7111 BIGG Digital Assets Inc

BIGG Digital Assets Inc. ("BIGG" or the "Company")(CSE: BIGG; OTCQX: BBKCF; WKN: A2PS9W), a leading innovator in the digital assets space and owner of Netcoins, Blockchain Intelligence Group and TerraZero is pleased to report its Q2 2024 financial results. All figures are in Canadian Dollars (CAD) unless otherwise noted.

Q2 2024 Highlights:

• Gross operating revenue of $2.4M, comprising $2M for Netcoins, $0.4M for Blockchain Intelligence Group
  • Netcoins revenue was $2M (2023 - $1M), marking an increase of 96% year-over-year (YoY) and an increase of 137% for H1 2024 as compared to H1 2023. Transaction revenue was $1.99M, increasing 95% YoY. At June 30, 2024, customers’ staked Assets under Custody totalled $3.8M (2023 - $Nil), resulting in service revenue of $0.01M (2023 - $Nil);
  • $0.4M (2023 - $0.33M) for Blockchain Intelligence Group, up 18% YoY and 7% over Q1 2024. Revenues were in-line with those of the prior year, increasing by 1% during H1 2024 as compared to H1 2023.
• Netcoins customer Assets Under Custody was $114.3M at the end of Q2 2024, up $51.9M or 83% from $62.4M under custody at the end of Q2 2023
• Netcoins’ active users totalled 9,170, a 20% increase YoY. The total of active users was down 28% from Q1 2024 due to seasonal factors and the flat performance of the crypto market. However, the overall increase year-to-date was 6%
• Netcoins added 7 coin offerings: PEPE, BONK, INJ, TIA, WIF, WLD, ARB
• Netcoins USA’s direct integration with Zero Hash, a global leading crypto infrastructure provider, through its industry-leading API infrastructure was on-going during Q2 2024 and subsequently in advanced beta testing
• BIG activities included the development of two new, innovative retail service offerings – that will leverage its proprietary data and robust infrastructure. These services are designed to capitalize on emerging market opportunities and are expected to significantly expand BIG’s total addressable market. These strategic initiatives will enhance our market presence and drive long-term value for the Company’s shareholders. The new services are anticipated to be officially launched in H2 2024
• BIG, in partnership with WhiteStream Blockstream Intelligence, announced the launch of a state-of-the-art Operational Simulator Training Program. This innovative training solution is designed to equip law enforcement and financial crime investigators with the skills and knowledge necessary to tackle the complexities of blockchain-related crimes
• BIG continued expand its global footprint and offer QLUE to a wider audience, delivering innovative solutions that empower government agencies and law enforcement organizations to navigate the complexities of digital assets with confidence
• TerraZero continued to focus on the build out of its Intraverse Live product, an entirely new gamified social platform. Intraverse Live offers a fully customizable and personalized virtual environment for users to hang out with their friends, play games, stream their favorite music and video content, and more. It will offer monetizable opportunities for artists, game developers, brands and creators
• TerraZero and Napster announced the second phase of its groundbreaking metaverse experiences – an exclusive Q&A and artist chat with Ric Wilson, a multi-talented Chicago artist, held on May 16, 2024. The event marks a significant milestone in Napster's commitment to providing immersive, interactive experiences for music lovers worldwide. The event offered participants: exclusive music streaming, exclusive access, limited edition merchandise and a live Q&A session with the artist
• As of June 30, 2024, BIGG’s cash and crypto holdings were ~$20.4M
• The Company has no debt

Highlights after June 30, 2024:

• BIGG currently owns ~99.5 Bitcoin, valued at ~$5.9M
• Netcoins currently has customer Assets Under Custody of ~$100.5M (an increase of 15% over Q4 2023 and a decrease of 12% from Q1 2024)
• Netcoins now offers 50 crypto assets
• BIG doubled the size of its sales division to help meet the interest and demand for on-chain tools and technology as the digital asset market grows
• BIG launched two new advanced modules for its acclaimed Certified Cryptocurrency Investigator (CCI) training program :
  • Module 9 - Hacks & Exploits
  • Module 10 - Compliance & Risk Management (Standalone Certification)

These latest two modules complete the Certified Cryptocurrency Investigator - Advanced certification course (“CCI-A”)

• TerraZero’s announced a collaboration with artificial intelligence company Qeleo (Qeleo.com); Predictive Technologies d/b/a Qeleo, to accelerate the scalability of TerraZero’s core product, Intraverse, and other operational initiatives

Selected financial and operating information should be read in conjunction with BIGG's unaudited condensed consolidated interim financial statements and related Management's Discussion and Analysis for the six months ended June 30, 2024, available at www.sedarplus.ca.

All financial information in this press release is prepared in accordance with IFRS Accounting Standards as issued by the International Accounting Standards Board.

On behalf of the Board

Dan Reitzik

Interim CEOir@biggdigitalassets.com

About BIGG Digital Assets Inc. BIGG Digital Assets Inc. (BIGG) believes in a blockchain future - investing in products and companies to support this vision. Crypto, Web3 and tokenization are leading innovations in the digital transformation of the internet. BIGG has three portfolio companies: Netcoins (netcoins.com), Blockchain Intelligence Group (blockchaingroup.io), and TerraZero (terrazero.com).

Blockchain Intelligence Group is an industry leading digital asset forensics, anti-money laundering detection, and cryptocurrency investigations company. At the heart of our operations is a deep-rooted expertise in visualizing digital assets and market related activities. This expertise is leveraged to monitor transactional data with a constant eye to assisting our customers with risk management, due diligence, and forensic services for digital assets. 

Netcoins offers safe and secure crypto trading in Canada and the USA, with a mission to make cryptocurrency easily accessible to the mass consumer and investor with a focus on compliance and safety. Netcoins has a robust product offering with Crypto Trading (US and CA), Netcoins Pay (CA) and Netcoins Staking (CA). Netcoins utilizes BitRank Verified® software at the heart of its platform and facilitates crypto trading via its cutting-edge Mobile and Web applications. For more information please visit our website www.netcoins.com.

TerraZero Technologies Inc. is a vertically integrated Metaverse development group and leading Web3 technology company specializing in helping brands create immersive experiences. TerraZero’s Metaverse-agnostic vision is to develop and implement products and services with scalable commercial applications to flourish engagement across gamified experiences where enterprise-level businesses, metaverse platforms, and Web3 creators can seamlessly bridge and actionably grow their virtual world and the physical world endeavors together as one. TerraZero owns digital real estate for brands to establish presence in existing virtual worlds and can also offer brands their own private worlds to provide offices and services to those interested in the metaverse. Furthermore, TerraZero acquires, designs, builds, and operates virtual assets and solutions to monetize the metaverse ecosystem. TerraZero’s businesses are segmented into five (5) divisions which include: (1) immersive experience creation in existing or private virtual worlds; (2) advertising; (3) data analytics; (4) events and marketing; and (5) development of the Intraverse. TerraZero aims to support the community, foster innovation, and drive adoption. For more information, please visit https://terrazero.com/ or contact hello@terrazero.com.

For more information and to register for BIGG’s mailing list, please visit our website at https://www.biggdigitalassets.com. Or visit SEDAR+ at www.sedarplus.ca.

Future operating results could also be materially affected by the price of cryptocurrency and the demand (or lack thereof) for cryptocurrency. In addition, BIGG’s past financial performance may not be a reliable indicator of future performance.

Forward-Looking Statements:

Certain statements in this release are forward-looking statements, which include the expected opportunities, outcomes, potential and benefits of the Company’s products and services, the expected adoption and growth of cryptocurrency and the Company’s products and services, the development and completion of products and services, the launch of products and services and the expected timelines, events, plans, courses of action, and the potential of the Company’s technology and operations and other matters. Forward-looking statements consist of statements that are not purely historical, including any statements regarding beliefs, plans, expectations or intentions regarding the future. Such information can generally be identified by the use of forwarding-looking wording such as “may”, “expect”, “estimate”, “anticipate”, “intend”, “believe” and “continue” or the negative thereof or similar variations. Readers are cautioned not to place undue reliance on forward-looking statements, as there can be no assurance that the plans, intentions or expectations upon which they are based will occur. By their nature, forward-looking statements involve numerous assumptions, known and unknown risks and uncertainties, both general and specific that contribute to the possibility that the predictions, estimates, forecasts, projections and other forward-looking statements will not occur. These assumptions, risks and uncertainties include, among other things, the state of the economy in general and capital markets in particular, the ability to manage operating expenses, which may adversely affect the Company’s financial condition, the ability to remain competitive as other better financed competitors develop and release competitive products, volatility in the trading price of the common shares of the Company, the demand and pricing of cryptocurrency, the Company’s ability to successfully define, design and release new products in a timely manner that meet customers' needs; the ability to attract, retain and motivate qualified personnel; competition in the industry; and other factors, many of which are beyond the control of BIGG. Forward-looking statements contained in this press release are expressly qualified by this cautionary statement. Undue reliance should not be placed on the forward-looking information because BIGG can give no assurance that they will prove to be correct. The securities of BIGG are considered highly speculative due to the nature of BIGG’s business. For further information concerning these and other risks and uncertainties, refer to the Company’s website and filings on www.sedarplus.ca. In addition, BIGG’s past financial performance may not be a reliable indicator of future performance.

Important factors that could cause actual results to differ materially from BIGG’s expectations include consumer sentiment towards BIGG’s products and Cryptocurrency and Blockchain technology generally, technology failures, the lack of demand for the company’s products and services, fluctuations in the price of cryptocurrency, the ability to successfully define, design, and release new products in a timely manner that meet customers’ needs; the ability to attract, retain, and motivate qualified personnel; competition in the industry; the impact of technology changes on the products and industry; failure to develop new and innovative products; the ability to successfully maintain and enforce our intellectual property rights and defend third-party claims of infringement of their intellectual property rights; the impact of intellectual property litigation that could materially and adversely affect the business; the ability to manage working capital; and the dependence on key personnel; competition; the demand and pricing of cryptocurrencies and NFTs (including digital assets); litigation; security threats, including a loss/theft of NFTs, cryptocurrencies, and other assets; and failure of counterparties to perform their contractual obligations.

The forward-looking statements contained in this press release are made as of the date of this press release. Except as required by law, BIGG disclaims any intention and assumes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Additionally, BIGG undertakes no obligation to comment on the expectations of, or statements made by, third parties in respect of the matters discussed above.

The CSE does not accept responsibility for the adequacy or accuracy of the content of this Press Release.