CervoMed (CRVO) 10-Q 12 Nov 24 2024 Q3 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	9 Months Ended
	Sep. 30, 2024	Nov. 07, 2024
Document Information [Line Items]
Document Type	10-Q
Document Quarterly Report	true
Document Period End Date	Sep. 30, 2024
Document Transition Report	false
Entity File Number	001-37942
Entity Registrant Name	CervoMed Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	30-0645032
Entity Address, Address Line One	20 Park Plaza, Suite 424
Entity Address, City or Town	Boston
Entity Address, State or Province	MA
Entity Address, Postal Zip Code	02116
City Area Code	617
Local Phone Number	744-4400
Title of 12(b) Security	Common Stock, par value $0.001 per share
Trading Symbol	CRVO
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding (in shares)		8,253,741
Entity Central Index Key	0001053691
Current Fiscal Year End Date	--12-31
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q3
Amendment Flag	false

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Current Period Unaudited) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Current assets:
Cash and cash equivalents	$ 7,743,667	$ 7,792,846
Marketable securities	38,913,236	0
Prepaid expenses and other current assets	1,888,879	1,256,501
Grant receivable	264,148	915,404
Total current assets	48,809,930	9,964,751
Other assets	73,937	7,770
Total assets	48,883,867	9,972,521
Current liabilities:
Accounts payable	1,082,435	662,471
Accrued expenses and other current liabilities	2,163,936	1,933,276
Total liabilities	3,246,371	2,595,747
Commitments and Contingencies
Stockholders’ Equity:
Common stock, $0.001 par value: 1,000,000,000 shares authorized: 8,253,741 and 5,674,520 shares issued and outstanding at September 30, 2024 and December 31, 2023, respectively	8,253	5,674
Additional paid-in capital	109,531,651	61,811,889
Accumulated other comprehensive income	123,162	0
Accumulated deficit	(64,025,570)	(54,440,789)
Total stockholders' equity	45,637,496	7,376,774
Total liabilities and stockholders' equity	$ 48,883,867	$ 9,972,521

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Sep. 30, 2024	Dec. 31, 2023
Common Stock, Par or Stated Value Per Share (in dollars per share)	$ 0.001	$ 0.001
Common Stock, Shares Authorized (in shares)	1,000,000,000	1,000,000,000
Common Stock, Shares, Outstanding (in shares)	8,253,741	5,674,520
Common Stock, Shares, Issued (in shares)	8,253,741	5,674,520

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations and Comprehensive (Loss) Income (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Grant revenue	$ 1,939,751	$ 1,526,482	$ 7,575,972	$ 4,654,294
Operating expenses:
Research and development	5,125,097	1,791,487	11,711,746	5,583,149
General and administrative	2,210,927	2,410,124	6,850,536	4,403,590
Total operating expenses	7,336,024	4,201,611	18,562,282	9,986,739
Loss from operations	(5,396,273)	(2,675,129)	(10,986,310)	(5,332,445)
Other income (expense):
Other income (expense)	(3,440)	4,777,824	(3,717)	5,422,192
Interest income	646,172	47,667	1,405,246	100,778
Total other income, net	642,732	4,825,491	1,401,529	5,522,970
Net (loss) income	$ (4,753,541)	$ 2,150,362	$ (9,584,781)	$ 190,525
Net loss per share of common stock, diluted (in dollars per share)	$ (0.55)	$ (0.7)	$ (1.22)	$ (2.37)
Net (loss) income per share of common stock, basic (in dollars per share)	$ (0.55)	$ 0.65	$ (1.22)	$ 0.13
Weighted average shares outstanding, basic (in shares)	8,702,764	3,308,302	7,861,757	1,458,415
Weighted average shares outstanding, diluted (in shares)	8,702,764	3,766,700	7,861,757	2,209,407
Comprehensive (loss) income:
Net unrealized loss on marketable securities	$ 142,864	$ 0	$ 123,162	$ 0
Total comprehensive loss	$ (4,610,677)	$ 2,150,362	$ (9,461,619)	$ 190,525

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Changes in Convertible Preferred Stoc and Stockholders' Equity (Deficit) (Unaudited) - USD ($)	Preferred Stock [Member]	Common Stock [Member]	Additional Paid-in Capital [Member]	AOCI Attributable to Parent [Member]	Retained Earnings [Member]	Total
Balance (in shares) at Dec. 31, 2022	3,331,201	518,140
Balance at Dec. 31, 2022	$ 24,287,211	$ 518	$ 18,983,339		$ (52,268,916)	$ (33,285,059)
Stock-based compensation expense	0	0	242,660		0	242,660
Net unrealized loss on marketable securities						0
Net loss	$ 0	$ 0	0		190,525	190,525
Issuance of common stock, prefunded warrants and common stock warrants, net of offering costs (in shares)	0	63,422
Issuance of common stock, prefunded warrants and common stock warrants, net of offering costs	$ 0	$ 63	809,937		0	810,000
Conversion of convertible preferred stock to common stock (in shares)	(3,331,201)
Conversion of convertible preferred stock to common stock	$ (24,287,211)
Conversion of convertible preferred stock to common stock (in shares)		2,936,566
Conversion of convertible preferred stock to common stock		$ 2,937	24,284,274		0	24,287,211
Issuance of common stock upon settlement of convertible notes (in shares)	0	795,905
Issuance of common stock upon settlement of convertible notes	$ 0	$ 796	6,988,953		0	6,989,749
Issuance of common stock to Diffusion stockholders in reverse capitalization, net of issuance costs (in shares)	0	1,360,244
Issuance of common stock to Diffusion stockholders in reverse capitalization, net of issuance costs	$ 0	$ 1,360	10,337,754		0	10,339,114
Stock-based compensation expense, including vesting of RSUs (in shares)		77
Balance (in shares) at Sep. 30, 2023	0	5,674,354
Balance at Sep. 30, 2023	$ 0	$ 5,674	61,646,917		(52,078,391)	9,574,200
Balance (in shares) at Jun. 30, 2023	3,331,201	518,140
Balance at Jun. 30, 2023	$ 24,287,211	$ 518	19,116,831		(54,228,753)	(35,111,404)
Stock-based compensation expense	0	0	109,168		0	109,168
Net unrealized loss on marketable securities						0
Net loss	$ 0	$ 0	0		2,150,362	2,150,362
Issuance of common stock, prefunded warrants and common stock warrants, net of offering costs (in shares)	0	63,422
Issuance of common stock, prefunded warrants and common stock warrants, net of offering costs	$ 0	$ 63	809,937		0	810,000
Conversion of convertible preferred stock to common stock (in shares)	(3,331,201)
Conversion of convertible preferred stock to common stock	$ (24,287,211)
Conversion of convertible preferred stock to common stock (in shares)		2,936,566
Conversion of convertible preferred stock to common stock		$ 2,937	24,284,274		0	24,287,211
Issuance of common stock upon settlement of convertible notes (in shares)	0	795,905
Issuance of common stock upon settlement of convertible notes	$ 0	$ 796	6,988,953		0	6,989,749
Issuance of common stock to Diffusion stockholders in reverse capitalization, net of issuance costs (in shares)	0	1,360,244
Issuance of common stock to Diffusion stockholders in reverse capitalization, net of issuance costs	$ 0	$ 1,360	10,337,754		0	10,339,114
Stock-based compensation expense, including vesting of RSUs (in shares)		77
Balance (in shares) at Sep. 30, 2023	0	5,674,354
Balance at Sep. 30, 2023	$ 0	$ 5,674	61,646,917		(52,078,391)	9,574,200
Balance (in shares) at Dec. 31, 2023	0	5,674,520
Balance at Dec. 31, 2023	$ 0	$ 5,674	61,811,889	$ 0	(54,440,789)	7,376,774
Stock-based compensation expense	0	0	1,068,011	0	0	1,068,011
Net unrealized loss on marketable securities		0	0	123,162	0	123,162
Net loss	0	$ 0	0	0	(9,584,781)	(9,584,781)
Issuance of common stock, prefunded warrants and common stock warrants, net of offering costs (in shares)		2,083,262
Issuance of common stock, prefunded warrants and common stock warrants, net of offering costs		$ 2,083	46,396,523	0	0	46,398,606
Stock options granted in lieu of compensation	$ 0	$ 0	255,724	0	0	255,724
Cashless exercise of prefunded warrants (in shares)	0	495,959
Cashless exercise of prefunded warrants	$ 0	$ 496	(496)	0	0	0
Conversion of convertible preferred stock to common stock						0
Balance (in shares) at Sep. 30, 2024	0	8,253,741
Balance at Sep. 30, 2024	$ 0	$ 8,253	109,531,651	123,162	(64,025,570)	45,637,496
Balance (in shares) at Jun. 30, 2024	0	8,253,741
Balance at Jun. 30, 2024	$ 0	$ 8,253	109,260,436	(19,702)	(59,272,029)	49,976,958
Stock-based compensation expense	0	0	271,215	0	0	271,215
Net unrealized loss on marketable securities	0	0	0	142,864	0	142,864
Net loss	$ 0	$ 0	0	0	(4,753,541)	(4,753,541)
Balance (in shares) at Sep. 30, 2024	0	8,253,741
Balance at Sep. 30, 2024	$ 0	$ 8,253	$ 109,531,651	$ 123,162	$ (64,025,570)	$ 45,637,496

Condensed Consolidated Statem_3

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Cash flows from operating activities:
Net (loss) income	$ (9,584,781)	$ 190,525
Adjustments to reconcile net loss to net cash used in operating activities:
Accretion of discount on marketable securities, net	(822,198)	0
Stock-based compensation expense	1,068,011	242,660
Changes in fair value of convertible debt	0	(5,424,251)
Changes in operating assets and liabilities:
Prepaid expenses, deposits and other assets	(698,545)	(1,549,061)
Accounts payable	419,964	382,675
Accrued expenses and other liabilities	486,384	699,008
Grant receivable	651,256	0
Deferred grant revenue	0	547,051
Net cash used in operating activities	(8,479,909)	(4,911,393)
Cash flows from investing activities:
Purchase of marketable securities	(44,467,876)	0
Maturities of marketable securities	6,500,000	0
Net cash used in investing activities	(37,967,876)	0
Cash flows from financing activities:
Net assets assumed in connection with reverse recapitalization		11,887,757
Proceeds from sale of common stock, prefunded warrants and common stock warrants	46,398,606	810,000
Payment of reverse capitalization costs		(1,455,268)
Net cash provided by financing activities	46,398,606	11,242,489
Net (decrease) increase in cash and cash equivalents	(49,179)	6,331,096
Cash and cash equivalents at beginning of period	7,792,846	4,093,579
Cash and cash equivalents at end of period	7,743,667	10,424,675
Supplemental disclosure of non-cash investing and financing activities:
Conversion of convertible preferred stock to common stock	0	24,287,211
Merger costs in accounts payable and accrued expenses	0	93,375
Stock options granted in lieu of cash bonus	255,724	0
Cashless exercise of pre-funded warrants	496	0
Conversion of Debt into Common Stock [Member]
Supplemental disclosure of non-cash investing and financing activities:
Conversion of convertible notes	$ 0	$ 6,989,749

Note 1 - The Company and Descri

Note 1 - The Company and Description of Business	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Nature of Operations [Text Block]	1. The Company and Description of Business The Company is a corporation organized under the laws of the state of Delaware and headquartered in Boston, Massachusetts. The Company is a clinical-stage biotechnology company developing treatments for age-related neurologic disorders. The Company is currently focused on developing of its lead drug candidate, neflamapimod, an investigational, orally administered, small molecule brain penetrant that inhibits p38α. Neflamapimod has the potential to treat synaptic dysfunction, the reversible aspect of the underlying neurodegenerative processes that cause disease in DLB and certain other major neurological disorders, and is currently being evaluated in the Company's ongoing RewinD-LB Trial, a Phase 2b study in patients with Early-Stage DLB, funded by a $21.3 million grant from the NIA.

Note 2 - Liquidity and Capital

Note 2 - Liquidity and Capital Resources	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Liquidity Disclosure [Text Block]	2. Liquidity and Capital Resources The Company has generated negative cash flows from operations and, as of September 30, 2024, had an accumulated deficit of $64.0 million. Based on its current operating plan, the Company believes its existing cash and cash equivalents and marketable securities on hand as of September 30, 2024, along with the remaining funds to be received from the NIA Grant, will enable the Company to fund its operating expenses and capital expenditure requirements for at least twelve months from the issuance of these unaudited condensed consolidated interim financial statements. The Company has based this estimate on assumptions that may prove to be wrong, and it could utilize its available capital resources sooner than it currently expects. The Company will continue to require additional financing to advance its current product candidates through clinical development, to develop, acquire or in-license other potential product candidates and to fund operations for the foreseeable future. The Company intends to continue to seek funds through equity offerings, debt financings or other capital sources, including potential collaborations, licenses and other similar arrangements. However, the Company may be unable to raise additional funds or enter into such other arrangements when needed, on favorable terms, or at all. If the Company does raise additional capital through public or private equity offerings, the ownership interest of its existing stockholders will be diluted, and the terms of such securities may include liquidation or other preferences that adversely affect the Company's stockholders’ rights. If the Company raises additional capital through a debt financing, it may be subject to covenants limiting or restricting the Company's ability to take specific actions, such as incurring additional debt, making capital expenditures or declaring dividends. Any failure to raise capital as and when needed could have a negative impact on the Company's financial condition and on its ability to pursue its business plans and strategies. If the Company is unable to raise sufficient capital when needed, it may need to delay, reduce or terminate planned activities to reduce costs, including development or commercialization activities for neflamapimod. The Company might also be required to seek funds through arrangements with third parties that require it to relinquish certain of its rights to neflamapimod or otherwise agree to terms unfavorable to the Company. Operations of the Company are subject to certain additional risks and uncertainties as well, and any one or more of these factors could materially affect the Company’s financial condition, future operations and liquidity needs. Many of these risks and uncertainties are outside of the Company’s control, including internal and external factors that may affect the success or failure of the Company’s research and development efforts, the length of time and cost of developing and commercializing the Company’s current or future product candidates, whether and when any such product candidates become approved drugs, and how significant a drug’s market share will be, if approved, among others.

Note 3 - Summary of Significant

Note 3 - Summary of Significant Accounting Policies	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Significant Accounting Policies [Text Block]	3. Summary of Significant Accounting Policies Basis of presentation The unaudited condensed consolidated interim financial statements have been prepared in conformity with US GAAP as defined by the FASB. Unaudited condensed consolidated interim financial statements The accompanying unaudited condensed consolidated interim financial statements have been prepared by the Company in accordance with US GAAP for interim information and pursuant to the rules and regulations of the SEC. Accordingly, certain information and footnote disclosures normally included in audited consolidated financial statements prepared in accordance with US GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited condensed consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements and related notes for the year ended December 31, 2023, filed as part of the Company's Annual Report. These unaudited condensed consolidated interim financial statements have been prepared on the same basis as the audited consolidated financial statements and, in management’s opinion, include all adjustments, consisting of only normal recurring adjustments, necessary for the fair presentation of the financial information for the interim periods. However, the results of operations for any interim period are not necessarily indicative of the results to be expected for the full fiscal year. Consolidation The unaudited condensed consolidated interim financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation. Use of estimates The preparation of unaudited condensed consolidated interim financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, grant revenue, expenses, and related disclosures. On an ongoing basis, the Company’s management evaluates its estimates, including estimates related to money market accounts, clinical trial accruals, stock-based compensation expense, grant revenue, and expenses during the reported period. The Company bases its estimates on historical experience and other market-specific or relevant assumptions that it believes to be reasonable under the circumstances. Actual results may differ significantly from those estimates or assumptions. Concentration of Credit Risk Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents and marketable securities. The Company maintains deposits in a financial institution in excess of government insured limits. Management believes that the Company is not exposed to significant credit risk as the Company’s deposits are held at a financial institution that management believes to be of high credit quality, and the Company has not experienced any losses on these deposits. Management also believes that the Company is not exposed to significant credit risk as it relates to marketable securities because the Company invests in U.S. government securities and commercial paper. Cash and Cash Equivalents The Company considers all highly-liquid investments with original maturities of 90 days or less at the date of purchase to be cash and cash equivalents. Cash equivalents, which consist of amounts invested in money market funds, are stated at fair value. There are de minimis Marketable Securities The Company classifies its marketable securities as available-for-sale, which include commercial paper and U.S. government debt securities with original maturities of greater than 90 days from date of purchase. These securities are carried at fair value, with unrealized gains and losses reported on the condensed consolidated statement of operations and comprehensive (loss) income and accumulated other comprehensive (loss) income within stockholders’ equity until realized. Purchase discounts are accreted using the effective interest method over the term of the related security and such accretion is included in interest income on the accompanying condensed consolidated statements of operations and comprehensive (loss) income. The Company evaluates its investments in marketable securities for impairment at each reporting period when the fair value is below amortized cost. If the Company intends to sell the security, or it is more likely than not the Company will be required to sell the security before recovery of amortized cost, the entire impairment is included in earnings. The Company did not no Fair Value of Financial Instruments The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company determines the fair value of its financial instruments based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: Level 1 Level 2 Level 3 Leases In February 2016, the FASB issued ASU No. 2016-02, “Leases”, which establishes an ROU model that requires a lessee to recognize an ROU asset and corresponding lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and expense recognition in the statement of operations and comprehensive (loss) income as well as the reduction of the ROU asset. The standard provides a number of optional practical expedients in transition. The Company has elected to apply (i) the practical expedient, which allows us to not separate lease and non-lease components, for new leases and (ii) the short-term lease exemption for all leases with an original term of less than 12 months, for purposes of applying the recognition and measurements requirements in the standard. At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on specific facts and circumstances, the existence of an identified asset(s), if any, and the Company’s control over the use of the identified asset(s), if applicable. Operating lease liabilities and their corresponding ROU assets are recorded based on the present value of future lease payments over the expected lease term. The interest rate implicit in lease contracts is typically not readily determinable. As such, the Company will utilize the incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. The Company has elected to combine lease and non-lease components as a single component. Operating leases will be recognized on the unaudited interim condensed consolidated balance sheet as ROU assets, lease liabilities, current and lease liabilities, non-current. Fixed rent payments are included in the calculation of the lease balances, while variable costs paid for certain operating and pass-through costs are excluded. Lease expense is recognized over the expected term on a straight-line basis. Research and Development Research and development costs are expensed as incurred and consist primarily of new product development. Research and development costs include salaries and benefits, consultants’ fees, process development costs and stock-based compensation, as well as fees paid to third parties that conduct certain research and development activities on the Company’s behalf. A substantial portion of the Company’s ongoing research and development activities are conducted by third-party service providers. The Company records accrued expenses for estimated preclinical study and clinical trial expenses. Estimates are based on the services performed pursuant to contracts with research institutions, contract research organizations in connection with clinical studies, investigative sites in connection with clinical studies, vendors in connection with preclinical development activities, and CMOs in connection with the production of materials for clinical trials. Further, the Company accrues expenses related to clinical trials based on the level of subject enrollment and activity according to the related agreement. The Company monitors subject enrollment levels and related activity to the extent reasonably possible and makes judgments and estimates in determining the accrued balance in each reporting period. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the unaudited condensed consolidated financial statements as prepaid or accrued research and development. If the Company underestimates or overestimates the level of services performed or the costs of these services, actual expenses could differ from estimates. To date, the Company has not experienced significant changes in its estimates of preclinical studies and clinical trial accruals. Patent Costs All patent-related costs incurred in connection with filing and prosecuting patent applications are expensed as incurred due to the uncertainty about the recovery of the expenditure. Amounts incurred are classified as general and administrative expenses in the unaudited interim condensed consolidated statement of operations and comprehensive (loss) income. Stock-based Compensation Stock-based compensation for employee and non-employee awards is measured on the grant date based on the fair value of the award and recognized on a straight-line basis over the requisite service period. The fair value of stock options to purchase common stock are measured using the Black-Scholes option pricing model. The Company accounts for forfeitures as they occur. The fair value of stock options is determined by the Company using the methods and assumptions discussed below. Each of these inputs is subjective and generally requires significant judgment and estimation by management. Expected Term Expected Volatility Risk-Free Interest Rate Expected Dividend Rate zero Grant Revenue The Company generates revenue from government contracts that reimburse the Company for certain allowable costs for funded projects. The Company recognizes funding received from the NIA Grant as grant revenue, rather than as a reduction of research and development expenses, because the Company is the principal in conducting the research and development activities and these contracts are central to its ongoing operations. Revenue is recognized as the qualifying expenses related to the contracts are incurred. Revenue recognized upon incurring qualifying expenses in advance of receipt of funding is recorded in the Company’s unaudited interim condensed consolidated balance sheets as accounts receivable. Amounts received in advance of services rendered are recorded as deferred grant revenue on the Company's unaudited interim condensed consolidated balance sheets. The related costs incurred by the Company are included in research and development expense in the Company’s unaudited interim condensed consolidated statements of operations and comprehensive (loss) income. Income Taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the unaudited condensed consolidated interim financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax basis of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to recover or settle. The effect of a change in tax rates on deferred tax assets and liabilities is recognized on the statement of operations and comprehensive loss for the period that includes the enactment date. The deferred tax assets are recognized to the extent the Company believes that these assets are more likely than not to be realized. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. Due to the Company’s historical operating performance and the recorded cumulative net losses in prior fiscal periods, the net deferred tax assets have been fully offset by a valuation allowance. The Company records uncertain tax positions using a two-step process. First, the Company determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position. Second, for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50% likely to be realized upon ultimate settlement with the related tax authority. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits on the interest expense line and other expense line, respectively, in the accompanying unaudited interim condensed consolidated statements of operations and comprehensive (loss) income. Accrued interest and penalties are included on the related liability lines in the unaudited interim condensed consolidated balance sheet. Net (Loss) Income Per Share Basic net (loss) income per share is computed by dividing net (loss) income by the weighted-average number of shares of common stock outstanding during each period (and potential shares of common stock that are exercisable for little or no consideration). The Pre-Funded Warrants to purchase common stock issued in connection with the 2024 Private Placement are included in the calculation of basic and diluted net (loss) income per share as the exercise price of $0.001 per share is non-substantive and is virtually assured. Diluted (loss) income per share includes the effect, if any, from the potential exercise or conversion of securities such as common stock warrants and stock options which would result in the issuance of incremental shares of common stock. For diluted net loss per share, the weighted-average number of shares of common stock is the same for basic net loss per share due to the fact that, when a net loss exists, dilutive securities are not included in the calculation as the impact is anti-dilutive. For the three and nine months ended September 30, 2023, the Company was in a net income position and calculated the diluted net income per share by dividing the Company’s net income by the dilutive weighted average number of share outstanding during the periods, determined using the treasury stock method and the average stock price during the period. The pre-funded warrants to purchase common stock issued in connection with the Merger are included in the calculation of basic and diluted net (loss) income per share as the exercise price of $0.001 per share is non-substantive and is virtually assured. A reconciliation of the numerators and denominators of the basic and diluted net (loss) income per share calculations are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Numerator Net (loss) income $ (4,753,541 ) $ 2,150,362 $ (9,584,781 ) $ 190,525 Change in fair value of Convertible Notes — (4,778,251 ) — (5,424,251 ) Adjusted net (loss) income $ (4,753,541 ) $ (2,627,889 ) $ (9,584,781 ) $ (5,233,726 ) Denominator Weighted average shares outstanding, basic 8,702,764 3,308,302 7,861,757 1,458,415 Weighted average Convertible Notes before conversion — 458,398 — 750,992 Weighted average shares outstanding, diluted 8,702,764 3,766,700 7,861,757 2,209,407 Net (loss) income, basic $ (0.55 ) $ 0.65 $ (1.22 ) $ 0.13 Net (loss) income, diluted $ (0.55 ) $ (0.70 ) $ (1.22 ) $ (2.37 ) The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted average shares outstanding, as they would be anti-dilutive: September 30, 2024 2023 Common stock warrants 2,633,868 598,457 Stock options 533,159 329,340 3,167,027 927,797 Segments The Company has one operating segment. The Company’s chief operating decision maker, its Chief Executive Officer, manages the Company’s operations on a condensed consolidated basis for purposes of allocating resources. Recently Issued But Not Yet Adopted Accounting Pronouncements In January 2021, the FASB issued ASU No. 2021-01 “Reference Rate Reform (Topic 848): Scope” (“ASU 2021-01”), which was effective immediately and permits entities to elect certain optional expedients and exceptions when accounting for derivatives and certain hedging relationships affected by changes in interest rates and the transition. Additionally, ASU 2022-06 “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848” defers the sunset date of ASC 848 from December 31, 2022 to December 31, 2024. The new guidance is effective for fiscal years beginning after December 31, 2024. The Company does not currently believe that this transition from LIBOR will have a material impact on its consolidated financial statements. In November 2023, the FASB issued ASU No. 2023-07 "Segment Reporting - Improvements to Reportable Segment Disclosures" (“ASU 2023-07”), which updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. The guidance is effective for all public companies for fiscal years beginning after December 15, 2023, and interim periods within fiscal periods beginning after December 15, 2024, and requires retrospective application to all prior periods presented in the financial statements. The Company expects the new guidance will have an immaterial impact on its consolidated financial statements. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): “Improvements to Income Tax Disclosures” (“ASU 2023-09”). ASU 2023-09 is intended to improve income tax disclosure requirements by requiring (1) consistent categories and greater disaggregation of information in the rate reconciliation and (2) the disaggregation of income taxes paid by jurisdiction. The guidance makes several other changes to the income tax disclosure requirements as well. The guidance in ASU 2023-09 will be effective for annual reporting periods in fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact that the adoption of ASU 2023-09 will have on its consolidated financial statements and disclosures.

Note 4 - Merger

Note 4 - Merger	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Business Combination Disclosure [Text Block]	4. Merger On August 16, 2023, the Company completed the Merger of EIP and Merger Sub. For financial reporting purposes, EIP was determined to be the accounting acquirer based upon the terms of the Merger and other factors, including: (i) EIP security holders immediately prior to the Merger owning approximately 76% of the Company immediately following the Merger, (ii) EIP appointing the majority (five of seven) of the Board immediately following the Merger and (iii) former EIP management holding the majority of key positions of management, including the Chief Executive Officer and Chairman of the Board positions, immediately following the Merger. The Merger was also accounted for as a reverse recapitalization under US GAAP because the primary assets of the Company immediately prior to the Merger were cash and cash equivalents. Accordingly, (i) for all periods prior to the Merger, EIP’s historical financial statements and results of operations replace and are deemed to be the Company’s financial statement and results of operations for such periods, (ii) the Merger was treated as the equivalent of EIP issuing shares of common stock to the holders of the Company's common stock immediately prior to the Merger as consideration to acquire the net assets of the Company, and (iii) the net assets of the Company as of immediately prior to the Merger were recorded at their acquisition-date fair value in the condensed consolidated financial statements of EIP. Immediately after the Merger, there were approximately 5,674,277 shares of the Company’s common stock outstanding. The following table shows the net assets acquired in the Merger: August 16, 2023 Cash and cash equivalents $ 12,705,140 Prepaid and other assets 406,488 Accounts payable and accrued expenses (1,223,871 ) Total net assets assumed 11,887,757 Minus: Transaction costs (1,548,643 ) Total net assets assumed minus transaction costs $ 10,339,114

Note 5 - Fair Value of Financia

Note 5 - Fair Value of Financial Instruments	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Fair Value Disclosures [Text Block]	5. Fair Value of Financial Instruments The Company’s financial instruments consist primarily of cash, cash equivalents, marketable securities, accounts payable, previously outstanding convertible notes and accrued liabilities. The Company’s cash, cash equivalents, accounts payable and accrued liabilities approximate fair value due to their relatively short maturities. The Company determined the fair value of its previously outstanding Convertible Notes as described in Note 9. The following table presents the Company’s assets that are measured at fair value on a recurring basis: September 30, 2024 (Level 1) (Level 2) (Level 3) Assets Cash equivalents (money market accounts) $ 6,171,726 $ — $ — Marketable securities: Commercial paper $ — $ 23,616,596 $ — U.S. treasury bonds — 9,410,740 — U.S. government agency bonds — 5,885,900 — Total assets measured at fair value $ 6,171,726 $ 38,913,236 $ — December 31, 2023 Assets Cash equivalents (money market accounts) $ 7,792,846 $ — $ — Total assets measured at fair value $ 7,792,846 $ — $ — The fair values of the Company’s Level 2 marketable securities are estimated primarily based on benchmark yields, reported trades, market-based quotes, issuer spreads, two-sided markets, benchmark securities, bids, offers, and reference data including market research publications, which represent a market approach. In general, a market approach is utilized if there is readily available and relevant market activity for an individual security. This valuation technique may change from period to period, based on the relevance and availability of market data. The following is a summary of the Company's marketable securities which provides a reconciliation of amortized cost basis to fair value including cumulative unrealized gains and losses as of September 30, 2024: Amortized Cost Unrealized gains Unrealized losses Fair Value Commercial paper $ 23,575,451 $ 41,667 $ (522 ) $ 23,616,596 U.S. treasury bonds 9,354,027 56,713 — 9,410,740 U.S. government agency bonds 5,860,596 25,304 — 5,885,900 Total $ 38,790,074 $ 123,684 $ (522 ) $ 38,913,236 The following table presents a roll-forward of the fair value of the Convertible Notes (Note 9) for which fair value is determined by Level 3 inputs: Nine Months Ended September 30, 2023 Balance as of January 1, 2023 $ 12,414,000 Fair value adjustment (646,000 ) Balance as of June 30, 2023 11,768,000 Fair value adjustment (4,778,251 ) Reclassification to additional paid in capital upon conversion (6,989,749 ) Balance as of September 30, 2023 $ — These Convertible Notes are no longer outstanding as of September 30, 2024. Valuation techniques used to measure fair value maximize the use of relevant observable inputs and minimize the use of unobservable inputs. The Convertible Notes are classified within Level 3 of the fair value hierarchy because the fair value measurement is based, in part, on significant inputs not observed in the market. There were no transfers among Level 1, Level 2 or Level 3 categories in the three and nine months ended September 30, 2024 or the year ended December 31, 2023.

Note 6 - Significant Agreements

Note 6 - Significant Agreements and Contracts	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Collaborative Arrangement Disclosure [Text Block]	6. Significant Agreements and Contracts Vertex Option and License Agreement In August 2012, the Company entered the Vertex Agreement, as amended, to acquire an exclusive license to develop and commercialize a drug candidate, “VX-745,” from Vertex. In August 2014, the Company exercised its option to acquire the license and paid an option fee of $100,000, which was expensed as incurred as a component of research and development expense. The Vertex Agreement granted the Company the exclusive worldwide use of VX-745 in the field of diagnosis, treatment and prevention of Alzheimer’s disease and related central nervous system disorders in humans. As part of the Vertex Agreement, the Company is obligated to make certain payments totaling up to approximately $117.0 million upon achievement of certain regulatory and sales milestones, and royalties on net sales of products on indications covered by the Vertex Agreement. The first expected milestone events concern filing of an NDA with the FDA for marketing approval of neflamapimod (i.e., VX-745) in the U.S., or a similar filing for a non-U.S. major market, as specified in the Vertex Agreement, and such royalties will be on a sliding scale of percentages of net sales in the low- to mid-teens, depending on the amount of net sales in the applicable years. The Company is also obligated to make a milestone payment to Vertex upon net sales reaching a certain specified amount in any 12-month period. The Vertex Agreement states that royalties will be reduced by 50% during any portion of the royalty term when there is no valid claim of an issued patent within specified patent rights covering the licensed product. The Company also has the right to deduct, on a country by country basis, from royalties otherwise payable to Vertex under the terms of the Vertex Agreement, 50% of all royalties, upfront fees, milestones and other payments paid by the Company or any of the Company’s affiliates or sublicensees to third parties under licenses that are necessary for the development, manufacture, sale or use of a licensed product, provided that in no event will the royalty payable to Vertex be reduced to less than 50% of the rates specified in the Vertex Agreement, subject to certain adjustments specified therein. The Company has made a total of $100,000 in payments to Vertex related to the Vertex Agreement. No payments were made during the three and nine months ended September 30, 2024 and 2023. National Institute of Aging Grant In January 2023, the Company was awarded a $21.0 million grant from the NIA to support its RewinD-LB Trial, a Phase 2b study of neflamapimod in patients with Early-Stage DLB. In August 2024, the Company was awarded an additional $0.3 million from the NIA. The grant monies are expected to be received over a period of three years including $6.7 million in 2023, $8.4 million in 2024 and $6.2 million in 2025. The total grant revenue recognized from the NIA Grant was $7.6 million and $4.7 million for the nine months ended September 30, 2024 and 2023, respectively. The total revenue recognized from the NIA Grant was $1.9 million and $1.5 million for the three months ended September 30, 2024 and 2023, respectively. As of September 30, 2024, aggregate total cash funding of $14.5 million has been received from the NIA Grant, resulting in approximately $6.8 million in funding remaining. The Company received access to the current year 2 (i.e., the year ending December 31, 2024) funding in the amount of $7.3 million in February 2024. This amount was 90% of the full year 2 amount provided for in the NIA Grant due to then-current NIA policy as a result of the U.S. government being funded at such time on the basis of a continuing resolution. Consolidated appropriations acts were signed into law in March 2024, and the Company received access to the remaining 10% of the year 2 amount in June 2024.

Note 7 - Prepaid Expenses and O

Note 7 - Prepaid Expenses and Other Current Assets	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Prepaid Expenses and Other Current Assets [Text Block]	7. Prepaid Expenses Prepaid expenses consisted of the following: September 30, 2024 December 31, 2023 Clinical expenses $ 1,119,402 $ 711,362 Insurance 604,543 436,859 Professional services 54,361 37,917 Dues and memberships 36,230 — Other 74,343 70,363 Total $ 1,888,879 $ 1,256,501

Note 8 - Accrued Expenses and O

Note 8 - Accrued Expenses and Other Current Liabilities	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Accounts Payable, Accrued Liabilities, and Other Liabilities Disclosure, Current [Text Block]	8. Accrued Expenses and Other Current Liabilities Accrued expenses and other current liabilities consisted of the following: September 30, 2024 December 31, 2023 Employee compensation costs $ 739,805 $ 1,026,054 Clinical development costs 845,063 389,045 Professional fees 449,940 309,062 State franchise and excise tax 30,456 120,456 Other 98,672 88,659 Total $ 2,163,936 $ 1,933,276

Note 9 - Convertible Notes

Note 9 - Convertible Notes	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Long-Term Debt [Text Block]	9. Convertible Notes In December 2020, EIP issued the 2020 Notes to predominantly related party investors for proceeds of $5.1 million. In December 2021, EIP issued the 2021 Notes to predominantly related party investors for proceeds of $6.0 million. Upon completion of the Merger in August 2023, all Convertible Notes outstanding were converted into common stock and, in certain cases, pre-funded warrants. As of September 30, 2024 and December 31, 2023, the Convertible Notes were no longer outstanding. Upon issuance, the Company elected the fair value option for the Convertible Notes in accordance with ASC 825, “Financial Instruments,” pursuant to which the entire instrument, including interest expense, is measured at fair value with the initial change in fair value deemed to be a capital contribution and any subsequent changes in fair value being recorded to other income (expense) on the unaudited condensed consolidated statements of operations and comprehensive (loss) income. During the three and nine months ended September 30, 2024 there were no As a result of the Merger (Note 4), pursuant to the terms thereof, the Convertible Notes converted into shares of EIP Common Stock which were subsequently converted into the right to exchange such shares for 897,272 shares of the Company’s common stock (or, in certain cases, pre-funded warrants to purchase the Company’s common stock in lieu thereof). Accordingly, the Convertible Notes were adjusted to fair value prior to conversion by multiplying the trading price of the Company’s common stock at the date of the Effective Time and the 795,905 common shares and 101,367 pre-funded warrants issued upon conversion. The Company recorded a gain on the fair value adjustment of the Convertible Notes of $4.8 million and $5.4 million for the three and nine months ended September 30, 2023 and recorded $7.0 million to additional paid in capital for the issuance of common stock upon settlement of the Convertible Notes.

Note 10 - Commitments and Conti

Note 10 - Commitments and Contingencies	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Commitments and Contingencies Disclosure [Text Block]	10. Commitments and Contingencies Operating Leases The Company has a short-term lease for office space in Boston, Massachusetts and previously had a short-term agreement to utilize membership-based co-working space in Charlottesville, Virginia, the latter of which was terminated during the three months ended March 31, 2024. Lease expense was approximately $26,292 and $23,000 for the nine months ended September 30, 2024 and 2023, respectively. For the three months ended September 30, 2024 and 2023, lease expense was approximately $8,400 and $8,000, respectively. Research and Development Arrangements In the course of normal business operations, the Company enters into agreements with universities and CROs to assist in the performance of research and development activities and with contract manufacturers to assist with chemistry, manufacturing, and controls related activities. Expenditures to CROs and other contract manufacturers represent a significant cost in clinical development for the Company. The Company could also enter into additional collaborative research, contract research, manufacturing, and supplier agreements in the future, which may require upfront payments and long-term commitments of cash. Defined Contribution Retirement Plan The Company has established its 401(k) Plan, which covers all employees who qualify under the terms of the plan. Eligible employees may elect to contribute to the 401(k) Plan up to 90% of their compensation, limited by the IRS-imposed maximum. The Company provides a safe harbor match with a maximum amount of 4% of the participant’s compensation. The Company made matching contributions under the 401(k) Plan of $49,135 and a de minimus amount for the three months ended September 30, 2024 and 2023, respectively. The Company made matching contributions under the 401(k) Plan of $136,739 and a de minimus amount for the nine months ended September 30, 2024 and 2023, respectively. Legal Proceedings On August 7, 2014, a complaint was filed in the Superior Court of Los Angeles County, California by Paul Feller, the former Chief Executive Officer of the Company’s legal predecessor, under the caption Paul Feller v. RestorGenex, Pro Sports & Entertainment, Inc., ProElite, Inc. and Stratus Media Group, GmbH (Case No. BC553996). The complaint asserts various causes of action, including, among other things, promissory fraud, negligent misrepresentation, breach of contract, breach of employment agreement, breach of the covenant of good faith and fair dealing, violations of the California Labor Code and common counts. The plaintiff is seeking, among other things, compensatory damages in an undetermined amount, punitive damages, accrued interest and an award of attorneys’ fees and costs. On December 30, 2014, the Company filed a petition to compel arbitration and a motion to stay the action. On April 1, 2015, the plaintiff filed a petition in opposition to the Company’s petition to compel arbitration and a motion to stay the action. After a related hearing on April 14, 2015, the court granted the Company’s petition to compel arbitration and a motion to stay the action. On January 8, 2016, the plaintiff filed an arbitration demand with the American Arbitration Association. On November 19, 2018 at an Order to Show Cause Re Dismissal Hearing, the court found sufficient grounds not to dismiss the case and an arbitration hearing was scheduled, originally for November 2020 but later postponed due to the COVID-19 pandemic and related restrictions on gatherings in the State of California. In addition, following the November 2018 hearing, an automatic stay was placed on the arbitration in connection with the plaintiff filing for personal bankruptcy protection. On October 22, 2021, following a determination by the bankruptcy trustee not to pursue the claims and release them back to the plaintiff, the parties entered into a stipulation to abandon arbitration and return the matter to state court. A case management conference was held on February 23, 2022 at which an initial trial date of May 24, 2023 was set, and the parties have agreed to stipulate to mediation in advance of the trial. On October 20, 2022, the parties filed a joint stipulation to continue the trial and certain deadlines related to the mediation in order to allow plaintiff’s counsel to continue to seek treatment for an ongoing medical issue. On November 1, 2022, based on the parties' joint stipulation, the court entered an order continuing the trial date to October 25, 2023, on October 6, 2023, the court entered an order further continuing the trial date to April 24, 2024, and on March 3, 2024, based on an additional joint stipulation of the parties, the court entered an order continuing the trial date to October 23, 2024. On September 4, 2024, due to certain delays in discovery by the plaintiff, the parties filed a joint stipulation to continue the trial and certain deadlines related thereto. On October 9, 2024, based on the parties' joint stipulation, the court entered an order continuing the trial date to April 30, 2025. The Company believes that is has meritorious defenses to the claims alleged in this matter and is defending itself vigorously. However, at this stage, the Company is unable to predict the outcome and possible loss or range of loss, if any, associated with its resolution or any potential effect the matter may have on the Company’s financial position. Depending on the outcome or resolution of this matter, it could have a material effect on the Company’s financial position, results of operations and cash flows.

Note 11 - Stockholders' Equity

Note 11 - Stockholders' Equity and Common Stock Warrants	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Equity [Text Block]	11. Stockholders' Equity and Common Stock Warrants April 2024 Private Placement On April 1, 2024, pursuant to and in accordance with the terms of a securities purchase agreement with certain purchasers named therein, we completed the private placement of an aggregate of 2,083,262 common shares, 2,532,285 Series A Warrants and 449,023 Pre-Funded Warrants. The aggregate upfront gross proceeds from the 2024 Private Placement were approximately $50.0 million, before deducting approximately $3.6 million of offering fees and expenses. The Pre-Funded Warrants and Series A Warrants were classified as a component of stockholders’ equity within additional paid-in capital. The Pre-Funded Warrants and Series A Warrants are equity classified because they (i) are freestanding financial instruments that are legally detachable and separately exercisable from the equity instruments, (ii) are immediately exercisable, (iii) do not embody an obligation for the Company to repurchase its shares, (iv) permit the holders to receive a fixed number of shares of common stock upon exercise, (v) are indexed to the Company’s common stock and (vi) meet the equity classification criteria. Warrants As of September 30, 2024, the Company had the following warrants outstanding to acquire shares of its common stock: Outstanding Range of exercise price per share Expiration dates Historical Diffusion common stock warrants 57,965 $26.27 - $375.14 November 2024 through February 2026 Historical EIP common stock warrants 43,618 $19.81 April 2028 Series A common stock warrants 2,532,285 $39.24 The earlier of (i) April 1, 2027 and (ii) the date that is 180 days after the date the Exercise Conditions (as defined in the Series A Warrants) have been met Pre-funded warrants issued in April 2024 Private Placement 449,023 $0.001 None 3,082,891 February 2024 Pre-Funded Warrant Exercise On February 26, 2024, following the effectiveness of an amendment eliminating certain beneficial ownership limitations set forth therein, 499,995 previously outstanding pre-funded warrants to purchase common stock issued in connection with the closing of the Merger were exercised in full by the holder thereof pursuant to the cashless exercise provision of the pre-funded warrants. Upon exercise, 36 shares were withheld in lieu of a cash payment of the exercise price and the holder was issued 495,959 shares of common stock. "At-The-Market" Sales Agreement The Company was previously party to the 2022 Sales Agreement with BTIG. The 2022 Sales Agreement was an "at-the-market" sales agreement pursuant to which the Company was able to, from time to time and through BTIG as the Company’s agent, sell up to an aggregate of $20.0 million in shares of common stock by any permissible method deemed an “at-the-market offering” as defined in Rule 415(a)(4) under the Securities Act. On October 1, 2024, pursuant to and in accordance with Section 12(b) thereof, the Company notified BTIG that it was terminating the 2022 Sales Agreement effective October 11, 2024. The Company was not subject to any termination penalties or other expenses related to the termination of the 2022 Sales Agreement and, prior to termination, no shares were sold pursuant to the 2022 Sales Agreement. Sale of Common stock In July 2023, EIP sold 63,422 shares of common stock at $12.78 per share (as adjusted for the Exchange Ratio) for net proceeds of approximately $0.8 million.

Note 12 - Stock-based Compensat

Note 12 - Stock-based Compensation Stock	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Share-Based Payment Arrangement [Text Block]	12. Stock-Based Compensation Stock 2015 Equity Plan The 2015 Equity Plan provides for increases to the number of shares reserved for issuance thereunder each January 1 equal to 4.0% of the total shares of the Company’s common stock outstanding as of the immediately preceding December 31, unless a lesser amount is stipulated by the Compensation Committee of the Company’s Board. As of September 30, 2024, there were 23,774 shares available for future issuance under the 2015 Equity Plan. 2018 Employee, Director and Consultant Equity Incentive Plan On March 28, 2018, EIP adopted the 2018 Plan, which was assumed by the Company pursuant to and in accordance with the terms of the Merger Agreement. Under the 2018 Plan, the Company may issue incentive stock options, non-qualified stock options, stock grants, and other stock-based awards to employees, directors, and consultants, as specified in the 2018 Plan and subject to applicable SEC and Nasdaq rules and regulations. The Board has the authority to determine to whom options or stock will be granted, the number of shares, the term, and the exercise price. Options granted under the 2018 Plan have a term of up to ten four-year one-year no The Company recorded stock-based compensation expense in the following expense categories of its consolidated statements of operations and comprehensive loss: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Research and development $ 42,224 $ 30,737 $ 146,358 $ 101,885 General and administrative 228,991 78,431 921,653 140,775 Total stock-based compensation expense $ 271,215 $ 109,168 $ 1,068,011 $ 242,660 The following table summarizes the activity related to all stock option grants for the nine months ended September 30, 2024: Number of Options Weighted average exercise price per share Weighted average remaining contractual life (in years) Aggregate intrinsic value Balance at January 1, 2024 349,374 $ 51.15 Granted 207,284 11.23 Cancelled/Expired (23,499 ) 382.72 Outstanding at September 30, 2024 533,159 $ 21.23 7.5 — Exercisable at September 30, 2024 270,707 $ 32.67 6.5 — The Black-Scholes option pricing model was used to estimate the grant date fair value of each stock option grant at the time of grant using the following weighted-average assumptions: Nine Months Ended September 30, Nine Months Ended September 30, 2024 2023 Expected term (in years) 5.25 - 5.76 5.75 Risk-free interest rate 4.06 - 4.46% 4.40 % Expected volatility 76.87 - 80.03% 81.70 % Dividend yield — — At September 30, 2024, there was $1.4 million of unrecognized compensation expense that will be recognized over a weighted-average period of 1.7 years. During the nine months ended September 30, 2024 the Company granted 39,721 options in lieu of 2023 executive bonus compensation. Effective May 31, 2024, the employment of the Company's former Chief Financial Officer was terminated. Based on the terms of his severance agreement, unvested shares under previously granted option awards will continue to vest on the schedule provided for in the applicable option award agreement through September 30, 2025. The Company accounted for the change in vesting terms as an improbable-to-probable modification of his stock options and recognized $0.3 million of expense in relation to this modification during the nine months ended September 30, 2024. In addition, the exercise period for any shares under previously granted option awards vested as of May 31, 2024 was extended to September 30, 2025. The Company accounted for the change in exercise terms as a probable-to-probable modification of his stock options and recognized $12,000 of expense in relation to this modification during the nine months ended September 30, 2024.

Note 13 - Subsequent Events

Note 13 - Subsequent Events	9 Months Ended
	Sep. 30, 2024
Notes to Financial Statements
Subsequent Events [Text Block]	13. Subsequent Events On October 1, 2024, pursuant to and in accordance with Section 12(b) thereof, the Company notified BTIG that it was terminating the 2022 Sales Agreement effective October 11, 2024. The Company was not subject to any termination penalties or other expenses related to the termination of the 2022 Sales Agreement and, prior to termination, no shares were sold pursuant to the 2022 Sales Agreement. For additional information, please refer to Note 11, Stockholders' Equity and Common Stock Warrants — "At-The-Market" Sales Agreement.

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended
	Sep. 30, 2024
Insider Trading Arr Line Items
Rule 10b5-1 Arrangement Adopted [Flag]	false
Non-Rule 10b5-1 Arrangement Adopted [Flag]	false
Rule 10b5-1 Arrangement Terminated [Flag]	false
Non-Rule 10b5-1 Arrangement Terminated [Flag]	false

Significant Accounting Policies

Significant Accounting Policies (Policies)	9 Months Ended
	Sep. 30, 2024
Accounting Policies [Abstract]
Basis of Accounting, Policy [Policy Text Block]	Basis of presentation The unaudited condensed consolidated interim financial statements have been prepared in conformity with US GAAP as defined by the FASB. Unaudited condensed consolidated interim financial statements The accompanying unaudited condensed consolidated interim financial statements have been prepared by the Company in accordance with US GAAP for interim information and pursuant to the rules and regulations of the SEC. Accordingly, certain information and footnote disclosures normally included in audited consolidated financial statements prepared in accordance with US GAAP have been condensed or omitted pursuant to such rules and regulations. These unaudited condensed consolidated interim financial statements should be read in conjunction with the audited consolidated financial statements and related notes for the year ended December 31, 2023, filed as part of the Company's Annual Report. These unaudited condensed consolidated interim financial statements have been prepared on the same basis as the audited consolidated financial statements and, in management’s opinion, include all adjustments, consisting of only normal recurring adjustments, necessary for the fair presentation of the financial information for the interim periods. However, the results of operations for any interim period are not necessarily indicative of the results to be expected for the full fiscal year.
Consolidation, Policy [Policy Text Block]	Consolidation The unaudited condensed consolidated interim financial statements include the accounts of the Company and its wholly-owned subsidiaries. All intercompany accounts and transactions have been eliminated in consolidation.
Use of Estimates, Policy [Policy Text Block]	Use of estimates The preparation of unaudited condensed consolidated interim financial statements in conformity with US GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, grant revenue, expenses, and related disclosures. On an ongoing basis, the Company’s management evaluates its estimates, including estimates related to money market accounts, clinical trial accruals, stock-based compensation expense, grant revenue, and expenses during the reported period. The Company bases its estimates on historical experience and other market-specific or relevant assumptions that it believes to be reasonable under the circumstances. Actual results may differ significantly from those estimates or assumptions.
Concentration Risk, Credit Risk, Policy [Policy Text Block]	Concentration of Credit Risk Financial instruments that potentially subject the Company to significant concentration of credit risk consist primarily of cash and cash equivalents and marketable securities. The Company maintains deposits in a financial institution in excess of government insured limits. Management believes that the Company is not exposed to significant credit risk as the Company’s deposits are held at a financial institution that management believes to be of high credit quality, and the Company has not experienced any losses on these deposits. Management also believes that the Company is not exposed to significant credit risk as it relates to marketable securities because the Company invests in U.S. government securities and commercial paper.
Cash and Cash Equivalents, Policy [Policy Text Block]	Cash and Cash Equivalents The Company considers all highly-liquid investments with original maturities of 90 days or less at the date of purchase to be cash and cash equivalents. Cash equivalents, which consist of amounts invested in money market funds, are stated at fair value. There are de minimis
Marketable Securities, Policy [Policy Text Block]	Marketable Securities The Company classifies its marketable securities as available-for-sale, which include commercial paper and U.S. government debt securities with original maturities of greater than 90 days from date of purchase. These securities are carried at fair value, with unrealized gains and losses reported on the condensed consolidated statement of operations and comprehensive (loss) income and accumulated other comprehensive (loss) income within stockholders’ equity until realized. Purchase discounts are accreted using the effective interest method over the term of the related security and such accretion is included in interest income on the accompanying condensed consolidated statements of operations and comprehensive (loss) income. The Company evaluates its investments in marketable securities for impairment at each reporting period when the fair value is below amortized cost. If the Company intends to sell the security, or it is more likely than not the Company will be required to sell the security before recovery of amortized cost, the entire impairment is included in earnings. The Company did not no
Fair Value of Financial Instruments, Policy [Policy Text Block]	Fair Value of Financial Instruments The Company utilizes valuation techniques that maximize the use of observable inputs and minimize the use of unobservable inputs to the extent possible. The Company determines the fair value of its financial instruments based on assumptions that market participants would use in pricing an asset or liability in the principal or most advantageous market. When considering market participant assumptions in fair value measurements, the following fair value hierarchy distinguishes between observable and unobservable inputs, which are categorized in one of the following levels: Level 1 Level 2 Level 3
Lessee, Leases [Policy Text Block]	Leases In February 2016, the FASB issued ASU No. 2016-02, “Leases”, which establishes an ROU model that requires a lessee to recognize an ROU asset and corresponding lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and expense recognition in the statement of operations and comprehensive (loss) income as well as the reduction of the ROU asset. The standard provides a number of optional practical expedients in transition. The Company has elected to apply (i) the practical expedient, which allows us to not separate lease and non-lease components, for new leases and (ii) the short-term lease exemption for all leases with an original term of less than 12 months, for purposes of applying the recognition and measurements requirements in the standard. At the inception of an arrangement, the Company determines whether the arrangement is or contains a lease based on specific facts and circumstances, the existence of an identified asset(s), if any, and the Company’s control over the use of the identified asset(s), if applicable. Operating lease liabilities and their corresponding ROU assets are recorded based on the present value of future lease payments over the expected lease term. The interest rate implicit in lease contracts is typically not readily determinable. As such, the Company will utilize the incremental borrowing rate, which is the rate incurred to borrow on a collateralized basis over a similar term an amount equal to the lease payments in a similar economic environment. The Company has elected to combine lease and non-lease components as a single component. Operating leases will be recognized on the unaudited interim condensed consolidated balance sheet as ROU assets, lease liabilities, current and lease liabilities, non-current. Fixed rent payments are included in the calculation of the lease balances, while variable costs paid for certain operating and pass-through costs are excluded. Lease expense is recognized over the expected term on a straight-line basis.
Research and Development Expense, Policy [Policy Text Block]	Research and Development Research and development costs are expensed as incurred and consist primarily of new product development. Research and development costs include salaries and benefits, consultants’ fees, process development costs and stock-based compensation, as well as fees paid to third parties that conduct certain research and development activities on the Company’s behalf. A substantial portion of the Company’s ongoing research and development activities are conducted by third-party service providers. The Company records accrued expenses for estimated preclinical study and clinical trial expenses. Estimates are based on the services performed pursuant to contracts with research institutions, contract research organizations in connection with clinical studies, investigative sites in connection with clinical studies, vendors in connection with preclinical development activities, and CMOs in connection with the production of materials for clinical trials. Further, the Company accrues expenses related to clinical trials based on the level of subject enrollment and activity according to the related agreement. The Company monitors subject enrollment levels and related activity to the extent reasonably possible and makes judgments and estimates in determining the accrued balance in each reporting period. Payments for these activities are based on the terms of the individual arrangements, which may differ from the pattern of costs incurred, and are reflected in the unaudited condensed consolidated financial statements as prepaid or accrued research and development. If the Company underestimates or overestimates the level of services performed or the costs of these services, actual expenses could differ from estimates. To date, the Company has not experienced significant changes in its estimates of preclinical studies and clinical trial accruals.
Legal Costs, Policy [Policy Text Block]	Patent Costs All patent-related costs incurred in connection with filing and prosecuting patent applications are expensed as incurred due to the uncertainty about the recovery of the expenditure. Amounts incurred are classified as general and administrative expenses in the unaudited interim condensed consolidated statement of operations and comprehensive (loss) income.
Share-Based Payment Arrangement [Policy Text Block]	Stock-based Compensation Stock-based compensation for employee and non-employee awards is measured on the grant date based on the fair value of the award and recognized on a straight-line basis over the requisite service period. The fair value of stock options to purchase common stock are measured using the Black-Scholes option pricing model. The Company accounts for forfeitures as they occur. The fair value of stock options is determined by the Company using the methods and assumptions discussed below. Each of these inputs is subjective and generally requires significant judgment and estimation by management. Expected Term Expected Volatility Risk-Free Interest Rate Expected Dividend Rate zero
Revenue [Policy Text Block]	Grant Revenue The Company generates revenue from government contracts that reimburse the Company for certain allowable costs for funded projects. The Company recognizes funding received from the NIA Grant as grant revenue, rather than as a reduction of research and development expenses, because the Company is the principal in conducting the research and development activities and these contracts are central to its ongoing operations. Revenue is recognized as the qualifying expenses related to the contracts are incurred. Revenue recognized upon incurring qualifying expenses in advance of receipt of funding is recorded in the Company’s unaudited interim condensed consolidated balance sheets as accounts receivable. Amounts received in advance of services rendered are recorded as deferred grant revenue on the Company's unaudited interim condensed consolidated balance sheets. The related costs incurred by the Company are included in research and development expense in the Company’s unaudited interim condensed consolidated statements of operations and comprehensive (loss) income. Income Taxes The Company accounts for income taxes under the asset and liability method, which requires the recognition of deferred tax assets and liabilities for the expected future tax consequences of events that have been included in the unaudited condensed consolidated interim financial statements. Under this method, deferred tax assets and liabilities are determined on the basis of the differences between the financial statement and tax basis of assets and liabilities by using enacted tax rates in effect for the year in which the differences are expected to recover or settle. The effect of a change in tax rates on deferred tax assets and liabilities is recognized on the statement of operations and comprehensive loss for the period that includes the enactment date. The deferred tax assets are recognized to the extent the Company believes that these assets are more likely than not to be realized. A valuation allowance is provided when it is more likely than not that some portion or all of a deferred tax asset will not be realized. Due to the Company’s historical operating performance and the recorded cumulative net losses in prior fiscal periods, the net deferred tax assets have been fully offset by a valuation allowance. The Company records uncertain tax positions using a two-step process. First, the Company determines whether it is more likely than not that the tax positions will be sustained on the basis of the technical merits of the position. Second, for those tax positions that meet the more-likely-than-not recognition threshold, the Company recognizes the largest amount of tax benefit that is more than 50% likely to be realized upon ultimate settlement with the related tax authority. The Company recognizes interest and penalties, if any, related to unrecognized tax benefits on the interest expense line and other expense line, respectively, in the accompanying unaudited interim condensed consolidated statements of operations and comprehensive (loss) income. Accrued interest and penalties are included on the related liability lines in the unaudited interim condensed consolidated balance sheet.
Earnings Per Share, Policy [Policy Text Block]	Net (Loss) Income Per Share Basic net (loss) income per share is computed by dividing net (loss) income by the weighted-average number of shares of common stock outstanding during each period (and potential shares of common stock that are exercisable for little or no consideration). The Pre-Funded Warrants to purchase common stock issued in connection with the 2024 Private Placement are included in the calculation of basic and diluted net (loss) income per share as the exercise price of $0.001 per share is non-substantive and is virtually assured. Diluted (loss) income per share includes the effect, if any, from the potential exercise or conversion of securities such as common stock warrants and stock options which would result in the issuance of incremental shares of common stock. For diluted net loss per share, the weighted-average number of shares of common stock is the same for basic net loss per share due to the fact that, when a net loss exists, dilutive securities are not included in the calculation as the impact is anti-dilutive. For the three and nine months ended September 30, 2023, the Company was in a net income position and calculated the diluted net income per share by dividing the Company’s net income by the dilutive weighted average number of share outstanding during the periods, determined using the treasury stock method and the average stock price during the period. The pre-funded warrants to purchase common stock issued in connection with the Merger are included in the calculation of basic and diluted net (loss) income per share as the exercise price of $0.001 per share is non-substantive and is virtually assured. A reconciliation of the numerators and denominators of the basic and diluted net (loss) income per share calculations are as follows: Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Numerator Net (loss) income $ (4,753,541 ) $ 2,150,362 $ (9,584,781 ) $ 190,525 Change in fair value of Convertible Notes — (4,778,251 ) — (5,424,251 ) Adjusted net (loss) income $ (4,753,541 ) $ (2,627,889 ) $ (9,584,781 ) $ (5,233,726 ) Denominator Weighted average shares outstanding, basic 8,702,764 3,308,302 7,861,757 1,458,415 Weighted average Convertible Notes before conversion — 458,398 — 750,992 Weighted average shares outstanding, diluted 8,702,764 3,766,700 7,861,757 2,209,407 Net (loss) income, basic $ (0.55 ) $ 0.65 $ (1.22 ) $ 0.13 Net (loss) income, diluted $ (0.55 ) $ (0.70 ) $ (1.22 ) $ (2.37 ) The following potentially dilutive securities outstanding have been excluded from the computation of diluted weighted average shares outstanding, as they would be anti-dilutive: September 30, 2024 2023 Common stock warrants 2,633,868 598,457 Stock options 533,159 329,340 3,167,027 927,797
Segment Reporting, Policy [Policy Text Block]	Segments The Company has one operating segment. The Company’s chief operating decision maker, its Chief Executive Officer, manages the Company’s operations on a condensed consolidated basis for purposes of allocating resources.
New Accounting Pronouncements, Policy [Policy Text Block]	Recently Issued But Not Yet Adopted Accounting Pronouncements In January 2021, the FASB issued ASU No. 2021-01 “Reference Rate Reform (Topic 848): Scope” (“ASU 2021-01”), which was effective immediately and permits entities to elect certain optional expedients and exceptions when accounting for derivatives and certain hedging relationships affected by changes in interest rates and the transition. Additionally, ASU 2022-06 “Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848” defers the sunset date of ASC 848 from December 31, 2022 to December 31, 2024. The new guidance is effective for fiscal years beginning after December 31, 2024. The Company does not currently believe that this transition from LIBOR will have a material impact on its consolidated financial statements. In November 2023, the FASB issued ASU No. 2023-07 "Segment Reporting - Improvements to Reportable Segment Disclosures" (“ASU 2023-07”), which updates reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses and information used to assess segment performance. The guidance is effective for all public companies for fiscal years beginning after December 15, 2023, and interim periods within fiscal periods beginning after December 15, 2024, and requires retrospective application to all prior periods presented in the financial statements. The Company expects the new guidance will have an immaterial impact on its consolidated financial statements. In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): “Improvements to Income Tax Disclosures” (“ASU 2023-09”). ASU 2023-09 is intended to improve income tax disclosure requirements by requiring (1) consistent categories and greater disaggregation of information in the rate reconciliation and (2) the disaggregation of income taxes paid by jurisdiction. The guidance makes several other changes to the income tax disclosure requirements as well. The guidance in ASU 2023-09 will be effective for annual reporting periods in fiscal years beginning after December 15, 2024. The Company is currently evaluating the impact that the adoption of ASU 2023-09 will have on its consolidated financial statements and disclosures.

Note 3 - Summary of Significa_2

Note 3 - Summary of Significant Accounting Policies (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Numerator Net (loss) income $ (4,753,541 ) $ 2,150,362 $ (9,584,781 ) $ 190,525 Change in fair value of Convertible Notes — (4,778,251 ) — (5,424,251 ) Adjusted net (loss) income $ (4,753,541 ) $ (2,627,889 ) $ (9,584,781 ) $ (5,233,726 ) Denominator Weighted average shares outstanding, basic 8,702,764 3,308,302 7,861,757 1,458,415 Weighted average Convertible Notes before conversion — 458,398 — 750,992 Weighted average shares outstanding, diluted 8,702,764 3,766,700 7,861,757 2,209,407 Net (loss) income, basic $ (0.55 ) $ 0.65 $ (1.22 ) $ 0.13 Net (loss) income, diluted $ (0.55 ) $ (0.70 ) $ (1.22 ) $ (2.37 )
Schedule of Antidilutive Securities Excluded from Computation of Earnings Per Share [Table Text Block]	September 30, 2024 2023 Common stock warrants 2,633,868 598,457 Stock options 533,159 329,340 3,167,027 927,797

Note 4 - Merger (Tables)

Note 4 - Merger (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Business Acquisitions, by Acquisition [Table Text Block]	August 16, 2023 Cash and cash equivalents $ 12,705,140 Prepaid and other assets 406,488 Accounts payable and accrued expenses (1,223,871 ) Total net assets assumed 11,887,757 Minus: Transaction costs (1,548,643 ) Total net assets assumed minus transaction costs $ 10,339,114

Note 5 - Fair Value of Financ_2

Note 5 - Fair Value of Financial Instruments (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Fair Value, Assets Measured on Recurring Basis [Table Text Block]	September 30, 2024 (Level 1) (Level 2) (Level 3) Assets Cash equivalents (money market accounts) $ 6,171,726 $ — $ — Marketable securities: Commercial paper $ — $ 23,616,596 $ — U.S. treasury bonds — 9,410,740 — U.S. government agency bonds — 5,885,900 — Total assets measured at fair value $ 6,171,726 $ 38,913,236 $ — December 31, 2023 Assets Cash equivalents (money market accounts) $ 7,792,846 $ — $ — Total assets measured at fair value $ 7,792,846 $ — $ —
Marketable Securities [Table Text Block]	Amortized Cost Unrealized gains Unrealized losses Fair Value Commercial paper $ 23,575,451 $ 41,667 $ (522 ) $ 23,616,596 U.S. treasury bonds 9,354,027 56,713 — 9,410,740 U.S. government agency bonds 5,860,596 25,304 — 5,885,900 Total $ 38,790,074 $ 123,684 $ (522 ) $ 38,913,236
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation [Table Text Block]	Nine Months Ended September 30, 2023 Balance as of January 1, 2023 $ 12,414,000 Fair value adjustment (646,000 ) Balance as of June 30, 2023 11,768,000 Fair value adjustment (4,778,251 ) Reclassification to additional paid in capital upon conversion (6,989,749 ) Balance as of September 30, 2023 $ —

Note 7 - Prepaid Expenses and_2

Note 7 - Prepaid Expenses and Other Current Assets (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Table Text Block]	September 30, 2024 December 31, 2023 Clinical expenses $ 1,119,402 $ 711,362 Insurance 604,543 436,859 Professional services 54,361 37,917 Dues and memberships 36,230 — Other 74,343 70,363 Total $ 1,888,879 $ 1,256,501

Note 8 - Accrued Expenses and_2

Note 8 - Accrued Expenses and Other Current Liabilities (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Other Current Liabilities [Table Text Block]	September 30, 2024 December 31, 2023 Employee compensation costs $ 739,805 $ 1,026,054 Clinical development costs 845,063 389,045 Professional fees 449,940 309,062 State franchise and excise tax 30,456 120,456 Other 98,672 88,659 Total $ 2,163,936 $ 1,933,276

Note 11 - Stockholders' Equit_2

Note 11 - Stockholders' Equity and Common Stock Warrants (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Schedule of Stockholders' Equity Note, Warrants or Rights [Table Text Block]	Outstanding Range of exercise price per share Expiration dates Historical Diffusion common stock warrants 57,965 $26.27 - $375.14 November 2024 through February 2026 Historical EIP common stock warrants 43,618 $19.81 April 2028 Series A common stock warrants 2,532,285 $39.24 The earlier of (i) April 1, 2027 and (ii) the date that is 180 days after the date the Exercise Conditions (as defined in the Series A Warrants) have been met Pre-funded warrants issued in April 2024 Private Placement 449,023 $0.001 None 3,082,891

Note 12 - Stock-based Compens_2

Note 12 - Stock-based Compensation Stock (Tables)	9 Months Ended
	Sep. 30, 2024
Notes Tables
Share-Based Payment Arrangement, Expensed and Capitalized, Amount [Table Text Block]	Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Research and development $ 42,224 $ 30,737 $ 146,358 $ 101,885 General and administrative 228,991 78,431 921,653 140,775 Total stock-based compensation expense $ 271,215 $ 109,168 $ 1,068,011 $ 242,660
Share-Based Payment Arrangement, Option, Activity [Table Text Block]	Number of Options Weighted average exercise price per share Weighted average remaining contractual life (in years) Aggregate intrinsic value Balance at January 1, 2024 349,374 $ 51.15 Granted 207,284 11.23 Cancelled/Expired (23,499 ) 382.72 Outstanding at September 30, 2024 533,159 $ 21.23 7.5 — Exercisable at September 30, 2024 270,707 $ 32.67 6.5 —
Schedule of Share-Based Payment Award, Stock Options, Valuation Assumptions [Table Text Block]	Nine Months Ended September 30, Nine Months Ended September 30, 2024 2023 Expected term (in years) 5.25 - 5.76 5.75 Risk-free interest rate 4.06 - 4.46% 4.40 % Expected volatility 76.87 - 80.03% 81.70 % Dividend yield — —

Note 1 - The Company and Desc_2

Note 1 - The Company and Description of Business (Details Textual) $ in Millions, $ in Millions	Aug. 31, 2024 USD ($)	Jan. 31, 2023 USD ($)	Jan. 01, 2023 USN ($)
National Institute of Aging Grant [Member]
Government Assistance, Asset	$ 0.3	$ 21	$ 21.3

Note 2 - Liquidity and Capita_2

Note 2 - Liquidity and Capital Resources (Details Textual) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Accumulated deficit	$ (64,025,570)	$ (54,440,789)

Note 3 - Summary of Significa_3

Note 3 - Summary of Significant Accounting Policies (Details Textual) - USD ($) $ / shares in Units, Pure in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2023
Impairment of Marketable Securities	$ 0	$ 0	$ 0	$ 0
Debt Securities, Available-for-Sale, Allowance for Credit Loss	$ 0		$ 0		$ 0
Share-Based Compensation Arrangement by Share-Based Payment Award, Fair Value Assumptions, Expected Dividend Rate			0%
Prefunded Warrant [Member]
Class of Warrant or Right, Exercise Price of Warrants or Rights	$ 0.001		$ 0.001

Note 3 - Summary of Significa_4

Note 3 - Summary of Significant Accounting Policies - Earnings Per Share (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Net loss	$ (4,753,541)	$ 2,150,362	$ (9,584,781)	$ 190,525
Change in fair value of Convertible Notes	0	(4,778,251)	0	(5,424,251)
Adjusted net (loss) income	$ (4,753,541)	$ (2,627,889)	$ (9,584,781)	$ (5,233,726)
Weighted average shares outstanding, basic (in shares)	8,702,764	3,308,302	7,861,757	1,458,415
Weighted average Convertible Notes before conversion (in shares)	0	458,398	0	750,992
Weighted average shares outstanding, diluted (in shares)	8,702,764	3,766,700	7,861,757	2,209,407
Net (loss) income per share of common stock, basic (in dollars per share)	$ (0.55)	$ 0.65	$ (1.22)	$ 0.13
Net loss per share of common stock, diluted (in dollars per share)	$ (0.55)	$ (0.7)	$ (1.22)	$ (2.37)

Note 3 - Summary of Significa_5

Note 3 - Summary of Significant Accounting Policies - Outstanding Dilutive Securities (Details) - shares	9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023
Preferred Series A-2 (in shares)	3,167,027	927,797
Warrant [Member]
Preferred Series A-2 (in shares)	2,633,868	598,457
Convertible Preferred Stock [Member]
Preferred Series A-2 (in shares)	533,159	329,340

Note 4 - Merger - Details of Me

Note 4 - Merger - Details of Merger (Details) - Merger Agreement [Member]	Aug. 16, 2023 USD ($)
Cash and cash equivalents	$ 12,705,140
Prepaid and other assets	406,488
Accounts payable and accrued expenses	(1,223,871)
Total net assets assumed	11,887,757
Minus: Transaction costs	(1,548,643)
Total net assets assumed minus transaction costs	$ 10,339,114

Note 5 - Fair Value of Financ_3

Note 5 - Fair Value of Financial Instruments - Assets Measured at Fair Value on Recurring Basis (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Commercial paper	$ 38,913,236
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Commercial paper	23,616,596
US Treasury Securities [Member]
Commercial paper	5,885,900
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member]
Total assets measured at fair value	6,171,726	$ 7,792,846
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Commercial paper	0
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | US Treasury Securities [Member]
Commercial paper	0
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | US Government Debt Securities [Member]
Commercial paper	0
Fair Value, Inputs, Level 1 [Member] | Fair Value, Recurring [Member] | Money Market Funds [Member]
Cash equivalents (money market accounts)	6,171,726	7,792,846
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member]
Total assets measured at fair value	38,913,236	0
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Commercial paper	23,616,596
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | US Treasury Securities [Member]
Commercial paper	9,410,740
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | US Government Debt Securities [Member]
Commercial paper	5,885,900
Fair Value, Inputs, Level 2 [Member] | Fair Value, Recurring [Member] | Money Market Funds [Member]
Cash equivalents (money market accounts)	0	0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member]
Total assets measured at fair value	0	0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Commercial paper	0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | US Treasury Securities [Member]
Commercial paper	0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | US Government Debt Securities [Member]
Commercial paper	0
Fair Value, Inputs, Level 3 [Member] | Fair Value, Recurring [Member] | Money Market Funds [Member]
Cash equivalents (money market accounts)	$ 0	$ 0

Note 5 - Fair Value of Financ_4

Note 5 - Fair Value of Financial Instruments - Marketable Securities (Details)	Sep. 30, 2024 USD ($)
Commercial paper	$ 38,790,074
Commercial paper	123,684
Commercial paper	522
Commercial paper	38,913,236
Commercial Paper, Not Included with Cash and Cash Equivalents [Member]
Commercial paper	23,575,451
Commercial paper	41,667
Commercial paper	522
Commercial paper	23,616,596
US Treasury Bond Securities [Member]
Commercial paper	9,354,027
Commercial paper	56,713
Commercial paper	0
Commercial paper	9,410,740
US Treasury Securities [Member]
Commercial paper	5,860,596
Commercial paper	25,304
Commercial paper	0
Commercial paper	$ 5,885,900

Note 5 - Fair Value of Financ_5

Note 5 - Fair Value of Financial Instruments - Roll-forward of Convertible Notes (Details) - USD ($)	3 Months Ended	6 Months Ended
	Sep. 30, 2023	Jun. 30, 2023
Balance as of January 1, 2023	$ 11,768,000	$ 12,414,000
Fair value adjustment	(4,778,251)	(646,000)
Reclassification to additional paid in capital upon conversion	(6,989,749)
Balance as of March 31, 2023	$ 0	$ 11,768,000

Note 6 - Significant Agreemen_2

Note 6 - Significant Agreements and Contracts (Details Textual) $ in Millions	1 Months Ended			3 Months Ended		9 Months Ended		12 Months Ended
	Jun. 30, 2024	Feb. 29, 2024 USN ($)	Aug. 31, 2014 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Dec. 31, 2025 USD ($)	Dec. 31, 2024 USD ($)	Dec. 31, 2023 USD ($)	Aug. 31, 2024 USD ($)	Jan. 31, 2023 USD ($)	Jan. 01, 2023 USN ($)
Research and Development Expense				$ 5,125,097	$ 1,791,487	$ 11,711,746	$ 5,583,149
Revenues				1,939,751	1,526,482	7,575,972	4,654,294
Vertex Option and License Agreement [Member]
Research and Development Expense			$ 100,000
Contractual Obligation					117,000,000		117,000,000
Payments for License Agreement			$ 100,000
National Institute of Aging Grant [Member]
Government Assistance, Asset											$ 300,000	$ 21,000,000	$ 21.3
Government Assistance, Income, Increase (Decrease)		$ 7.3								$ 6,700,000
Revenues				1,900,000	$ 1,500,000	7,600,000	$ 4,700,000
Proceeds From Grants						14,500,000
Grant Funding Remaining				$ 6,800,000		$ 6,800,000
Grant Amount, Received, Parentage	10%	90%
National Institute of Aging Grant [Member] | Forecast [Member]
Government Assistance, Income, Increase (Decrease)								$ 6,200,000	$ 8,400,000

Note 7 - Prepaid Expenses and_3

Note 7 - Prepaid Expenses and Other Current Assets - Prepaid Expenses and Other Current Assets (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Prepaid clinical expenses	$ 1,119,402	$ 711,362
Insurance	604,543	436,859
Professional services	54,361	37,917
Dues and memberships	36,230	0
Other	74,343	70,363
Total	$ 1,888,879	$ 1,256,501

Note 8 - Accrued Expenses and_3

Note 8 - Accrued Expenses and Other Current Liabilities - Summary of Accrued Expenses (Details) - USD ($)	Sep. 30, 2024	Dec. 31, 2023
Employee compensation costs	$ 739,805	$ 1,026,054
Clinical development costs	845,063	389,045
Professional fees	449,940	309,062
State franchise and excise tax	30,456	120,456
Other	98,672	88,659
Total	$ 2,163,936	$ 1,933,276

Note 9 - Convertible Notes (Det

Note 9 - Convertible Notes (Details Textual)		1 Months Ended		3 Months Ended		9 Months Ended
	Aug. 16, 2023 shares	Dec. 31, 2021 USD ($)	Dec. 31, 2020 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)	Sep. 30, 2024 USD ($)	Sep. 30, 2023 USD ($)
Liabilities, Fair Value Adjustment						$ 0	$ 5,424,251
Conversion of Debt into Common Stock [Member]
Debt Conversion, Converted Instrument, Shares Issued | shares	795,905
Debt Conversion, Converted Instrument, Warrants or Options Issued | shares	101,367
Convertible Debt [Member]
Liabilities, Fair Value Adjustment				$ 0	$ 4,800,000	$ 0	5,400,000
Debt Instrument, Convertible, Number of Equity Instruments	897,272
Adjustments to Additional Paid in Capital, Convertible Debt with Conversion Feature					$ 7,000,000		$ 7,000,000
The 2020 Notes [Member]
Proceeds from Issuance of Long-Term Debt			$ 5,100,000
The 2021 Notes [Member]
Proceeds from Issuance of Long-Term Debt		$ 6,000,000

Note 10 - Commitments and Con_2

Note 10 - Commitments and Contingencies (Details Textual) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Operating Lease, Expense	$ 8,400	$ 8,000	$ 26,292	$ 23,000
Defined Contribution Plan, Maximum Annual Contributions Per Employee, Percent			90%
Defined Contribution Plan, Employer Matching Contribution, Percent of Employees' Gross Pay			4%
Defined Contribution Plan, Employer Discretionary Contribution Amount	$ 49,135		$ 136,739

Note 11 - Stockholders' Equit_3

Note 11 - Stockholders' Equity and Common Stock Warrants (Details Textual) - USD ($)			1 Months Ended	9 Months Ended
	Apr. 01, 2024	Feb. 26, 2024	Jul. 31, 2023	Sep. 30, 2024	Sep. 30, 2023	Dec. 31, 2022
Stock Issued During Period, Shares, New Issues		495,959	63,422
Proceeds from Issuance or Sale of Equity				$ 46,398,606	$ 810,000
Class of Warrant or Right, Exercised		499,995
Share-Based Payment Arrangement, Shares Withheld for Tax Withholding Obligation		36
Shares Issued, Price Per Share			$ 12.78
Proceeds from Issuance of Common Stock			$ 800,000
Series A Warrant [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	2,532,285
Prefunded Warrant [Member]
Class of Warrant or Right, Number of Securities Called by Warrants or Rights	449,023
Private Placement [Member]
Stock Issued During Period, Shares, New Issues	2,083,262
Proceeds from Issuance or Sale of Equity	$ 50,000,000
Payments of Stock Issuance Costs	$ 3,600,000
Sales Agreement [Member]
Share Sales Agreement, Maximum Amount						$ 20,000,000

Note 11 - Stockholders' Equit_4

Note 11 - Stockholders' Equity and Common Stock Warrants - Warrants Outstanding to Acquire Shares of Its Common Stock (Details)	Sep. 30, 2024 $ / shares shares
Warrants outstanding (in shares) | shares	3,082,891
Historical Diffusion Common Stock Warrants [Member]
Warrants outstanding (in shares) | shares	57,965
Historical Diffusion Common Stock Warrants [Member] | Minimum [Member]
Historical Diffusion common stock warrants (in dollars per share) | $ / shares	$ 26.27
Historical Diffusion Common Stock Warrants [Member] | Maximum [Member]
Historical Diffusion common stock warrants (in dollars per share) | $ / shares	$ 375.14
Historical EIP Common Stock Warrants [Member]
Warrants outstanding (in shares) | shares	43,618
Historical Diffusion common stock warrants (in dollars per share) | $ / shares	$ 19.81
Series A Common Stock Warrants [Member]
Warrants outstanding (in shares) | shares	2,532,285
Historical Diffusion common stock warrants (in dollars per share) | $ / shares	$ 39.24
Prefunded Warrant [Member]
Warrants outstanding (in shares) | shares	449,023
Historical Diffusion common stock warrants (in dollars per share) | $ / shares	$ 0.001

Note 12 - Stock-based Compens_3

Note 12 - Stock-based Compensation Stock (Details Textual)	9 Months Ended
	Sep. 30, 2024 USD ($) shares
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross	207,284
Executive Officer [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Options, Grants in Period, Gross	39,721
Share-Based Payment Arrangement, Option [Member]
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Amount | $	$ 1,400,000
Share-Based Payment Arrangement, Nonvested Award, Cost Not yet Recognized, Period for Recognition	1 year 8 months 12 days
Stock Option Vesting Terms As Improbable to probable [Member]
Share-Based Payment Arrangement, Plan Modification, Incremental Cost | $	$ 300,000
Stock Option Vesting Terms As Probable to probable [Member]
Share-Based Payment Arrangement, Accelerated Cost | $	$ 12,000
Equity Incentive Plan 2015 [Member]
Percentage of Total Shares Eligible for Plan Reserve, On an Annual Basis	4%
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant	23,774
The 2018 Employee, Director and Consultant Equity Incentive Plan [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Number of Shares Available for Grant	0
The 2018 Employee, Director and Consultant Equity Incentive Plan [Member] | Share-Based Payment Arrangement, Option [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Expiration Period	10 years
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period	4 years
The 2018 Employee, Director and Consultant Equity Incentive Plan [Member] | Share-Based Payment Arrangement, Option [Member] | Share-Based Payment Arrangement, Tranche One [Member]
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Period	1 year
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Vesting Rights, Percentage	25%

Note 12 - Stock-based Compens_4

Note 12 - Stock-based Compensation Stock - Stock-based Compensation Expense (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2024	Sep. 30, 2023	Sep. 30, 2024	Sep. 30, 2023
Share based compensation expense	$ 271,215	$ 109,168	$ 1,068,011	$ 242,660
Research and Development Expense [Member]
Share based compensation expense	42,224	30,737	146,358	101,885
General and Administrative Expense [Member]
Share based compensation expense	$ 228,991	$ 78,431	$ 921,653	$ 140,775

Note 12 - Stock-based Compens_5

Note 12 - Stock-based Compensation Stock - Stock Option Activity (Details) $ / shares in Units, $ in Thousands	9 Months Ended
	Sep. 30, 2024 USD ($) $ / shares shares
Balance, number of shares (in shares) | shares	349,374
Balance, weighted average exercise price (in dollars per share) | $ / shares	$ 51.15
Granted, number of shares (in shares) | shares	207,284
Granted, weighted average exercise price (in dollars per share) | $ / shares	$ 11.23
Cancelled / expired, number of shares (in shares) | shares	(23,499)
Cancelled / expired, weighted average exercise price (in dollars per share) | $ / shares	$ 382.72
Outstanding, shares (in shares) | shares	533,159
Outstanding, weighted average exercise price per share (in dollars per share) | $ / shares	$ 21.23
Outstanding, weighted average remaining contractual term (Year)	7 years 6 months
Outstanding, aggregate intrinsic value | $	$ 0
Exercisable, shares (in shares) | shares	270,707
Exercisable, weighted average exercise price per share (in dollars per share) | $ / shares	$ 32.67
Exercisable, weighted average remaining contractual term (Year)	6 years 6 months
Exercisable, aggregate intrinsic value | $	$ 0

Note 12 - Share-based Compensat

Note 12 - Share-based Compensation Stock - Assumptions (Details)	6 Months Ended	9 Months Ended
	Jun. 30, 2024	Sep. 30, 2024
Dividend yield		0%
Share-Based Payment Arrangement, Option [Member]
Expected term (in years) (Year)		5 years 9 months
Risk-free interest rate		4.40%
Expected volatility		81.70%
Dividend yield	0%	0%
Share-Based Payment Arrangement, Option [Member] | Minimum [Member]
Expected term (in years) (Year)	5 years 3 months
Risk-free interest rate	4.06%
Expected volatility	76.87%
Share-Based Payment Arrangement, Option [Member] | Maximum [Member]
Expected term (in years) (Year)	5 years 9 months 3 days
Risk-free interest rate	4.46%
Expected volatility	80.03%