$VXIT That number of shares (2,500,000,000) is the largest number needed to raise the $5 million and they would have to be sold at .002 to accomplish that. These PRELIMINARY OFFERING CIRCULARS when filed cannot increase the number of shares offered in the future so this is a Worst Case Scenario that is presented. Issuers can however decrease the number sold by pricing the securities higher after qualification.
Does the issuer intend to price this offering after qualification pursuant to Rule 253(b)? X YES
Can an offering circular supplement be used to increase the volume?
An offering circular supplement may not be used to increase the volume of securities being offered. Additional securities may only be offered pursuant to a new offering statement or post-qualification amendment qualified by the Commission. (c) Filing of omitted information.