Mr. Adam O'Brien reports

BITCOIN WELL PROVIDES AUGUST 2026 BUSINESS UPDATE AND ANNOUNCES DEBT SETTLEMENT

Bitcoin Well Inc. has released preliminary operating results and business updates for August, 2026.

Key highlights:

• Gross profit surpassed $265,000 in August, 2026 ($295,000 in July, 2026, and $546,000 in August, 2025).
• Total customer base surpassed 80,500 (79,000 at end of July, 2026, and 59,900 at end of August, 2025).
• Yearly active users surpassed 12,600 (13,111 at end of July, 2026, and 11,824 at end of August, 2025).

The company believes the decline in gross profit is due to the bitcoin overall market sentiment. The bitcoin price in August, 2025, was $108,000 (U.S.) on its way to the eventual all-time high in October, 2025. In August, 2026, the bitcoin price opened the month at $63,000 (U.S.) and closed near $80,000 (U.S.).

Key advancements:

• Continued work of the bitcoin IRA (scheduled to launch in third quarter 2026);
• Improvements to the Bitcoin Well Infinite portal;
• Security improvements.

The company spent the month of August continuing to develop the bitcoin IRA, which will give its American customers the ability to buy bitcoin inside tax-advantaged structures. It expects the launch of the IRA (scheduled for Q3 2026) to give the company a significant boost of customer acquisition and customer spend into the final quarter of the year.

Further, it has made some minor improvements to the Bitcoin Well Infinite portal, which serves a large transaction clientele. It expects the continued improvements of the Bitcoin Well Infinite portal will further encourage growth to its Bitcoin Well Infinite sales.

The security improvements were a direct response to the unprecedented amount of attacks and hacks the entire bitcoin ecosystem has seen. Bitcoin Well is pleased to report the company has suffered no losses as a result of these attacks.

"I am very proud of the way the team put their heads down and helped keep our company safe and secure in August," said Adam O'Brien, founder and chief executive officer of Bitcoin Well. "We continued to build meaningful products in the IRA, which will launch shortly and responded swiftly to a serious number of indirect attacks on software we rely on. To finish off the month, we saw a huge spike in customer activity and volume due to the increase in the price of bitcoin. Bear markets are for building. Bull markets are for capitalizing, and our team is ready for both."

Debt settlement

The company also announces that it was indebted to a certain creditor in the amount of $84,048 as of Aug. 31, 2026, pursuant to a sponsorship agreement. The indebtedness represented payments for services accrued under the sponsorship agreement during the period from March 1, 2026, to July 31, 2026, and they were not considered investor relations services (as defined in the policies of the TSX Venture Exchange). The company has entered into a debt settlement agreement with the creditor, pursuant to which the parties agreed that the indebtedness would be settled through the issuance of 2,101,200 common shares of the company at a deemed price of four cents per common share. The creditor is an arm's-length party to the company, and the issuance of the common shares in connection with the debt settlement did not result in the creation of a new insider or control person of the company (as such terms are defined in the TSX-V's policies).

The debt settlement remains subject to the approval of the TSX-V, and the securities issued in connection with the debt settlement are subject to a statutory hold period of four months and one day from the date of issuance in accordance with applicable securities laws.

About Bitcoin Well Inc.

Bitcoin Well is on a mission to enable independence. It does this by making bitcoin useful to everyday people to give them the convenience of modern banking and the benefits of bitcoin. It likes to think of it as future-proofing money. Its existing bitcoin ABM and on-line bitcoin portal business units drive cash flow to help finance this mission.

We seek Safe Harbor.