Mr. Ryan Hamlin reports

POSABIT ANNOUNCES ANTICIPATED LATE FILING OF 2023 ANNUAL FILINGS

Posabit Systems Corp. is anticipating a delay in filing its annual financial statements and accompanying management's discussion and analysis for the year ended Dec. 31, 2023, by the filing deadline on April 29, 2024, as required by National Instrument 51-102 -- Continuous Disclosure Obligations. As a result of the expected delay in filing the annual filings, the company's previously announced conference call and live webcast originally scheduled for April 29, 2024, at 4:30 p.m. ET will be postponed until the annual filings are completed.

The company attributes the delay primarily to a change in auditor late in the year due to its former auditor ending its public company practice. The company currently expects to file the annual filings no later than May 17, 2024, and will issue a news release announcing completion of such filing at that time.

Accordingly, the company has applied for, and expects to receive, a voluntary management cease trade order (the MCTO) from the British Columbia Securities Commission. The MCTO will stay in effect until the annual filings are filed. The issuance of the MCTO will, at a minimum, prohibit the chief executive officer and chief financial officer of the company from trading in the company's securities for so long as the annual filings are not filed. The MCTO, if issued, does not affect the ability of shareholders who are not insiders of the company to trade their securities of the company. The MCTO will be in effect until the default is remedied.

The company will comply with the alternative information guidelines set out in National Policy 12-203 -- Management Cease Trade Orders, until the annual filings have been completed. The guidelines, among other things, require the company to issue biweekly default status reports, by way of a news release, so long as the annual filings have not been filed, and these will also be filed on SEDAR+.

About Posabit Systems Corp.

Posabit is a fintech, working exclusively within the cannabis industry. It provides a best-in-class point-of-sale solution and is the leading cashless payment provider for cannabis retailers. The company works tirelessly to build better financial services and transaction methods for merchants. It brings cutting-edge software and technology to the cannabis industry so that all merchants can have a safe and compliant set of services to solve the problems of a cash-only industry.

We seek Safe Harbor.