SRAX, Inc. (SRAX): History, Ownership, Mission, How It Works & Makes Money

How does a financial technology firm like SRAX, Inc., which is currently focused on its Sequire investor intelligence platform, plan to navigate a volatile market and achieve a major financial pivot?

You're looking at a company with a March 2025 market capitalization of just over $9.3 million, yet analyst forecasts project a significant turnaround, estimating its 2025 annual revenue to hit $95 million with an earnings per share (EPS) of $0.50.

That massive gap between recent performance-like the 2023 six-month net loss of $(3.390 million)-and the aggressive 2025 targets is exactly why its history, ownership structure, and core business model are defintely worth a deep dive.

SRAX, Inc. (SRAX) History

If you're looking at SRAX, Inc. today, you see a focused financial technology company built around its investor intelligence platform, Sequire. But honestly, its history is a classic story of an ad-tech business that had to pivot hard to survive and find a profitable niche. That pivot, from digital marketing to empowering public companies with shareholder data, is the key to understanding its current strategy and potential.

Given Company's Founding Timeline

Year established

SRAX was originally organized in August 2009 as Social Reality, LLC, a California limited liability company. The business officially started operations in May 2010.

Original location

The company's initial base of operations was in Los Angeles, California. Today, the corporate office is located in Westlake Village, California.

Founding team members

The founding team included Christopher Miglino, who served as the Chief Executive Officer for a significant period.

Initial capital/funding

Specific details on the initial seed capital are not publicly available, but the company converted to a Delaware corporation, Social Reality, Inc., effective January 1, 2012, before its Initial Public Offering (IPO) later that year. The IPO on October 1, 2012, was the first major capital infusion as a public entity.

Given Company's Evolution Milestones

Given Company's Transformative Moments

The company's trajectory wasn't a straight line; it was a series of critical, transformative decisions that reshaped its entire business model. The most significant move was recognizing that its strength wasn't selling ads, but in the data infrastructure it built. That's the quick math.

• The Pivot to Sequire (2016-2020): The launch of the Sequire platform in 2016 was a defintely game-changing moment. It shifted the core business from a low-margin, competitive ad-tech space to a high-value, subscription-based Software as a Service (SaaS) model for investor relations. By 2023, the Sequire SaaS platform accounted for 99.75% of total revenues.
• Strategic Divestitures (2021 & 2023): The sale of the BIGtoken subsidiary in February 2021 and the subsequent sale of LD Micro in March 2023 were crucial for capital allocation and focus. These moves signaled a clear, unhedged commitment to the investor intelligence market, shedding non-core assets to fund its primary mission.
• Financial Trajectory in 2025: The market is mapping a strong financial year, with a forecasted annual revenue of $95 million and a forecasted Earnings Per Share (EPS) of $0.50 for the fiscal year ending December 31, 2025. This projected growth shows the market believes the strategic focus on Sequire is paying off.

To understand the depth of this focus on shareholder engagement, you should review the Mission Statement, Vision, & Core Values of SRAX, Inc. (SRAX).

SRAX, Inc. (SRAX) Ownership Structure

The ownership structure of SRAX, Inc. is highly concentrated, reflecting its status as a micro-cap public company with minimal institutional interest; this means control is largely vested in the hands of insiders and the general retail investor base.

For a company projecting $95 million in annual revenue for the 2025 fiscal year and an earnings per share (EPS) of $0.50, the lack of institutional buying is a key indicator of risk and opportunity, but it also means management and retail investors hold significant sway. [cite: 10 in step 4]

SRAX, Inc.'s Current Status

SRAX, Inc. is a publicly traded company, but its status has shifted significantly. It currently trades on the OTC Markets (OTCPK) under the ticker SRAX, following a delisting notice from the Nasdaq stock exchange. [cite: 1 in step 1, 4 in step 1]

The move to the over-the-counter market typically reduces liquidity and institutional visibility, but it also allows the company to focus on its core investor intelligence and communications platform, Sequire, without the immediate pressure of Nasdaq compliance. As of November 2025, the stock price was trading around $0.0120 per share, highlighting the high-risk, high-reward nature of this investment. [cite: 3 in step 1]

You need to understand the governance framework here, because the board and leadership have a direct line to a large, engaged retail shareholder base. If you want to dive deeper into the company's long-term goals, you should look at the Mission Statement, Vision, & Core Values of SRAX, Inc. (SRAX).

SRAX, Inc.'s Ownership Breakdown

The ownership breakdown clearly shows a company controlled by its founders and the retail market, with virtually no presence from large institutional funds. This structure means major strategic decisions are less influenced by the short-term pressures of Wall Street institutions and more by the long-term vision of the founders and the collective will of the retail base.

Here's the quick math: With institutional ownership essentially at zero, the vast majority of shares are held by people connected to the company (insiders) and individual investors (retail). This is defintely a founder-driven model.

SRAX, Inc.'s Leadership

The leadership team is anchored by its founder, who has been steering the company for over a decade. This long tenure provides continuity, but also means the company's strategy is deeply tied to the vision of a few key individuals. The average tenure of the management team is approximately 7.1 years, which is quite seasoned for a technology company. [cite: 1 in step 4]

• Christopher Miglino: Founder, Chairman, and Chief Executive Officer (CEO). He co-founded the company in April 2010 and remains the central figure in its operations and strategy. [cite: 1 in step 4]
• Selene Solis: Chief Technology Officer (CTO). Solis oversees the development and architecture of the core Sequire platform. [cite: 1 in step 4]
• Kathy Ireland: Chief Branding Advisor. Her role is to guide the company's brand and market positioning, leveraging her extensive experience. [cite: 1 in step 4]
• Christopher Lahiji: President of LD Micro (a former subsidiary). He is a significant insider and has also served on the Board of Directors. [cite: 2 in step 4]

Note that the position of Chief Financial Officer (CFO) has seen turnover; Alan Urban was appointed in March 2023, but a resignation was noted later that year. [cite: 6 in step 4, 1 in step 4] The lack of a clear, confirmed CFO replacement as of November 2025 is a governance issue you should monitor closely.

SRAX, Inc. (SRAX) Mission and Values

SRAX, Inc.'s core purpose is to be the central nervous system for public company investor relations, focusing on using proprietary data to drive shareholder engagement and growth. This commitment to data-driven communication is what defines their cultural DNA beyond the forecasted $95 million in annual revenue for the 2025 fiscal year.

Honestly, their mission is simple: give public companies the same kind of hyper-specific audience data that big consumer brands use. You can't engage who you can't see.

Given Company's Core Purpose

The company's core values center on empowering publicly traded companies by providing unprecedented clarity into their investor base (shareholders). This focus is a direct response to the challenges companies face in maintaining and attracting new investors in a complex market.

Their operational framework is built on a foundation of technology and data-driven insight, which is why the Sequire platform is the heart of the business, enabling clients to track and engage with investors across marketing channels.

• Data-Driven Empowerment: Unlocking proprietary data and insights for publicly traded companies.
• Shareholder Clarity: Providing tools to track investors' behaviors and trends, allowing for targeted outreach.
• Singular Focus: Maintaining a 100% focus on providing their platform and services to public companies, a strategy reinforced by recent asset sales.

Official mission statement

While SRAX, Inc. does not publish a single, formally titled mission statement, its corporate filings and investor materials consistently define its purpose as a financial technology company that unlocks data and insights for publicly traded companies.

The mission is to develop and operate a premier investor intelligence and communications platform, Sequire, to enhance communications between public companies and their shareholders and investors. This is a defintely a tech-first approach to a traditional Investor Relations (IR) problem.

• Unlock data and insights for publicly traded companies.
• Empower public companies to acquire, manage, and engage with quality shareholders.
• Use machine learning and advanced analytics to deliver actionable information.

Vision statement

The company's vision is clearly articulated in its positioning of the Sequire platform as the essential, all-encompassing tool for its clients. The goal is market leadership in the investor intelligence space.

The company aims to be the indispensable operating system that allows issuers to better understand their position in the market and maximize return on investment (ROI) through smarter stockholder communications.

• Be the premier operating system for publicly traded companies.
• Cultivate an inclusive Investor Community that successfully participates in a growing economy.
• Drive significant value for stockholders, aiming for a forecasted annual EPS of $0.50 in 2025.

If you want to dive deeper into who's backing this vision, you should read Exploring SRAX, Inc. (SRAX) Investor Profile: Who's Buying and Why?

Given Company slogan/tagline

The company uses its positioning statement as its primary, overarching tagline, which is consistently featured across its corporate communications and website.

• The Premier Operating System for Publicly Traded Companies.

SRAX, Inc. (SRAX) How It Works

SRAX, Inc. operates as a financial technology (FinTech) company, providing a premier investor intelligence and communications platform called Sequire. It works by giving publicly traded companies data-driven insights into who is buying and selling their stock, allowing them to precisely target and communicate with their current and prospective investors.

Honesty, the entire business is now laser-focused on this software-as-a-service (SaaS) model, which accounted for over 99.75% of its total revenues in the most recent reported quarter. This streamlining is a clear signal of their commitment to becoming the operating system for public company investor relations.

SRAX, Inc.'s Product/Service Portfolio

The company's value proposition is built on two core pillars within its Sequire ecosystem: proprietary data intelligence and high-touch investor engagement services. This combination helps issuers manage their shareholder base and drive interest from a network of over 5 million active investors.

SRAX, Inc.'s Operational Framework

The operational process is a closed-loop system designed to turn raw market data into actionable investor engagement. It's defintely not just a dashboard; it's a full-stack communications engine.

• Data Ingestion: The platform continuously aggregates and processes vast amounts of market and trading data, running it through machine learning algorithms to identify specific investor trends and behaviors.
• Shareholder Identification: Sequire uses this intelligence to look beyond the nominee accounts (like Cede & Co.) to identify the actual beneficial owners-both institutional investors and the growing retail investor base. You need to know who owns your stock.
• Insight Generation: Proprietary tools like the Deal Center allow issuers to model potential financing transactions, predicting how long a specific investor might hold their position or at what price they may sell their shares.
• Targeted Outreach: The system then creates highly segmented investor lists, which the Managed Services team uses to execute targeted media and communication campaigns across a network of over 2,500 potential sites.
• Feedback Loop: Performance metrics from outreach campaigns are continuously reported and used to optimize future strategies, which helps the company maintain a high level of cost efficiency despite recent revenue declines.

SRAX, Inc.'s Strategic Advantages

SRAX's edge comes from its proprietary data asset and its unique position as a technology provider that is also a public company, giving it genuine empathy for the issuer's challenges. If you want to dive deeper into the market's view, you should check out Exploring SRAX, Inc. (SRAX) Investor Profile: Who's Buying and Why?

• Proprietary Data Moat: The Sequire platform has built a proprietary network of over 5 million active retail investors, which is a significant, hard-to-replicate asset for targeted investor marketing.
• Machine Learning for Predictive IR: The use of machine learning in features like the Deal Center moves the platform beyond simple reporting into predictive investor relations (IR), offering a clear advantage over traditional IR firms.
• SaaS Revenue Focus: The shift to a pure-play Sequire SaaS model, forecasted to generate $95 million in annual revenue for the 2025 fiscal year, provides a more predictable and scalable revenue stream than its prior business segments.
• Operational Efficiency: Management has demonstrated a focus on cost management, significantly reducing operating expenses by 66% in the first half of 2023, which is critical for achieving the forecasted 2025 earnings per share of $0.50.

SRAX, Inc. (SRAX) How It Makes Money

SRAX, Inc. generates nearly all its revenue by selling data intelligence and communication services to publicly traded companies through its flagship platform, Sequire. This platform provides a software-as-a-service (SaaS) model, giving issuers the tools to understand who owns their stock and how to engage those investors more effectively.

Honestly, the business is a pure-play B2B (business-to-business) financial technology company, and its financial health hinges entirely on the subscription and service fees from its Sequire platform.

SRAX, Inc.'s Revenue Breakdown

The company's revenue concentration is intense, which is a structural risk. As of the most recent segment data, nearly all income is tied to the Sequire platform. The full-year 2025 revenue is forecasted to hit a massive $95 million, a number that implies a significant turnaround from recent operating performance.

Business Economics

The core economic engine for SRAX is the high-margin, recurring revenue model of its Sequire platform, a Software-as-a-Service (SaaS) offering. The platform's value proposition is simple: public companies pay for proprietary investor intelligence-data on who is buying and selling their stock-which is otherwise opaque. This creates a high customer switching cost, which is a good thing.

Here's the quick math on their model:

• Pricing Strategy: A subscription-based model with tiered pricing, likely based on the size of the issuer (micro-cap vs. mid-cap) and the level of data access or managed services provided.
• Customer Concentration: Revenue is highly concentrated in the U.S. market, accounting for 99.41% of revenues in the first quarter of 2023.
• Cost of Revenue: The company has shown an ability to significantly reduce operating costs, with expenses for the six months ended June 30, 2023, dropping by 66% to $5.435 million. That's a huge operational efficiency gain, but it comes as revenue also dropped sharply.
• Churn Risk: If onboarding takes 14+ days, churn risk rises, especially among smaller-cap clients who need immediate, actionable data to justify the high subscription fees.

To be fair, the company has been focused on a strategic shift to a cash-only payment model, which is why you see a sharp decline in reported revenue in the near-term historical data, but it aims to improve the quality of its cash flow. You need to watch the cash flow from operations, not just the revenue line.

SRAX, Inc.'s Financial Performance

Looking at the full fiscal year 2025, analysts are projecting a significant rebound, but the recent past shows a company in a challenging transition. The market capitalization, as of November 20, 2025, is quite small at only $428,239, which reflects the high-risk, high-reward nature of this micro-cap stock.

• 2025 Revenue Estimate: The full-year 2025 revenue is forecasted at $95 million. This is the number to track against future quarterly reports.
• Earnings Per Share (EPS) Forecast: Analysts estimate an annual EPS of $0.50 for December 31, 2025. This is the key metric that would signal a successful turnaround to profitability.
• Recent Loss: For the first six months of 2023 (as reported in an April 2025 update), the net loss was $(3.390 million). The company is defintely still in a high-burn phase, even with reduced costs.
• Liquidity Warning: The company has faced a going concern warning from its auditor, and it relies heavily on converting marketable securities into cash to fund operations. This isn't a sustainable long-term funding model.
• Valuation Indicators: As of April 2025, the Price-to-Earnings (P/E) ratio was -0.24, indicating the company was loss-making. The Price-to-Book (P/B) ratio of 0.67 suggests the market values the company below its book value.

The narrative is clear: SRAX is a distressed asset with an optimistic forecast. You are betting on the $95 million revenue and $0.50 EPS forecast materializing, which requires massive execution and market acceptance of the Sequire platform. For a deeper dive into the balance sheet risks, you should read Breaking Down SRAX, Inc. (SRAX) Financial Health: Key Insights for Investors.

SRAX, Inc. (SRAX) Market Position & Future Outlook

SRAX, Inc. is currently positioned as a focused, niche financial technology player, pivoting entirely around its premier investor intelligence platform, Sequire, to service public companies. The company's future trajectory is a high-risk, high-reward bet on its ability to convert its forecasted $95MM in annual revenue for the 2025 fiscal year into sustainable profit, especially given the forecasted $0.50 Earnings Per Share (EPS) for the same period. They've simplified their model, so now it's all about execution on the core platform.

Competitive Landscape

In the broader digital data and advertising technology (AdTech) space, SRAX competes with much larger players, but its core strength is in the specialized Investor Relations (IR) FinTech niche. The market share below reflects a qualitative estimate within the highly fragmented, specialized investor intelligence and communications segment, not the massive global AdTech market.

Opportunities & Challenges

The company's strategic shift to a pure-play SaaS model centered on Sequire creates clear opportunities, but it also concentrates the risk. Here's the quick map of what's ahead:

Industry Position

SRAX operates at the intersection of Financial Technology and Business Intelligence, a space where the latter is projected to be a $47.48 billion market in 2025. SRAX is defintely not a market leader in that broad space, but it holds a unique, defensible position in the micro-cap and small-cap investor relations niche.

Its industry standing is defined by its technology moat-the Sequire platform-which provides public companies with a rare, direct view into who is buying and selling their stock, and how to target them. This is a valuable tool for companies with complex or volatile shareholder bases.

• Streamlined Focus: The divestiture of LD Micro in 2023 has simplified the business model, allowing a laser-focus on the high-margin SaaS revenue from Sequire.
• Capital Strain: Despite the strategic focus, the company's financial health remains strained, with total assets of $4.901 million and total liabilities of $16.156 million as of June 30, 2023, signaling a significant stockholders' deficit.
• Niche Dominance: While its $95MM revenue forecast is small globally, it represents a substantial presence in the specialized investor intelligence segment for smaller public entities.

To be fair, the company's success hinges on whether its cost-cutting and platform focus can outpace its need for capital. You can get a deeper dive into the balance sheet by reading Breaking Down SRAX, Inc. (SRAX) Financial Health: Key Insights for Investors.