DEFI TECHNOLOGIES INC - DEFTF STOCK NEWS

DeFi Technologies' subsidiary, Valour Inc., has launched the world's first yield-bearing Bitcoin ETP on Börse Frankfurt, offering German investors a 5.65% annualized yield. This product had earlier debuted on the Nordic Growth Market.

The ETP leverages the Core blockchain for security and scalability, ensuring custodial control while generating yield through staking.

The product simplifies Bitcoin investment, allowing investors to earn yield without selling their holdings. The ETP commands a 1.9% management fee and uses the Satoshi Plus consensus mechanism.

DeFi Technologies has launched a Core Chain validator node, marking a significant step in its DeFi Infrastructure business. This move is part of a broader collaboration with Core Foundation, previously highlighted by the development of innovative Bitcoin ETPs, including Valour's Yield Bearing BTC ETP and a new Core ETP.

The company will stake 1,498 BTC through its subsidiary, Valour, participating in the Core Chain's consensus mechanism and earning staking rewards. Core Chain is a Bitcoin-powered, EVM-compatible blockchain that integrates Bitcoin miners and BTC stakers for network security and rewards.

Participating in network consensus, DeFi Technologies aims to support Core Chain's growth while earning from transaction validation. This step aligns with their mission to bridge traditional finance with blockchain technology, offering unique growth opportunities for investors in the digital asset space.

DeFi Technologies has adopted Bitcoin as its primary treasury reserve asset, purchasing 110 Bitcoins to support its new strategy. The decision reflects confidence in Bitcoin's potential to protect from monetary debasement and expand the company's treasury. Valour, DeFi Technologies' subsidiary, reported an impressive 64.9% year-on-year increase in AUM, reaching C$837 million (US$607 million) as of May 31, 2024. Additionally, Valour has repaid US$5 million in loans, following an earlier repayment of US$19.5 million, without raising additional equity or debt.

The DeFi Alpha trading desk generated approximately C$113.8 million (US$83.4 million) in Q2 from low-risk arbitrage trades. DeFi Technologies maintains a strong cash balance of approximately C$69.9 million (US$51 million). Valour introduced multiple innovative ETPs, including the world's first yield-bearing Bitcoin ETP, enhancing investor returns.

On June 6, 2024, DeFi Technologies announced its intention to commence a Normal Course Issuer Bid (NCIB) starting from June 10, 2024, until June 9, 2025. Under the NCIB, DeFi Technologies plans to buy back up to 10% of its public float, equating to 26,996,392 common shares, through CBOE Canada Inc. and other Canadian trading platforms. The company believes its current market price doesn't reflect its true value and considers the buyback a good use of its C$69.9 million cash balance. All purchased shares will be cancelled, and daily purchases won't exceed 25% of the average daily trading volume from December 2023 to May 2024. Ventum Financial Corp. will manage the NCIB.

DeFi Technologies' subsidiary, Valour Inc., has expanded its partnership with justTRADE, a German online brokerage platform, to offer the 1Valour STOXX Bitcoin Suisse Digital Asset Blue Chip ETP for German savings plans. This collaboration, initiated in August 2022, positions Valour as a leading provider of cryptocurrency products and ETPs for justTRADE's clients. The ETP follows a rule-based passive index methodology and uses Bitcoin Suisse's Global Crypto Taxonomy. It signifies a major milestone for STOXX, expanding cryptocurrency investment accessibility within mainstream portfolios. Valour aims to provide simple and secure digital asset investments, enhancing their role in the digital asset sector.

DeFi Technologies has announced the launch of its new business line, DeFi Alpha, which is a specialized arbitrage trading desk. This new desk has generated an additional C$59.2 million (US$43.4 million) in Q2 2024 from low-risk arbitrage trades, bringing the total to C$113.8 million (US$83.4 million). This significant contribution underscores the effectiveness of DeFi Alpha in identifying and capitalizing on arbitrage opportunities in the crypto market.

Additionally, DeFi Technologies has engaged Gold Standard Media for marketing services. This agreement, effective from May 13, 2024, is valued at US$500,000 and includes a grant of 1.5 million deferred share units. The new trading desk is aligned with DeFi Technologies' mission and complements its existing business lines, including asset management, venture investments, and infrastructure support for DeFi.

DeFi Technologies has engaged Liquid Advisors to aid in the cross-listing of its common shares on a US securities exchange. This strategic move aims to boost growth and broaden its market presence. Annemarie Tierney, founder of Liquid Advisors, brings substantial expertise in US securities laws and cross-border listings, having held positions at the SEC, NYSE, Nasdaq, and Skadden Arps. DeFi Technologies' CEO, Olivier Roussy Newton, highlighted the significance of this partnership for enhancing investor visibility and market liquidity.

DeFi Technologies (CBOE CA: DEFI, GR: R9B, OTC: DEFTF) will host a shareholder call on May 21, 2024, at 12:00 p.m. EDT to discuss its Q1 2024 financial results. The call will cover the company's performance for the quarter ending March 31, 2024. Interested parties must register for the webcast in advance. The company bridges the gap between traditional capital markets, Web3, and decentralized finance. Further details and registration are available via a provided link.

DeFi Technologies announced its Q1 2024 financial results, reporting record Operating Revenues of C$13.4 million and an Operating Net Income of C$5.3 million. The company's Assets Under Management (AUM) grew by 78.7%, reaching approximately C$908 million. The quarter saw strategic advancements, including the launch of multiple Exchange Traded Products (ETPs) by its subsidiary Valour Inc., and notable acquisitions such as Reflexivity Research The company forecasts annualized Operating Revenues of C$119 million for 2024, driven by ongoing AUM growth, new product launches, and integration of new acquisitions.