cash within 5 to 10 minutes under normal market conditions.

with the strong performance track record of the team, these attributes position LVAM as a prime vehicle for private and institutional

investors seeking a highly liquid investment fund with extremely attractive risk adjusted returns relative to the volatility and unpredictability

of the markets.

July 06, 2021, Impact BioMedical Inc., a wholly owned subsidiary of DSS, Inc., announced updates to

several of its key research projects, including key collaborations, breakthroughs in treatment protocols and potential global licensing

opportunities as a way to begin planning the next phase of its research agenda and position itself as a global leader in the future of

July 12, 2021 , Impact BioMedical Inc., a wholly owned subsidiary of DSS, Inc., announced it was issued

a patent (Patent # 11,033,528) on June 15, 2021, from the U.S.

Patent and Trademark Office for its proprietary compound Equivir.

is a follow-up to the release on April 6, 2021, for the allowance of this patent.

The compound has displayed positive pre-clinical results

that reduce the risk and/or severity attributable to viral infections, specifically Ebola and Rhinovirus.

This patent is the second issued

to Impact BioMedical for Equivir;

the first (Patent # 10,383,842) was issued August 20, 2019, with claims directed to a method of limiting

the occurrence of, reducing the risk or severity of, or treating influenza infection.

Equivir is believed to function by impeding a virus’s

ability to infect and replicate in host cells.

Taken much like a multivitamin, Equivir was specifically designed for ease of rapid accessibility

and deployment.

Pre-clinical in-vitro success showed Equivir is potentially useful for pandemics and viral outbreaks against SARS-COV2,

Influenza, Ebola, Cholera, and Rhinovirus.

On July 22, 2021, the Company exercised 1,000,000

of the available options under the Vivacitas Agreement #1 for $1,000,000.

This, along with the shares received as part Vivacitas Agreement

#2 increased the Company’s equity position in Vivacitas, which as of December 31, 2021 approximates 16%.

July 27, 2021, Impact BioMedical, Inc., a wholly owned subsidiary of DSS, Inc.

announced with its scientific

research partner Global Research and Discovery Group Sciences, GRDG, a collaboration with Thomas Swan Co., to research its plant-based

preservation booster, Procombin was developed as a plant-derived preservation booster in an ongoing attempt to use plant-based solutions

to increase the effectiveness of antibiotics and antimicrobial agents.

The new collaborative research will study Procombin for use in

multiple different applications, including household, institutional and personal care products.

The research will focus on use in a wide

range of consumer products, ranging from household cleaning products to shampoos and conditioners.

August 02, 2021, DSS announced that its subsidiary, DSS BioMedical International, Inc.

BioMedical”), completed a $1 million equity investment in Vivacitas Oncology, Inc.

(“Vivacitas”), a clinical-stage

company focused on difficult-to-treat cancers.

Vivacitas Oncology Inc.

focuses on developing new treatment options to treat cancers resistant

to currently available therapies.

August 17, 2021, DSS promotes Todd D.

Macko to Chief Financial Officer effective August 16, 2021.

August 23, 2021, Impact BioMedical, Inc., a wholly owned subsidiary of DSS, Inc., along with its scientific

research partner Global Research and Discovery Group Sciences, GRDG, announced encouraging results from clinical tests of its 3FDB (“DEET

Booster”) technology.

These results suggest that 3FDB can boost the effectiveness of mosquito repellants, specifically DEET.

September 07, 2021, Impact BioMedical, Inc., a wholly owned subsidiary of DSS, Inc.

and GRDG Sciences

initiated the research project called Quantum in Summer 2020.

The purpose of the project was two-fold:

to forge a new frontier by exploring

new methods for developing medicinal protocols that work more efficiently, thereby encouraging further research and development across

the pharmaceutical industry, while at the same time mitigating a projected patent cliff crisis.

The Quantum technology is designed to

enhance existing therapeutics by looking beyond current molecular enhancement techniques such as molecular substitution, halogenation,

prenylation and other biological enhancement methods typical of present therapeutic development schema.

This marriage of quantum and

molecular mechanics essentially created a classic example of bionics that theoretically increases the efficacy against a variety of diseases.

September 08, 2021, DSS announced a $15 million investment in the Company by Alset EHome International,

(“Alset EHome”) (Nasdaq:

DSS will issue 12,155,591 shares of its common stock for a purchase price of $1.234 per

share for an aggregate amount of approximately $15 million.

September 09, 2021, DSS

announced it signed a subscription agreement for a $40 million investment in American Pacific Bancorp (“APB”).

the subscription agreement, APB will issue 6,666,700 shares of its common stock to DSS at $6.00 per share.

As a result of this investment,

DSS has acquired over 50% of APB’s outstanding shares of common stock, making DSS the majority-owner of APB.

As APB acquires equity

positions of commercial banks in the US, it targets to inject digital banking capabilities into the banks to provide global banking services

to global clients and increase efficiency.

September 20, 2021, DSS announced it is changing its name from Document Security Systems to DSS, Inc.,

reflecting sweeping organizational changes and ongoing business expansion The name change will become effective on September 30, 2021.

October 20, 2021, DSS announced an update on the launch and funding of Liquid Value Asset Management

Limited (“LVAM”), a Hong Kong-based investment management company engaging in proprietary algorithmic trading and majority

owned by the Company’s wholly owned DSS Financial Management, Inc.

(“DFMI”) subsidiary.

Under the terms of a shareholders’

agreement between DFMI and HR1 Holdings Limited (“HR1”), DFMI owns 60% of the shares of LVAM and has appointed three of the

five directors of LVAM.

The remaining two directors have been appointed by HR1, which owns the other 40% of LVAM.

November 04, 2021, DSS announced its majority-owned subsidiary, American Medical REIT Inc.

has acquired three hospitals (the “Hospitals”) located in Fort Worth, Texas, Plano, Texas and Pittsburgh, Pennsylvania.

aggregate purchase price for the Hospitals was $62 million.

The Hospitals are currently tenanted and operated by LifeCare Hospitals (together

with its affiliates, “LifeCare Hospitals”), a specialty hospital operator with a focus on long-term acute and critical care.

November 30, 2021, DSS announced the launch of DSS AmericaFirst Quantitative Funds.

DSS AmericaFirst

Quantitative Funds is a suite of mutual funds managed by DSS Wealth Management, Inc.

that expects to expand into numerous investment

platforms including additional mutual funds, exchange-traded funds, unit investment trusts, and closed-end funds.

DSS AmericaFirst Quantitative

Funds currently consists of four mutual funds:

The DSS AmericaFirst Income Trends Fund (Nasdaq:

AFPIX), DSS AmericaFirst

Defensive Growth Fund (Nasdaq:

DGQIX), DSS AmericaFirst Risk-On Risk-Off Fund (Nasdaq:

ABRWX), and DSS AmericaFirst

Large Cap Buyback Fund (Nasdaq:

The funds seek to outperform their respective benchmark indices by applying a quantitative

rules-based approach to security selection.

DSS American Quantitative Funds was established through the shareholder approval of DSS Wealth

Management as the registered investment advisor (“RIA”) to all the funds within the AmericaFirst Quantitative Funds Trust

In September of 2021, with the approval of the Trust’s Board of Trustees and its shareholders DSS Securities.

(“DSSS”) became the new RIA to the Trust.

Upon the completion of the transfer, the Trust was renamed the DSS AmericaFirst

Quantitative Trust.

DSSS, in its role as RIA, earns fees for each fund calculated as a percentage of the average daily net assets.

December 15, 2021, DSS announced the opening of a new office in Sacramento, California to serve as

the home office for DSS Wealth Management Inc.

(“DSS Wealth Management”) and DSS AmericaFirst Quantitative Funds (“DSS

AmericaFirst”).

December 20, 2021 , DSS announced its American Pacific Bancorp, Inc.

(“APB”) subsidiary

has issued nearly $20 million in new loans since September 2021.

DSS is the majority-owner of APB, holding more than 50% of its outstanding

shares of common stock.

APB intends to continue to develop and expand its lending platform to serve the small to mid-size commercial

borrower and to continue to acquire equity positions of commercial banks in the US to develop its lending network and to provide global

banking services to clients worldwide, including servicing markets with limited access to traditional US banking services.

target customers are businesses with annual revenues of $5 million to $50+ million, including manufacturers, wholesalers, retailers,

distributors, importers, and service companies.

APB has expertise in, and services tailored for, specific industries, including beverage,

food and agribusiness, technology, healthcare, government, higher education, clean technology, and environmental services.

BUSINESS PLAN AND 2021 PROGRESSION

we began executing on our current strategy of restructuring and recapitalization, the Company had approximately $16.2 million in assets

and only a handful of struggling or undercapitalized businesses.

In just over two years, we divested underperforming assets, added eight

distinct business lines, and grew assets to more than $285 million, which includes a significant amount of cash to leverage our

ongoing business plan.

We believe 2022 will be a breakout year for DSS.

The tireless work of our dedicated team since embarking on our

strategy to transform the Company in late 2019 has led to significant value creation and placed us on a solid trajectory for accelerated

continue to revitalize the company by focusing on strengthening the organization by (i) exiting unprofitable business lines, (ii) investing

in and reviving the Company’s core businesses, (iii) improving top line revenues and net margins, (iv) controlling costs and (v)

creating new long-term scalable, recurring revenue streams.

2020, we made the decision to divest the DSS Plastics Group and sold the primary assets of DSS Plastics Group to a subsidiary of Bristol

Graphics for $683,000 at closing, and a contingency payment (earnout) of $517,000 that may be earned over the following 12-month period,

$390,000 of which was recognized in 2020.

The remaining asset and liability of this division is its lease space located in Brisbane,

In April 2021, the Company terminated this lease with the landlord effective March 31, 2021.

Early in 2021, the company

was formally dissolved.

(“USX”), a subsidiary of the DSS Blockchain, Inc., is a collaboration between the

GSX Group, Coinstreet Partners and DSS, Inc.

This collaboration is currently in the planning stages.

Trading division is

currently headquartered in Houston, TX.

Transformation (Legacy) :

This division was established to serve as a Preferred Technology Partner and Application Development

Solution for mid-cap brands across various industries, including the direct selling and affiliate marketing sector.

Digital Transformation

enhanced marketing, communications, and operational processes through tailored software development and implementation.

It successfully

launched several mobile applications for direct sales businesses, seamlessly integrating back-office and social networking functions.

Please note that Digital Transformation was headquartered in Hong Kong until its discontinuation in 2023.

Living (Legacy) :

This division had embarked on a mission to create fully sustainable, secure, connected, and health-focused

living communities, featuring homes equipped with advanced technology, energy-efficient solutions, and high-quality living environments,

catering to both new construction and renovation projects for single and multi-family residential housing.

Secure Living had been

actively collaborating with various land development partners across the United States to develop complete, fully sustainable single-family

subdivisions promoting healthy living.

Secure Living was headquartered in Houston, Texas, until it was wound down

Energy (Legacy) :

This group was established with the vision to lead the company into the clean energy sector, focusing

on environmentally responsible and sustainable initiatives.

Alset Energy, Inc., the holding company for this group, and its wholly

owned subsidiary, Alset Solar, Inc., were dedicated to the development of utility-scale solar farms to support regional power grids

in the United States and provide small microgrids for independent energy on underutilized properties.

In addition to solar farms,

solar battery banks, and residential energy creation and storage, Alset Energy also explored alternative energy investment and development

opportunities.

Our overarching goal was to make a significant impact in mitigating the negative effects of climate change by reducing

air pollution and expanding access to clean energy, thus contributing to global economic well-being.

was headquarters in Houston, Texas until its discontinuation in 2023.

Direct Marketing:

Led by the holding corporation, Decentralized Sharing Systems, Inc.

(“Decentralized”) provides services to assist companies

in the emerging growth “Gig” business model of peer-to-peer decentralized sharing marketplaces.

Direct specializes in

licensing its products and services through its subsidiary HWH World, Inc.

(“HWH World”) using the popular gig economic

marketing strategy as a form of direct marketing.

Direct’s products include, among other things, nutritional and personal care

products sold throughout North America, Asia Pacific, Middle East, and Eastern Europe.

The following is a summary of the DSS

reported transactions and investments since January 2023 that reflect the active advancements and investments in these business lines:

April 17, 2023, DSS, Inc..

announced today that Jason

Grady, Chief Operating Officer of DSS, will be presenting at the Emerging Growth Virtual Conference on Wednesday, April 19 from 1:45-2:15

April 19, 2023, DSS, Inc.

announced that the Company plans to distribute to its stockholders common stock of Sharing Services

Global Corporation (“ Sharing Services ”

or “ SHRG ”) that is beneficially held

by DSS, directly and through its subsidiary, Decentralized Sharing Systems, Inc.

Sharing Services is a diversified direct marketing company that is currently listed on the OTC (OTC:

SHRG) and is in the process of up-listing

May 1, 2023, DSS, Inc.

and Proof Authentication Corporation (“Proof”) signed a purchase agreement pursuant to which Proof acquired

100% of the outstanding shares of DSS Digital, Inc., a wholly owned subsidiary of DSS and the Company’s anti-counterfeit, authentication,

and brand protection technology.

DSS retained certain key customers through a non-exclusive licensing agreement while continuing to use

the innovative anti-counterfeiting technology on consumer packaging for authentication and consumer engagement purposes under the Company’s

Premier Packaging Corp.

ONE OF OUR CORE BUSINESSES

2020, management made substantial adjustments to revive and improve the productivity and operating revenue of our Premier Packaging

announced today the distribution date for the common stock of Sharing Services Global Corporation (“Sharing

Services” or “SHRG”) that is beneficially held by DSS, directly and through its subsidiary, Decentralized Sharing Systems,

As previously announced, DSS Inc., together with its subsidiary DSSI, distributed (the “Distribution”)

approximately 280 million shares of Sharing Services’ common stock beneficially held by DSS and DSSI in a distribution to holders

of DSS common stock, par value $0.02 per share (“DSS Common Stock”) as of April 28, 2023.

Each share of DSS Common Stock

outstanding as of 5:00 p.m., New York City time, held on April 28, 2023, will entitle the holder thereof to receive two (2) SHRG common

stock shares to be distributed on May 4, 2023.

May 16, 2023, DSS, Inc reported earnings results for the First Quarter Ended March 31, 2023.

Premier Packaging division

had a stellar quarter in booking a 72% increase in revenues in the first quarter compared to the First Quarter of 2022 as a result

of our capital investments completed over the past year.”

June 26, 2023, DSS, Inc Announces Record and Distribution Date for Impact BioMedical Spin-Off Special Dividend.

has filed for the distribution of a special stock dividend to DSS Inc.

shareholders of record on June 30th for distribution on July 14,

DSS shareholders of record as of 4:00 p.m.

ET on June 30, 2023 (the “record date”) will receive four (4) shares of

Impact Biomedical, Inc.

for every one (1) share of DSS.

June 30, 2023, DSS, Inc announced updated shareholder of record date for Spin-Off of Impact BioMedical, Inc.

the distribution of a special stock dividend of Impact Biomedical Inc.

shareholders of record on July 10, 2023, pending SEC

DSS shareholders of record as of 5:00 p.m.

ET on July 10, 2023 (the “record date”) were entitled to four (4) shares

of Impact Biomedical Inc.

for every one (1) share of DSS on the distribution date.

July 31, 2023, DSS, Inc.

announced today the distribution date for the previously announced stock dividend of Impact BioMedical

shareholders of record on July 10, 2023 will be entitled to four (4) shares of Impact Biomedical Inc.

for every one (1)

share of DSS to be distributed on August 8, 2023.

October 23, 2023, DSS, Inc.

announced that a registration statement on Form S-1 was filed with the U.S.

Securities and Exchange Commission

(“SEC”) relating to the proposed initial public offering of DSS’s wholly-owned subsidiary, Impact Biomedical.

October 26, 2023, DSS, Inc.

announced that the Company received a letter (the “Letter”) from the staff of

NYSE American LLC (the “Exchange”) stating that the Company’s securities have been selling for a low price per

share for a substantial period of time and, pursuant to Section 1003(f)(v) of the NYSE American Company Guide.

The Company’s

continued listing is predicated on it effecting a reverse stock split of its common stock or otherwise demonstrating sustained price

improvement within a reasonable period of time, which the Exchange has determined to be no later than April 20, 2024.

November 8, 2023, Impact BioMedical Inc.

filed a Current Report on Form 8-K with the Securities and Exchange Commission on November 6, 2023, disclosing that Impact effected a

reverse stock split of its issued and outstanding common stock by a ratio of 1 for 55.

Impact did not effectuate a reverse split of its

authorized capital stock and no amendment to the articles of incorporation or bylaws was made.

Impact received approval from its majority

stockholder and the Company’s Board of Directors to effectuate the reverse split.

November 14, 2023, DSS, Inc.

announced that, in a unanimous

decision, the Court of Appeals for the Federal Circuit (CAFC) rejected Nichia Corp.’s challenge to U.S.

(the ‘040 Patent).

Chief Circuit Judge Kimberly Moore, who authored the opinion, and U.S.

Circuit Judges Kara Stoll and

Tiffany Cunningham sat on the panel for the Federal Circuit.

November 28, 2023, Premier Packaging, a Wholly-Owned Subsidiary of DSS, Inc., Secures Contract Extension with Major

Retailer Worth Up to $15 Million over Four Years.

announced today that its wholly-owned subsidiary, Premier Packaging

signed a contract extension with an existing client for the next three years totaling a minimum of $12 Million

with a fourth year extension option bringing the potential total revenue to over $15 Million.

December 22, 2023, DSS, Inc.

announced that

it will proceed with a 1-for-20 reverse stock split (the “Reverse Split”) of its issued and outstanding shares of common

stock, par value $0.02, following authorization by its Board of Directors and majority shareholders to effect a reverse split by a ratio

of not less than 1-for-20 and not more than 1-for-40 (the “Reverse Split Range”), at any time on or before April 20, 2024,

with the Board having the discretion as to whether or not the Reverse Split is to be effected, and with the exact ratio to be set at

a whole number within the Reverse Split Range as determined by the Chief Executive Officer in his discretion.

The reverse split was effective January 8, 2024.

BUSINESS PLAN AND 2023 PROGRESSION

we highlight three specific developments:

We are preparing

for an Initial Public Offering (“IPO”) of our majority owned subsidiary, Impact Biomedical, Inc.

after distributing four shares of IBIO for every share of DSS held as of the record date of July 10, 2023.

Once the IPO has

been completed, these stock dividend shares will not be eligible for resale until 180 days from the effective date of the IPO, a

restriction that can be lifted at the discretion of IBIO.

The structure of this spinoff is designed for DSS to maintain the

consolidation of IBIO’s financials, ensuring our shareholders receive the benefits of IBIO’s success on a go forward

Our license agreement with ProPhase Labs (Nasdaq:

PRPH) is resulting in promising clinical advancement in the development of

our Linebacker and Equivir assets.

Impact Biomedical is actively considering various ways to maximize the value of its investments

The company is excited about the opportunities that the IPO will create and is looking forward to introducing its

shareholders to subsequent spinoffs or similar liquidity events.

Turning to our

product packaging division, Premier Packaging Corporation, Inc., net income increased 126% year over year.

Premier Packaging

Corporation is experiencing a positive trend in its financial performance, thanks to strategic investments and operational

improvements.

Our commitment to

reinforcing our leadership dynamics is evident in the recent enhancement of the management team at DSS Wealth Management, Inc.

This deliberate

move is aimed at fostering a legacy of investment excellence and scaling our assets under management.

We are planning to launch a Total

Return Bond Fund, to capitalize on the prevailing higher interest rates.

Development for Exponential Growth

For every completed acquisition, and

taking into consideration market conditions and other constraints, we adhere to a well-structured three-stage development process with

the goal of maximizing value creation and propelling our growth by expanding our capabilities, strength, and scale.

Asset Acquisition

and Organizational Development In this initial phase, our focus lies in identifying and acquiring assets, vehicles, asset structures,

and assembling the necessary talent and organizations.

This strategic step serves as the strong foundation upon which we build future

Generation and Operational Excellence Our second stage revolves around driving revenue through diverse channels, including revenue streams,

licensing, and other scalable sources.

Our primary objective during this phase is the creation of efficient and well-operating businesses

that excel in operational performance.

The success achieved in this stage in 2022, evidenced by substantial revenue growth, is a testament

to our efforts.

Profitability

and Positive EBITDA The third and final stage focuses on achieving positive EBITDA (Earnings Before Interest, Taxes, Depreciation, and

Amortization) and profitability.

This is realized through the optimization of business operations, capitalizing on scale and efficiency

to generate sustained profits.

IPOs as a Growth Strategy:

has plans to pursue Initial Public Offerings (IPOs) as a means to share its success with shareholders.

We aim to take our businesses

public once they reach an optimal point for effective leverage and meet internal goals and expectations.

Decentralized Sharing Model:

believe in our unique decentralized sharing model, combined with the three-stage development process, to create substantial shareholder

This model involves distributing dividends from potential IPOs directly to benefit shareholders.

In summary, our strategy delineates a

methodical approach encompassing asset acquisition, revenue generation, operational efficiency, profitability, and ultimately, taking

businesses public through IPOs to reward our shareholders.

We place a strong emphasis on our decentralized sharing model, ensuring that

the benefits of our success are shared directly with our valued shareholders.

Packaging Secures Contract Extension with Major Retailer

Our Premier Packaging

Corporation, Inc.

(Premier) subsidiary.

We have invested in operations, state-of-the-art manufacturing equipment, people, and processes

(“Premier”) subsidiary provides a clear example of the second stage of our development process as it began

operations at its new 105,000 sq.

facility in Western New York in the first half of 2022.

The increased production capacity at the

new facility, which has enabled us to meet growing customer demand, was a key driver behind our nearly 3% year-over-year revenue growth

for this segment in the most recently reported quarter as well as net income increase of 126% year over year.

Since 2019, we have

accelerated the transformation of Premier’s operations, investing in state-of-the-art manufacturing equipment, people, and processes

to increase its capacity, improve quality and delivery, and to ensure it has the resources to support its growing customer base and their

evolving supply chain demands.

We have completed its facility expansion with operations beginning at the new 105,000 sq.

in early March 2022, where DSS, Inc.’s Headquarters will also be located.

will continue to add capabilities in key areas that increase operational efficiencies to strengthen our foundation and offerings to our

customers, while continuing to provide world-class customer service to the customers we serve.

BUSINESS DIVERSIFICATION INITIATIVES

of the most important objectives of our strategic business plan is the commitment to diversify the Company’s operating revenue.

Management believes it imperative to transition the Company’s revenue into new business lines which generate scalable and reoccurring

revenue, preferably in contemporary and emerging growth business opportunities.

To achieve this goal, we continue to acquire,

invest in, or start-up new business lines that meet this criterion.

Adding additional products and assets to existing business

lines is essential so that current operations can continue on their growth trajectory and further transition toward scalable,

recurring revenue streams.

the past year, we have had three successful public offerings and have put this capital to work in several ways.

Our diverse book

of clients and investments has given us strong competitive advantages globally in many industries;

we intend to aggressively capitalize

on these advantages moving forward.

2021, the Company made substantial investments in the following new and existing business lines:

ESTATE INVESTMENT TRUST (REIT) - A portion of this capital has been deployed into American Medical

REIT (AMRE), a subsidiary of DSS Securities, Inc., which acquired its first four medical facilities in 2021, totaling approximately 360,000

of quality healthcare assets across the US and more than $74 million in assets.

This division is now generating average yields

of approximately eight percent, and we have a massive pipeline of opportunities to further grow AMRE in the quarters ahead – including

an LOI for a property that could more than double its total assets.

other areas within commercial real estate have been impacted by the ongoing pandemic, medical real estate has demonstrated considerable

resiliency and demand.

With a now formidable foundation in place, we are in a great position to further pursue opportunities to expand

AMRE as we continue to execute on our strategic growth plans.

Ultimately, this is a business we intend to spinoff in an IPO at an optimal

time, enabling us to further share our success with our shareholders.

LENDING - The

expansion of our medical real estate holdings is in part supported by our lending and financing business line, primarily through

our majority-owned American Pacific Bancorp, Inc.

(APB) subsidiary.

APB issued nearly $20 million in new loans since September

2021 and has assembled a diversified portfolio of strong credit quality.

In addition to commercially licensed medical real estate financing,

APB’s portfolio includes governmental bond anticipation note financing, C&I inventory and equipment financing, and land development

$40 million 2021 third quarter investment in APB has been extremely successful, driving the expansion of our reoccurring scalable business

income model in multiple ways.

We now have nearly half of the fresh funds we injected generating interest and fee income, and we expect

to have another $15 million loaned out in the near-term as we build our portfolio of high-quality commercial loans.

BIOHEALTH SECURITY, INC.

Impact BioMedical progressed on multiple fronts in

2021, including key patent awards, the advancement of key programs, the release of positive study results, and furthering of global

manufacturing and pharmaceutical licensing discussions.

We anticipate announcing our first licensing deal in the near future.

July 2021, Impact BioMedical entered a collaboration to research its plant-based preservation booster, Procombin.

Personal care as well

as household and institutional cleaning formulators are dealing with a dwindling set of options for safe and effective preservatives

and preservation boosters.

Procombin was developed to address this challenge by using plant-based solutions to increase the effectiveness

of antibiotics and antimicrobial agents.

Major contract negotiations are underway for the potential use of Procombin in a wide range

of consumer products, ranging from household cleaning products to shampoos and conditioners.

the past year, Impact BioMedical has laid the groundwork

for a future that is focused on scientifically tested, high-impact solutions to global problems that humans are facing from food preservation

to antibiotics to creating new ways to develop medicines.

addition to Impact BioMedical, we expanded our BioHealth business in 2021 through investments in Vivacitas Oncology, Inc.

and Puradigm, LLC.

These investments give us positions in both the oncology space as well as the air purification and pathogen

prevention market.

March 2021 investment in Vivacitas, a clinical-stage company focused on difficult-to-treat cancers, further demonstrated our commitment

to addressing unmet needs in healthcare.

With a rich pipeline of promising assets, Vivacitas provides significant upside potential.

May 2021, we launched DSS PureAir, Inc.

with our investment in Puradigm, the developer of innovative proactive air and surface purifications solutions.

Even before COVID-19,

the market for air purifiers was strong, and now growth is accelerating even more.

Our partnership with Puradigm enables us to rapidly

enter this growing global market with best-in-class products and distribution rights in North America, as well as exclusive distribution

rights in Singapore, Hong Kong, Taiwan, Korea, Malaysia, and other Asian markets.

DECENTRALIZED

SHARING SYSTEMS - The Direct Marketing / Online Sales industry is a market that will help us diversify and meet our scalable reoccurring

revenue target in an exponential growth industry with high profit margins.

The direct marketing, network marketing, or online sales is

designed to sell products or services directly to the public through independent distributors, rather than selling through the traditional

retail market.

We believed that with the transition of a significant sector of retail sales now converting to the now popular “gig

economy”, an investment in this business model would meet our strategic business plan objective and vision.

March 1, 2021, Decentralized Sharing Systems, Inc.

(“Decentralized”) announced that it increased its investment in Sharing

Services Global Corporation (“Sharing Services” or “SHRG”), a publicly traded company dedicated to maximizing

shareholder value through the acquisition and development of innovative companies, products, and technologies in the direct selling industry,

through a $30 million convertible promissory note dated April 5, 2021.

Through this investment in Sharing Services Global, we gained

controlling interest with nearly 60 percent ownership.

The SHRG platform leverages the capabilities and expertise of various companies

that market and sell products direct to the consumer and generated nearly $28 million in revenue in the nine months ended

December 31, 2021.

SHRG now officially part of the DSS family, we believe we are in a great position to accelerate its customer acquisition, new product

development, and portfolio of offerings as we capitalize on a wealth of growth opportunities and potential synergies in this exciting,

multi-billion-dollar industry.

Building upon the success already achieved by the SHRG team, we plan to explore opportunities to enter

new markets while continuing to expand SHRG’s independent representative network, both domestically and globally, which currently

stands at more than 14,000 active distributors.

In addition to capitalizing on organic growth opportunities, we are actively

exploring some very exciting potential acquisitions to further accelerate our growth in this attractive and sizeable global market.

our increased position and majority ownership of SHRG, its financials will be consolidated moving forward.

Based on historical performance,

this alone places DSS on a solid trajectory to generate potential revenue in excess of $50 million in 2022, representing potentially

more than a 150 percent increase in revenue growth year-over-year.

AND INVESTMENT MANAGEMENT GROUP - The Securities business line was organized in 2019 as part of the strategic business plan

to establish or acquire assets positioned for long-term and scalable, recurring fee income.

These targeted investments include REITs,

broker/dealers, mutual funds management, ETFs, and other fund management platforms.

rapidly growing securities business line achieved strong footholds achieved in 2021 – including strategic investments in broker

dealers WestPark Capital and Sentinel Brokers;

the formation of Liquid Value Asset Management Limited (LVAM), and the launch of our DSS

AmericaFirst Quantitative Funds (DSS AmericaFirst) family.

is a proprietary algorithmic trading firm majority owned by our wholly owned subsidiary, DSS Financial Management, Inc.

Led by Wilson

Lee, former co-head of Societe Generale’s equity derivatives in Asia, and Jackson Kwan, a former portfolio manager at Citadel in

Chicago, LVAM aims to include short- and long-term trades while offering the unique attribute of being able to liquidate the portfolio

into cash within five to ten minutes under normal market conditions.

Together with the strong performance track record of the team, these

attributes position LVAM as a prime vehicle for private and institutional investors seeking a highly liquid investment fund with extremely

attractive risk adjusted returns relative to the volatility and unpredictability of the markets.

AmericaFirst, launched in the fourth quarter of 2021, is a suite of mutual funds managed by DSS Wealth Management, Inc.

DSS AmericaFirst

currently consists of four mutual funds and expects to expand into numerous investment platforms including additional mutual funds, exchange-traded

funds, unit investment trusts, and closed-end funds.

Utilizing these investments, we design and manufacture folding cartons that attract the consumer’s

attention when and where it matters most at the point of sale.

In 2023, Premier

Packaging signed a contract extension with an existing client for the next three years with expected revenue to approximate $12

Million with a fourth-year extension.

We are very pleased

to see that our capital investment to increase production capacity and economies of scale at Premier Packaging continues to result in

satisfied clients and increasing revenues.

Since inaugurating Premier’s state-of-the-art 105,000 sq.

facility in 2022, our

packaging division has expanded its customer base and built a competitive advantage in the packaging industry.

We will continue to add

capabilities in key areas that increase operational efficiencies to strengthen Premier’s foundation and offerings while continuing

to provide world-class service to our customers.

Premier specializes in creating innovative

fiber-based, folding cartons and packaging solutions which provide a sustainable alternative to traditional plastic packaging.

BioMedical Share Distribution and IPO

In the field of Biotechnology

and Biomedical, Impact Biomedical Inc.

is dedicated to the discovery, validation, and patenting of innovative scientific advancements

and technologies that lead to new developments in human healthcare and well-being.

Once these breakthroughs are ready for implementation,

IBIO collaborates closely with various partners through licensing agreements, co-development initiatives, joint ventures, and other strategic

relationships to facilitate the introduction of these novel healthcare solutions to the market.

Their mission is to advance and bring

to fruition cutting-edge innovations that have the potential to significantly impact and improve the field of human health and wellness.

In 2023, Impact BioMedical,

a vital component of our BioHealth group, made significant strides in various areas.

These achievements included promising initial test

results related to new bioplastics, the reinforcement of intellectual property safeguards, and the establishment of licensing agreements

with ProPhase Biopharma, a wholly-owned subsidiary of ProPhase Labs, Inc.

ProPhase Labs, an extensively diversified diagnostic

company with a track record spanning over three decades, dedicated to enhancing wellness and improving health through both over-the-counter

(OTC) and prescription products.

They have shown strong belief in Impact BioMedical’s Linebacker compounds, recognizing their potential

value in the multi-billion-dollar range as co-therapies for cancer.

Furthermore, ProPhase Labs anticipates the launch of Equivir as an

OTC supplement in late 2023.

Additionally, ProPhase BioPharma is preparing to submit an Investigational New Drug (“IND”) application to

the US FDA for Equivir G as a prescription antiviral.

Impact BioMedical

effectively utilizes its scientific expertise and intellectual property rights to provide innovative solutions to long-standing challenges

within the biomedical field.

The company’s primary focus lies in dedicated research and discovery efforts aimed at developing promising

products for the prevention, inhibition, and treatment of neurological, oncological, and immuno-related diseases.

For further details

about Impact BioMedical, you can visit their website at http://impactbiomedinc.com/.

With a strengthened

foundation now in place, we expect Impact BioMedical to provide us with the first opportunity to clearly demonstrate a core tenant of

our vision – sharing our success with our shareholders.

In August of 2023, DSS, Inc.

distributed a stock dividend of four (4) shares

of Impact BioMedical Inc.

to all DSS Inc.

shareholders of record on July 10, 2023.

Each share of Impact BioMedical distributed as part

of the distribution will not be eligible for resale until 180 days from the date Impact BioMedical’s initial public offering becomes

effective under the Securities Act, subject to the discretion of the Company to lift the restriction sooner.

Importantly, Impact

BioMedical is just one of multiple assets we believe can have liquidity events in 2024 as we continue to diligently move our growing

portfolio of businesses through our unique and strategic value creation process.

Upcoming Milestone for AmericaFirst Quantitative Funds

AmericaFirst Quantitative

Funds, part of our Securities and Investment Management segment, showed improved performance versus benchmarks for three of the four

mutual funds under management since the new investment advisory team took over in May 2023.

In addition to focusing on improved relative

performance, the team expects to enhance marketing and sales efforts to grow assets under management, continue to improve operational

efficiencies, and plans to launch a Total Return Bond Fund in the first half of the year.

Operating Segments:

As we have reported above, we

financially report business operating results on only five operating segments, which we believe will certainly increase and transition

As we have reported

above, we financially report business operating results on five operating segments, which we believe will certainly increase and transition

as the newer lines of business develop and mature.

However, the five business segments that we are reporting on in 2021

are as follows:

(“Premier”) Premier Packaging Corporation provides custom packaging services and serves clients in the

pharmaceutical, nutraceutical, consumer goods, beverage, specialty foods, confections, photo packaging and direct marketing industries,

However, the five business segments that we are reporting on in 2023 are as follows:

(“Premier”) Premier Packaging Corporation provides custom packaging services and serves clients

in the pharmaceutical, nutraceutical, consumer goods, beverage, specialty foods, confections, photo packaging and direct marketing industries,

among others.

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printing, brand protection, consumer engagement and related technologies.

Premier is nearing completion of its facility expansion

with operations expected to begin at the new 105,000 sq.

facility in early March 2022.

over 25 years, Premier has been a market leader in providing solutions for paperboard packaging from consumer retail packaging and heavy

mailing envelopes, to sophisticated custom folding cartons and complex three-dimensional direct mail solutions.

Premier’s innovative

products and design team delivers packaging that provides functionality, marketability, and sustainability, with its fiber-based packing

solutions providing an alternative to traditional plastic packaging.

2019, we have accelerated the transformation of Premier’s operations, investing in state-of-the-art manufacturing equipment, people,

and processes to increase its capacity, improve quality and delivery, and to ensure it has the resources to support its growing customer

base and their evolving supply chain demands.

will continue to add capabilities in key areas that increasing operational efficiencies to strengthen our foundation and offerings to

our customers while continuing to provide world-class customer service to the customers we serve.

(“Commercial Lending”) through its operating company, American Pacific Bancorp (“APB”) provides

an integrated suite of financial services for businesses that include commercial business lines of credit, land development financing,

inventory financing, third party loan, servicing, and services that address the financial needs of the world Gig Economy.

to continue to develop and expand its lending platform to serve the small to mid-size commercial borrower and to continue to acquire

equity positions of commercial banks in the US to develop its lending network and to provide global banking services to clients worldwide,

including servicing markets with limited access to traditional US banking services.

APB’s target customers are businesses with

annual revenues of $5 million to $50+ million, including manufacturers, wholesalers, retailers, distributors, importers, and service

APB has expertise in, and services tailored for, specific industries, including beverage, food and agribusiness, technology,

healthcare, government, higher education, clean technology, and environmental services

For over 25 years,

Premier has been a market leader in providing solutions for paperboard packaging from consumer retail packaging and heavy mailing envelopes,

to sophisticated custom folding cartons and complex three-dimensional direct mail solutions.

Premier’s innovative products and

design team delivers packaging that provides functionality, marketability, and sustainability, with its fiber-based packing solutions

providing an alternative to traditional plastic packaging.

Since 2019, we have

accelerated the transformation of Premier’s operations, investing in state-of-the-art manufacturing equipment, people, and processes

to increase its capacity, improve quality and delivery, and to ensure it has the resources to support its growing customer base and their

evolving supply chain demands.

We will continue

to add capabilities in key areas that increasing operational efficiencies to strengthen our foundation and offerings to our customers

while continuing to provide world-class customer service to the customers we serve.

(“Commercial Lending”) through its operating company, American

Pacific Bancorp, Inc.

(“APB”) represents our banking and financing business line.

Looking ahead, to better meet the needs of the current financial market, the company is looking to

transition away from certain industries like direct marketing and focus more on growing its inventory / equipment loan portfolio as well

as engaging in more specialized areas of lending like broker/dealer loans.

We will continue to monitor our managed loan portfolio of

more than $6 million, which earns 1.25% annually in service charges, and explore future opportunities.

Importantly, the equity portfolio

as a bank holding company is anticipated to remain relatively stable, regardless of stock market fluctuations.

Biotechnology:

(“Biotech”) This sector, through its subsidiary Impact BioMedical, Inc.

targets unmet, urgent medical needs and expands

the borders of medical and pharmaceutical science.

Impact drives mission-oriented research, development, and commercialization of solutions

for medical advances in human wellness and healthcare.

By leveraging technology and new science with strategic partnerships, Impact Bio

provides advances in drug discovery for the prevention, inhibition, and treatment of neurological, oncology and immuno-related diseases.

Other exciting technologies include a breakthrough alternative sugar aimed to combat diabetes and functional fragrance formulations aimed

at the industrial and medical industry.

Biotech and Impact BioMedical

have several important and valuable products, technology or compounds that are in continuing development and/or licensing stages:

(“Biotech”) Impact BioMedical, Inc.

targets unmet, urgent medical needs and expands the borders of medical

and pharmaceutical science.

Impact drives mission-oriented research, development, and commercialization of solutions for medical advances

in human wellness and healthcare.

By leveraging technology and new science with strategic partnerships, Impact BioMedical provides advances

in drug discovery for the prevention, inhibition, and treatment of neurological, oncology and immuno-related diseases.

Other exciting

technologies include a breakthrough alternative sugar aimed to combat diabetes and functional fragrance formulations aimed at the industrial

and medical industry.

Impact BioMedical has several important

and valuable products, technology or compounds that are in continuing development and/or licensing stages:

Multi-faceted therapeutic platform for metabolic, neurologic, cancer, and infectious diseases.

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Food preservative booster made up of polyphenols that extend the shelf life.

Advanced bio-compatible plastics that mitigate accumulation

of plastics in oceans and landfills and provide UVA and UVB protection for many types of material for including containers, hard surfaces,

and fibers for clothing.

The technology is presently in development and testing antimicrobial plastics for consumer products that control

the spread of active pathogens such as SARS-CoV-2, Influenza, E.

coli, Staph, and Rhinovirus, by exploiting key strategies found in the

biological realm.

These new plastics are specifically focused on solutions for common products such as cups, plates, utensils, plastic

bags, and countertops.

The first prototypes are currently undergoing antimicrobial resistance testing.

Advanced bio-compatible plastics that mitigate accumulation of plastics in oceans and landfills and provide UVA and UVB protection

for many types of material for including containers, hard surfaces, and fibers for clothing.

The technology is presently in development

and testing antimicrobial plastics for consumer products that control the spread of active pathogens such as SARS-CoV-2, Influenza,

coli, Staph, and Rhinovirus, by exploiting key strategies found in the biological realm.

These new plastics are specifically focused

on solutions for common products such as cups, plates, utensils, plastic bags, and countertops.

The first prototypes are currently

undergoing antimicrobial resistance testing.

Laetose technology is derived from a unique combination of sugar and inositol, which demonstrates the ability to inhibit the inflammatory

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and these methods can be used to enhance and patent natural compounds including many substances used in traditional medicines around

Advanced adjuvant for next generation vaccine applications.

Sugar that prevents muscular atrophy.

Oral capsule able to prevent sun damage to human skin.

BioHealth has a license for cannabinoid technology for neurological pain, sleep apnea disorders with RX/OTC

Med (license):

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and cognitive processes to toxin neutralization and immunity against pathogens.

business model of BioHealth and Impact BioMedical revolves around two methodologies – Licensing and Sales Distribution.

Impact develops valuable and unique patented technologies which will be licensed to pharmaceutical, large consumer package goods

companies and venture capitalists in exchange for usage licensing and royalties.

The business model of Impact BioMedical

revolves around two methodologies – Licensing and Sales Distribution.

Impact develops valuable and unique patented technologies which will be licensed to pharmaceutical, large consumer package

goods companies and venture capitalists in exchange for usage licensing and royalties.

Impact utilizes the DSS ecosystem to leverage its sister companies that have in place distribution networks on a global scale.

will engage in branded and private labelling of certain products for sales generation through these channels.

Impact will engage in branded and private labelling of certain products for sales generation through these channels.

This global distribution

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and Investment Management:

(“Securities”) Securities was established to develop and/or acquire assets in

the securities trading or management arena, and to pursue, among other product and service lines, real estate investment funds, broker

dealers, and mutual funds management.

This business sector has already established the following business lines and associated

products and services:

(“Securities”) Securities was established to develop and/or acquire assets in the

securities trading or management arena, and to pursue, among other product and service lines, real estate investment funds, broker dealers,

and mutual funds management.

This business sector has already established the following business lines/investments and associated products and services:

Management Fund:

In March 2020, DSS Securities formed AMRE (“American Medical REIT”) and its management company

AAMI (“AMRE Asset Management, Inc.) Through AAMI/AMRE, a medical real estate investment trust, fulfills community needs for

quality healthcare facilities while enabling care providers to allocate their capital to growth and investment in their contemporary

clinical and critical care businesses.

Urban and suburban communities are in need of modern healthcare facilities that provide a

range of medical outpatient services.

The funds ultimate product is an investor opportunity in a managed medical real estate investment

Estate Title Services:

Alset Title Company, Inc.

provides buyers, sellers, and brokers alike confidence during big real estate

transactions, not just in a transaction, but in the property itself.

Through bundled services, Alset Title Company, Inc.

it all from title searches and insurance to escrow agent assistance.

Sentinel primarily operates as

a financial intermediary, facilitating institutional trading of municipal and corporate bonds as well as preferred stock, and accelerates

the trajectory of the DSS digital securities business.

WestPark is a full-service investment banking and securities brokerage firm which serves

the needs of both private and public companies worldwide, as well as individual and institutional

BMI is a private investment bank specializing in corporate finance advising, raising

equity, and venture services, providing a global “one-stop” corporate consultancy

to listed companies.

From corporate finance to professional valuation, corporate communications

to event management, BMI services companies in the US, Hong Kong, Singapore, Taiwan, Japan,

Canada, and Australia.

DSS AmericaFirst:

DSS AmericaFirst is a suite

of mutual funds managed by DSS Wealth Management.

DSS AmericaFirst expects to expand into numerous investment platforms including

additional mutual funds, exchange-traded funds, unit investment trusts, and closed-end funds.

DSS AmericaFirst currently consists

of four mutual funds that seek to outperform their respective benchmark indices by applying a quantitative rules-based approach to

security selection.

(“Direct”) Through its holding company, Decentralized Sharing Systems, Inc.

and its subsidiaries

and partners, including Sharing Services Global Corporation provide an array of products and services, through an independent contractor

example, Decentralized’s wholly owned subsidiary, HWH World, Inc.

promotes products and services that fulfill its corporate position

of health, wealth, and happiness.

The HWH Marketplace through its brands desires to help its customers become the healthiest, happiest

versions of themselves.

For the health component , the company offers herbal alternatives of nutraceutical, consumables and topicals,

dietary supplements, beauty and skin care products, personal care, gut health products, aloe vera based supplements, and other wellness

As to the wealth component , the company is developing educational tools to its users to better manage individual finances

and savings programs to help its consumers find each consumer’s individual financial goal.

As to the happiness component ,

the company is working with other partners to either acquire or partner in products and/or services to allow its consumers to enjoy and

healthy living, including a global travel membership network.

Sharing Services, through its subsidiary Elevacity, markets and distributes health and wellness products under the “Elevate”

brand, primarily in the United States and Canada.

Sharing Services markets its products and services through its independent contractor

distribution system and using its proprietary website:

www.elevacity.com.

In February 2021, the Company launched its new business brand,

“The Happy Co.,” at its Elevacity division.

Elevacity as several well-known and signature products, including its top product

lines of “Happy Coffees” and “Nootropic Beverages”.

Elevacity also sells a “healthy shake”, a “Keto

beauty and skin care products, and other wellness products.

to our Impact BioMedical Division we have key patents that we will use as the foundation for foster product development and licensing.

We have 5 patents for some of our key products including Linebacker, Equivir/Nemovir, Laetose and 3F.

Our intellectual property will

enable us to be protected as we further these technologies and pave the road to commercialization.

own patents covering semiconductor, light emitting diode, and wireless peripheral technologies, respectively.

We also have several patent

applications in process, including provisional and Patent Cooperation Treaty (“PCT”) patent applications in various jurisdictions

including the United States, Canada, and Europe.

Our issued patents have remaining durations ranging from 1 to 16 years.

We several trademarks related to our related to

our HWH, SHRG, Impact BioMedical, and DSS, Inc.

In March 2020, DSS Securities formed AMRE (“American Medical REIT”) and its management company AAMI

(“AMRE Asset Management, Inc.) Through AAMI/AMRE, a medical real estate investment trust, fulfills community needs for quality

healthcare facilities while enabling care providers to allocate their capital to growth and investment in their contemporary clinical

and critical care businesses.

Urban and suburban communities are in need of modern healthcare facilities that provide a range of

medical outpatient services.

The funds ultimate product is an investor opportunity in a managed medical real estate investment trust.

Sentinel primarily operates as a financial intermediary, facilitating institutional trading of municipal and corporate bonds

as well as preferred stock, and accelerates the trajectory of the DSS digital securities business.

WestPark is a full-service investment banking and securities brokerage firm which serves the needs of both private and public

companies worldwide, as well as individual and institutional investors.

BMIC is a private investment bank specializing in corporate finance advising, raising equity, and venture services, providing

a global “one-stop” corporate consultancy to listed companies.

From corporate finance to professional valuation, corporate

communications to event management, BMIC services companies in the US, Hong Kong, Singapore, Taiwan, Japan, Canada, and Australia.

Wealth Management:

AmericaFirst is a suite of mutual funds managed by DSS Wealth Management.

AmericaFirst expects to expand into numerous investment platforms including additional mutual

funds and exchange-traded funds.

AmericaFirst currently consists of four mutual funds that

seek to outperform their respective benchmark indices by applying top-down, fundamental research,

quantitative and technical analysis to stock selection and portfolio management.

Direct Marketing Segment :

Prior to June

2023, the Direct Marketing business segment, operated through its holding company, Decentralized Sharing Systems, Inc., along with

its subsidiaries and partners, including Sharing Services Global Corporation, offered a diverse range of products and services

through an extensive independent contractor network until its transition to SHRG in late 2023 to effect DSS’s refocus on core

business lines.

For instance, one of Decentralized’s

wholly-owned subsidiaries, HWH World, Inc., was dedicated to promoting products and services that aligned with its core values of health,

wealth, and happiness.

Within the HWH Marketplace and its associated brands, the primary goal was to assist customers in achieving their

healthiest and happiest selves.

In terms of health-related offerings, the company provided herbal alternatives, nutraceuticals, consumables,

topicals, dietary supplements, beauty and skincare products, personal care items, gut health products, aloe vera-based supplements, and

various wellness products.

In the wealth sector, the company developed educational tools to help users manage their finances effectively

and offered savings programs to assist consumers in reaching their financial goals.

In pursuit of happiness, the company collaborated

with partners to acquire or establish products and services that enabled consumers to enjoy a healthy lifestyle, including access to a

global travel membership network.

Sharing Services Global Corporation

(“SHRG”), founded in Nevada on April 24, 2015, is focused on enhancing shareholder value by developing or acquiring businesses

and technologies that expand its product and services portfolio, enhance its business capabilities, and broaden its geographic presence.

Sharing Services’ integrated platform harnesses the expertise of various companies engaged in direct-to-consumer product marketing

through independent contractors.

Their shared services platform caters to the direct selling “gig economy” sector by providing

essential services such as equity and inventory financing, advisory services, mobile application tools, merchant processing services,

commercial insurance, and event planning to smaller direct sales companies.

Sharing Services, through its subsidiaries, currently markets

and distributes health and wellness products, including subscription-based travel services, in the United States, Canada, and Mexico,

utilizing a direct selling business model.

Their growth strategy involves both organic expansion and strategic acquisitions that complement

their product range, enhance their business capabilities, and align with their overall growth objectives.

in July 2023, Direct now specializes in licensing its products and services through its subsidiary HWH World, Inc.

(“HWH World”)

using the popular gig economic marketing strategy as a form of direct marketing.

Direct’s products include, among other things,

nutritional and personal care products sold throughout North America, Asia Pacific, Middle East, and Eastern Europe.

Impact Biomedical Inc.

patents issued, one(1) allowed, and over forty (40) patents pending worldwide with expiration of US patents between 2029 and 2040.

Pending patents could extend this exclusivity period in all regions.

The issued and allowed patents include

composition and method of application for Linebacker, Equivir, 3F (Functional Fragrance), and Laetose.

We have several trademarks

related to our DSS, Inc.

primary corporate website we maintain is www.dssworld.com .

which describes our Company, our

https://www.dssworld.com, Our parent company.

Pacific Bancorp (“APB”):

https://www.ampacbancorp.com – Our commercial

lending company.

Medical REIT, Inc:

http://www.americanmedreit.com – our medical real estate investment trust company.

https://www.impactbiomedinc.com - our human wellness and healthcare company.

https://www.shrginc.com - Our majority owned technology, eCommerce, and gig economy opportunities company.

(Health, Wealth & Happiness) Marketplace:

https://www.hwhmarketplace.com - an online retail site that is centered around

our health and wellness nutraceutical products.

AmericaFirst:

https://www.afcm-quant.com - a suite of mutual funds managed by DSS Wealth Management, Inc.

Our other sites are:

American Medical REIT, Inc:

http://www.americanmedreit.com

DSS AmericaFirst:

https://www.afcm-quant.com

American Pacific Bancorp (“APB”):

https://www.ampacbancorp.com

DSS PureAir, Inc.:

https://dsspureair.com/

Premier Packaging:

https://www.premiercustompkg.com

- our printing and packaging company.

addition to the active websites, the Company is building multiple new sites and owns several other domain names reserved for future

use or for strategic competitive reasons.

Information on our websites or any other website does not constitute a part of this annual

Impact Biomedical:

https://www.impactbiomedinc.com

In addition to the

active websites, the Company is building multiple new sites and owns several other domain names reserved for future use or for strategic

competitive reasons.

Information on our websites or any other website does not constitute a part of this annual report.

and Competition

Our packaging division competes with a significant number of national, regional companies, many of which are independent and

privately held.

The largest competitors in this market are primarily focused on the long-run consumer package goods and health and beauty

They include large integrated paper companies such as West Rock Company, and Graphic Packaging Holding Company.

Our commercial lending company, American Pacific Bancorp (“APB”) provides an integrated suite of financial

services for businesses that include commercial business lines of credit, land development financing, inventory financing, third

party loan, servicing, and services that address the financial needs of a variety of diversified businesses lines.

These efforts

compete with a wide variety of traditional commercial banks and investment banking companies including.

Product Packaging:

Within our packaging division, we face competition from numerous national and regional companies, many of which operate independently

and are privately held.

The major players in this market are primarily concentrated in long-term consumer packaged goods and health and

beauty sectors.

These include prominent integrated paper companies like West Rock Company and Graphic Packaging Holding Company.

Commercial Lending:

American Pacific Bancorp, our commercial lending company, offers a comprehensive range of financial services tailored

to businesses.

Our services encompass commercial business lines of credit, land development financing, inventory financing, third-party

loan servicing, and solutions designed to meet the diverse financial requirements of various business sectors.

In this competitive landscape,

APB competes with a wide array of traditional commercial banks and investment banking firms.

Biotechnology:

Our biotechnology companies including Impact Biomedical Inc., are focused on the discovery, development, and commercialization of products

and technologies to address unmet needs in human healthcare and wellness.

Specific areas of focus include specialty biopharmaceuticals,

antivirals, antimicrobials, and consumer healthcare and wellness products, often derived from naturally sourced elements.

These efforts

compete with established and start-up companies, university research and development efforts, and individual inventors and scientists.

Examples of competitors include Ipsen Pharmaceuticals, Conagen Inc., Mylan Consumer Healthcare, Klaire Labs, Vertex Pharmaceuticals,

and the National Center of Natural Product Development at the University of Mississippi.

The network marketing or direct marketing industry is a very competitive marketplace.

While not directly competing with HWH

and SHRG, the following companies are significant players in the global network marketing business and as a result an indirect competitor

of HWH and SHRG:

Amway, Avon, Herbalife, Natura, Vorwerk, Mary Kay, Perfect, Forever Living, Nu Skin, Young Living, and New Era, among

and Investment Management:

Impact Biomedical

is dedicated to the discovery, confirmation, and patenting of unique scientific advancements and technologies, which lead to

innovative solutions in the realm of human healthcare and wellness.

IBIO collaborates closely with licensing partners, engages in

co-development initiatives, forms joint ventures, and nurtures other valuable relationships to effectively introduce these

groundbreaking solutions to the market.

Securities and Investment

Was established to develop and/or acquire assets in the securities trading or management arena.

These efforts

and established business lines compete with individual money managers, companies or organizations that engage in the business of trading

securities and derivatives for the benefit of their customers.

Traditional RIA’s, Brokers Dealers, REIT’s and other personal

investment companies would also be considered competition.

During 2021, two customers accounted

for approximately 41% of our consolidated revenue.

As of December 31, 2021, these two customers accounted for approximately

48% of our consolidated trade accounts receivable balance.

As of December 31, 2020, these two customers accounted for 38% of our

consolidated revenue and 60% of the Company’s consolidated trade accounts receivable balance.

This customer

diversification improvement was driven by addition of several new customers to our overall customer base.

Commercial Lending:

2021, American Pacific Bancorp, Inc.

has issued nearly $26 million in new loans

since September 2021 to customers with strong credit quality across a diverse portfolio of businesses.

We anticipate another 15M + of

new commercial loans in the near term.

Top customers include Harris-Montgomery Counties Management District, American Medical REIT, Inc.,

and ASILI, LLC.

Direct Marketing:

our direct marketing companies HWH World, SHRG and its subsidiary, The Happy Co.

continued to build their customer bases and brand recognition

on a global basis.

These businesses utilize person-to-person sales by independent representatives through direct communication and distribution

to individual consumers and their networks.

Mail, email, social media, influencers or affiliates, and texting campaigns are among the

delivery systems used to communicate and sell to our thousands of customers.

and Investment Management:

Since October of 2021, our Securities and Investment Management division has a mixture of retail

and institutional investors.

These efforts and established

business lines compete with individual money managers, companies or organizations that engage in the business of trading securities and

derivatives for the benefit of their customers.

Traditional RIA’s, Brokers Dealers, REIT’s and other personal investment

companies would also be considered competition.

During 2023, one customer accounted for approximately 20% of our consolidated revenue and second customer accounted for approximately 11% of our consolidated revenue.

Customer diversification

improvements have produced several new customers to our overall customer base and will continue to do so in 2024.

Since 2021, American Pacific Bancorp, Inc.

has issued nearly $26 million in new loans since September 2021 to customers

across a diverse portfolio of businesses.

Securities and Investment

Our Securities and Investment Management division has a mixture of retail and institutional investors.

Product Packaging:

raw materials the Company uses in its businesses are paper, paperboard, corrugated board and ink.

The Company negotiates with leading

suppliers to maximize its purchasing efficiencies and uses a wide variety of paper grades, formats, ink formulations and colors.

and paperboard prices continued to increase in 2022, and we believe increases in future years are expected.

Except for certain

packaging customers where the Company enters into annual contracts, for which changes in paperboard pricing is absorbed by the Company,

the Company has historically passed substantially all increases and decreases to its customers, although there can be no assurances that

the Company will continue to do so in the future.

Sources its products from 3 rd party suppliers for nutritional, performance, and health and beauty product ingredients.

We rely on our extensive supplier network for availability of an extensive range of vitamins, minerals, botanicals, plant and herb extracts,

as well as nutritional supplements.

We are expecting continue price pressure and supply chain issues into 2022 and have put significant

risk mitigation strategies in place to avoid dramatic P&L effects based on this anticipated and continued volatility.

passes any substantial increase of its raw materials or finished goods on to its customers to limit any significant margin impact.

The primary raw materials the Company uses in its business are paper, paperboard, corrugated board and ink.

The Company negotiates with

leading suppliers to maximize its purchasing efficiencies and uses a wide variety of paper grades, formats, ink formulations and colors.

The good news is that while there are materials that remain challenging, raw materials have begun to improve in terms of cost and availability.

The good news is that while there are materials that remain challenging, raw materials have begun to improve in terms of cost and availability

in late 2023.

Procurement sustainability as a crucial element and it involves not only ensuring that suppliers meet sustainability standards,

but also a commitment to ongoing internal improvement in sustainability practices.

Premier is proactively engaged in setting high standards

and ensuring that these standards are followed by its supply chain partners, contributing to the improvement and compliance of the broader

During 2023, one vendor accounted for approximately 25% and second vendor

accounted for approximately 13% of our paper and paperboard purchases.

Direct Marketing:

Sources its products from 3 rd party suppliers

for nutritional, performance, and health and beauty product ingredients.

We rely on our extensive supplier network for the availability

of an extensive range of vitamins, minerals, botanicals, plant, and herb extracts, as well as nutritional supplements.

Environmental

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on the Company’s consolidated annual results of operations, financial position or cash flows.

biotechnology business is faced with potential government regulations.

If new legislation, regulations, or rules are implemented

either by Congress, the U.S.

Patent and Trademark Office (the “USPTO”), or the courts that impact the patent application

process, the patent enforcement process or the rights of patent holders, these changes could negatively affect our patent monetization

efforts and, in turn, our assets, expenses and revenue.

United States patent laws have been amended by the Leahy-Smith America Invents

The America Invents Act includes several significant changes to U.S.

In general, the legislation attempts to address

issues surrounding the enforceability of patents and the increase in patent litigation by, among other things, establishing new procedures

for patent litigation.

For example, the America Invents Act changes the way that parties may be joined in patent infringement actions,

increasing the likelihood that such actions will need to be brought against individual parties allegedly infringing by their respective

individual actions or activities.

Our biotechnology

business is faced with potential government regulations.

If new legislation, regulations, or rules are implemented either by Congress,

Patent and Trademark Office (the “USPTO”), or the courts that impact the patent application process, the patent

enforcement process or the rights of patent holders, these changes could negatively affect our patent monetization efforts and, in turn,

our assets, expenses and revenue.

United States patent laws have been amended by the Leahy-Smith America Invents Act.

The America Invents

Act includes several significant changes to U.S.

In general, the legislation attempts to address issues surrounding the enforceability

of patents and the increase in patent litigation by, among other things, establishing new procedures for patent litigation.

the America Invents Act changes the way that parties may be joined in patent infringement actions, increasing the likelihood that such

actions will need to be brought against individual parties allegedly infringing by their respective individual actions or activities.

In addition, the U.S.

Department of Justice (“DOJ”) has conducted reviews of the patent

system to evaluate the impact of patent assertion entities, such as our Company, on industries in which those patents relate.

It is possible

that the findings and recommendations of the DOJ could adversely impact our ability to effectively license and enforce standards-essential

patents and could increase the uncertainties and costs surrounding the enforcement of any such patented technologies.

new rules regarding the burden of proof in patent enforcement actions could significantly increase the cost of our enforcement actions,

and new standards or limitations on liability for patent infringement could negatively impact our revenue derived from such enforcement

Company, incorporated in the state of New York in May 1984 has formally conducted business in the name of Document Security Systems,

On September 16, 2021, the board of directors approved an agreement and plan of merger with a wholly owned subsidiary, DSS,

(a New York corporation, incorporated in August 2020), for the sole purpose of effecting a rebranding from Document Security

Systems, Inc.

This change became effective on September 30, 2021.

maintained the same trading symbol “DSS”

and updated its CUSIP number to 26253C-102.

See the “Overview” section above for further details about our acquisitions.

As of December 31, 2021, all

Department of Justice (“DOJ”) has conducted reviews of the patent system to evaluate the impact of

patent assertion entities, such as our Company, on industries in which those patents relate.

It is possible that the findings and recommendations

of the DOJ could adversely impact our ability to effectively license and enforce standards-essential patents and could increase the uncertainties

and costs surrounding the enforcement of any such patented technologies.

Moreover, new rules

regarding the burden of proof in patent enforcement actions could significantly increase the cost of our enforcement actions, and new

standards or limitations on liability for patent infringement could negatively impact our revenue derived from such enforcement actions.

The Company, incorporated

in the state of New York in May 1984 has formally conducted business in the name of Document Security Systems, Inc.

On September 16,

2021, the board of directors approved an agreement and plan of merger with a wholly owned subsidiary, DSS, Inc.

(a New York corporation,

incorporated in August 2020), for the sole purpose of effecting a rebranding from Document Security Systems, Inc.

became effective on September 30, 2021.

maintained the same trading symbol “DSS” and updated its CUSIP number to

In January 2024, in conjunction with a reverse split, DSS now operates under the CUSIP 26253C 201.

See the “Overview”

section above for further details about our acquisitions.

Human Capital Resources

As of December

31, 2023, DSS, Inc.

had 95 employees worldwide.

We continue to retain and attract qualified management and technical personnel.

Our employees

are not covered by any collective bargaining agreement, and we believe that our relations with our employees are in good standing.

website address is www.dssworld.com .

Information on our website is not incorporated herein by reference.

We make available

free of charge through our website our press releases, Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, Current Reports on

Form 8-K and all amendments to those reports as soon as reasonably practicable after electronically filed with or furnished to the Securities

and Exchange Commission.

AHEAD IN 2022

believe 2022 will be a breakout year for DSS.

Spurred by innovation,

industry needs, and timely acquisitions, in 2022 we will focus on improving top line revenue and top line revenue diversification and

profitability.

Through our expertly cultivated processes and industry research, we can ensure the success of our projects across diverse

sectors and business environments.

The opportunities within our business lines and high-growth markets have unlimited potential, and

our entities within these sectors are contemporary, scalable, and offer recurring revenue opportunities.

we began executing on our current strategy of restructuring and recapitalization, the Company had approximately $16.2 million in assets

and only a handful of struggling or undercapitalized businesses.

In just two years, we divested underperforming assets, added eight distinct

business lines, and grew assets to more than $285 million, which includes $57 million in cash as of our December 31,

2021 filing with the SEC.

Today, we have approximately 40 subsidiaries operating across nine attractive market business

lines, with five of those business lines now with significant operations and generating revenue.

have been fortunate to have attracted tremendous talent to lead each of our business units.

When building out our businesses, we look

for established, industry leaders with long track records and the expertise to add meaningful value to our DSS ecosystem and create a

foundation for success.

diverse book of clients and investments has given us strong competitive advantages globally in many industries;

we intend to aggressively

capitalize on these advantages moving forward.

We believe the momentum of our success and ongoing evolution will continue to be unabated

in 2022 based on the multitude of major successes in 2021 that are key drivers and the catalyst of new value creation in the coming

year and beyond.

employees are not covered by any collective bargaining agreement, and we believe that our relations with our employees are in good

Our website address

is www.dssworld.com .

Information on our

website is not incorporated herein by reference.

We make available free of charge through our website our press releases, Annual Report

on Form 10-K/A, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and all amendments to those reports as soon as reasonably practicable

after electronically filed with or furnished to the Securities and Exchange Commission.

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/A

Item 1. Business