Mr. Alex Sharp, an investor, reports

On Jan, 27, 2023, Alex Sharp, care of suite 530, 355 Burrard St., Vancouver, B.C., acquired, for accounts over which he exercises control or direction, an aggregate of 4,533,333 units of Posabit Systems Corp. (the issuer), of 11195 124th Ave. NE, Kirkland, Wash., United States, 98034, at a price of 90 cents per unit under a private placement offering by the issuer. Each unit comprised one common share in the capital of the issuer and 0.95 of one common share purchase warrant, with each warrant entitling the holder to purchase an additional common share at a price per share of $1.25 until Jan. 27, 2026.

Immediately before the transaction that triggered the requirement to file this news release, Mr. Sharp owned and exercised control or direction over an aggregate 18,337,808 common shares of the issuer, representing approximately 13.09 per cent of the issuer's issued and outstanding common shares. Mr. Sharp also owned and exercised control or direction over an aggregate 3,375,000 warrants entitling the purchase of an aggregate 3,375,000 common shares of the issuer; or, assuming exercise of the warrants, Mr. Sharp owned and exercised control or direction over a total of 21,712,808 common shares or approximately 15.13 per cent of the issuer's common shares on a postconversion beneficial ownership basis.

Immediately after the transaction that triggered the requirement to file this news release, Mr. Sharp owned and/or exercised control or direction over an aggregate 22,871,141 common shares of the issuer, representing approximately 15.81 per cent of the issuer's issued and outstanding common shares. Mr. Sharp also owned and exercised control or direction over an aggregate of 7,681,666 warrants entitling the purchase of an aggregate 7,681,666 common shares of the issuer; or, assuming exercise of the warrants, Mr. Sharp owned and exercised control or direction over a total of 30,552,807 common shares or approximately 20.06 per cent of the issuer's common shares on a postconversion beneficial ownership basis.

As at the date of this news release, Mr. Sharp owns and exercises control or direction over an aggregate 22,981,141 common shares of the issuer, representing approximately 15.88 per cent of the issuer's issued and outstanding common shares. Mr. Sharp also owns and exercises control or direction over an aggregate of 7,681,666 warrants entitling the purchase of an aggregate 7,681,666 common shares of the issuer; or, assuming exercise of the warrants, Mr. Sharp owns and exercises control or direction over a total of 30,662,807 common shares or approximately 20.12 per cent of the issuer's common shares on a postconversion beneficial ownership basis.

The units were acquired pursuant to the issuer's private placement offering at a per-unit price of 90 cents for total cash consideration of $4.08-million. The securities of the issuer owned by Mr. Sharp, or over which Mr. Sharp exercises direction or control, were acquired for investment purposes and Mr. Sharp will evaluate the investment in the issuer and will increase or decrease the investment by future acquisitions or dispositions of securities of the issuer at his discretion, as circumstances warrant.

A report in this regard will be electronically filed with the securities regulator in each province where the issuer is reporting and will be available for viewing through the Internet at the Canadian System for Electronic Document Analysis and Retrieval (SEDAR). To obtain a copy of the report telephone 604-605-4295.

This news release has been issued pursuant to National Instrument 62-104 -- Take-Over Bids and Issuer Bids, and National Instrument 62-103 -- The Early Warning System and Related Take-Over Bid and Insider Reporting Issues.